Building Stability from the Inside Out
In Michigan and across the country, small business owners are the engine of local economies – but too often, that engine runs on empty.
As you know, running a business demands time, energy, and vision. Entrepreneurs pour everything they have into them, including their hearts and money. Yet, many neglect one crucial ingredient for long-term success – financial self-care. Financial self-care is the intentional practice of managing your personal and business finances in a way that supports long-term stability and peace of mind.
Imagine a café tucked away in a well-visited town where patrons want a place to have coffee, pastries, soups and sandwiches. The location is ideal for a successful business. With a passion for coffee and community, the cafe owner satisfied a long-term goal and opened their dream cafe, investing everything they had in the ambiance, product quality, and team. From the outside, it looked like a thriving business, but behind the scenes, the owner was struggling. They had no clear separation between the business and personal finances, no cushion for emergencies, and no plan for their own payroll.
The stress was mounting. Speaking with a mentor, who introduced the owner to the concept of financial self-care, they began making small but powerful changes – automating tax savings, setting a personal salary, and creating a financial buffer. With these systems in place, the owner didn’t just feel more secure, they became a more confident, forward-looking business owner.
Many entrepreneurs confuse revenue with security. Just because money is moving doesn’t mean it’s moving in the right direction. True financial wellness means having clarity, consistency, and control. Don’t just track what comes in – track what stays, what grows, and what aligns with your long-term vision. As an entrepreneur you can build stability from the inside out. Here are some practical suggestions:
Separate Personal and Business Finances
Keep personal and business bank accounts distinct. This not only simplifies accounting and tax preparation, but also allows you to clearly see your business’s financial health and pay yourself a fair, sustainable wage.
Build a Buffer
Every entrepreneur faces unpredictable expenses. Set aside a portion of revenue each month for an emergency fund. A buffer of even one month’s expenses can dramatically reduce stress and improve decision-making.
Pay Yourself First
You are your business’s most important asset. Set a regular, realistic salary – even if modest at first—and treat it as non-negotiable. This helps establish financial discipline and prevents burnout. A business can afford to pay its owner when there is cash left over after all of the current liabilities of the business have been met. Therefore, your business plan should have a section that includes a financial plan. The financial plan includes financial projections and forecasting that allows the company to strategically grow. As the company grows, your salary grows.
Find Peace of Mind
Financial self-care is an ongoing practice. It requires awareness, intentionality, and regular check-ins. By implementing these practical suggestions, entrepreneurs can create not only resilient businesses, but also healthier personal financial lives.
Remember: your business can only thrive when you, the entrepreneur, are financially well and supported. Start small, stay consistent, and prioritize your financial self-care. In the early years the salary might be small, but paying yourself something means everything. Financial self-care isn’t just about managing numbers – it’s about managing peace of mind. For entrepreneurs, it’s the bridge between survival and stability.
By By Dr. Brenda Oldham, EdD, MS, CFF®; originally published in SBAM’s November/December 2025 issue of FOCUS magazine
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