Three Money Moves for Women-Owned Businesses

Jenn Uhen is the Founder of The Pledgettes, a community for women to talk about money. Jenn built The Pledgettes to democratize access to financial experts, build a supportive space for women to evolve their relationship with money, and create connections so no woman is going after her personal financial goals alone. Jenn and her husband have clear financial goals, which include a diverse portfolio of investment property, retirement accounts, and businesses. All while living a minimalist (but comfortable) lifestyle, including traveling the country in an RV.

I am consistently inspired and impressed by women-owned businesses.  They saw a need in the market and know that they were the ones to answer the call.  They had the unique skills, experience, and network to solve the need! In speaking with women entrepreneurs/business owners daily, I know becoming their own finance and accounting departments wasn’t on the top of their list for business ownership. However, we all know it’s important to spend time with your numbers, so here are three money moves for women-owned businesses.

1 - Do Business with Values-Aligned Businesses

Women make 80% of the consumer purchasing decisions and as a business owner, you make 100% of the decisions on who you do business with. How does it feel to have that power? 

Take some time to check in on the businesses you do business with from banks, services, products, and even people.  Are these the best choices for your business today and in the future?

One big decision I made in my business is where I bank.  I left a global bank and moved to a community bank that keeps more money flowing in my community with mortgages and small business loans.  I used mightydeposits.com to compare banks and picked one which aligned with my values and then researched different banks’ fees and products.

2 - Listen to Your Business, It Tells You What It Needs

My husband loves to say this often and my response has definitely been an eye-roll a time or two but he is right.

Each week, Fridays at 9 am, I have a Business Health Check Meeting with myself. I update my books, categorize transactions, track marketing KPIs, and reflect.  What are the drivers and drags of my business?  What works this week/month/year? What didn’t?  What is my business telling me it needs? Sometimes it’s to hire an awesome independent contractor for a specific project.  Other times, it’s to pump the breaks on overcommitting my time. It’s important to see the connection between money and your effort in your business.  

Even if bookkeeping is the first thing in your business you want to delegate, you need to stay close to the numbers.  It’s not enough to have more money flowing in than going out.  I have heard multiple stories of women business owners who have paid penalties or had employees stealing from them because they moved too far away from their numbers.

Integrating the money with a holistic view of your business with help you confidently make better business decisions. 

Do you have a Business Health Check with your business?   

3 - Using Your Money with Intention

Does every dollar have a purpose in your business? Whether you use a system like Zero-Based Budgeting, follow the principles from Profit First, or incorporating goal-setting with dollar amounts in your Business Health Check, setting intentions and using your money purposefully will not only feel good but do good in your business.

The Profit First model has set aside a percentage of your revenue for profit, in a new bank account.  You can then create a Profit Plan for that money.  When my Profit bank account reaches $XXXX, I’m going to hire a copywriter to re-write my website copy or I’m going to outsource my bookkeeping.

Zero-Based Budgeting goes through a decision tree where you assign every dollar of revenue in your business with a purpose.  This system has you reevaluate your expenses and your goals.  It’s definitely a system that requires listening to what your business needs.

In my Business Health Checks, I’ll set goals with dollar amounts.  When I hit $XXXX in monthly revenue, I’ll hire an employee or invest in a paid system. These goals are only as good as the promises you keep to yourself.  Don’t keep moving the needle against yourself. :)

Are you using your business money with intention?

Finally, there are some incredible professionals that could be on your Financial A-Team to support you in your business goals.  Do you need a Business Coach, Financial Therapist, Tax Planner/Preparer, Bookkeeper, Fractional CFO, Sales Person, or Rockstar Employee? Lean into your money, know you don’t need to do it alone, and confidently make money moves for your business.