Financial management is the foundation of a stable business. But many micro-entrepreneurs in France lose thousands of euros due to improper expense tracking. I, Zukova Inna, help entrepreneurs organize their finances. Here are the 3 most common and costly mistakes.
Mistake 1: Mixing Personal and Business Expenses
Using a personal card for business purchases is the main mistake beginners make. It will be almost impossible to prove the professional nature of expenses during an audit.
How to fix it:
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Open a separate business account
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Use it only for business operations
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Keep all receipts and invoices
Mistake 2: Not Documenting Small Expenses
Coffee with a client, stationery, transportation - these small expenses add up to significant amounts that can be legally written off.
How to fix it:
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Use a mobile app for expense tracking
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Photograph receipts immediately after purchase
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Regularly transfer data to a general accounting system
Mistake 3: Not Knowing Home Office Deduction Rules
If you work from home, you can deduct part of your utility costs, but strictly according to the rules.
How to fix it:
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Calculate the square footage of your work area
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Maintain a usage log
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Properly prepare documentation
Important: In my course "Simplified Bookkeeping in 4 Weeks", I cover each of these mistakes in detail and show how to create a simple and effective accounting system.