Sunday, November 05, 2006

One Thread ... So Many Mistakes

Overheard on a message-board thread this afternoon:

Poster 1: I just looked at my bank account and saw that I am now over 4,000 in debt! mostly due to crafty supplies, and displays etc, hoping to make that back over christmas, but blech!

Poster 2: It's not debt, it's an investment ;)

Poster 3: I avoid checking the bank scares me. Maybe if I pretend it isn't there, the VISA bill will go away...

Poster 4: I don't want to check my bank balance again until the end of the weekend. Last time I did,it made me very sad and panicky. Who knew opening your own business would make you so broke at first?

Poster 5: Just remember to save all those receipts, folks! It's all deductible on your income tax forms when you file Schedule C.

Poster 6: I understand. I have a credit card I use JUST for my jewelry stuff and it's maxed out at 6,500!!! I need to get selling lots soon!

Poster 7: Ahhh, me too, and Am Ex cut me off! I need this craft show to go well, or I am out. Boo-Hoo.

I could probably go on, but sheesh. You get the point.

Debt makes the world go 'round.


— Posted by Michael @ 4:40 PM


Ouch. Especially to the "it's all deductible" part. First you have to MAKE money, then it may or may not be deductible...

Anonymous bluntmoney
, at 6:54 PM, November 05, 2006  

Sticking your head in the sand just makes things worse..

This is why it's often a good idea to get a loan from a bank instead of VISA if you are going to start a business... because they will take one look at your "I'm going to sell crafts that I made in my spare time at Christmas crafts fairs and make $9783983982!" plan and laugh.


My guess is that this truly isn't a business. It's an excuse for them to buy up a bunch of crafty supplies and pretend that they will someday sell the things they make. I've actually run into folks who do sell the stuff they make. Typically, they buy a little, sell stuff and use the money to buy more.

** Comments Closed on this Post **

Thoughts on my personal finances, goals, experiences, motivations, and accomplishments (or lack thereof).

My financial life began turning around when I took responsibility for it.
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Currently: $0
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