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propelleteer 7 points

I own my car, can my company make payments the payments instead of my personal account?

124boxer 1 point

If you have payments on a vehicle, if your company can afford it- I don't see why not according to what I've learned.

jt121 6 points

Do you use your vehicle for work? I was under the impression (not knowing much about businesses, that is) that it had to be something you use for client meetings, job site management, etc. to be a write-off.

124boxer 7 points

I do and yes it does.

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Chisasyn 1 point

This is a normal stage of business for someone who jumped in feet first and ran hard as they could... years go by, and then eventually you realize that you have succeeded, but it doesn't feel like its real. So here you are, you have two businesses which are doing well, and your personal finances are a mess. You're churning through capital yearly in amounts which seem unbelievable to anyone not in business themselves.

And yet .. you're broke.

As many here have pointed out, you're over spending and the car lease is a symptom; Even if it does make perfect sense if one of your businesses is paying for it, is it?

Every time I audit a company that looks like yours probably does right now, your finances are a mess, business and home; And they are intermixed, which is worse.

Your income should be more than sufficient for your life, even in someplace like Tokyo, Seattle, or San Jose. Separating the business' from your personal life, and doing the documentation to backup what the business pays for is important. I expect that you are leaving many of those tasks to the side, thinking them unimportant... do the business, make money right? But those tasks, documenting the business lunches, the additional fee's paid for business to operate are business expenses and you need to get your personal finances out of the business.

I see from the comments that you are getting a budgeting system started. And as a business person this is very important, but remember that both of your businesses need to be managed the same way (they need budgets too). How your choose to pay for your life is up to you, but with a business (or several) some of your life is paid by the business. And if not then it should be.

Best of Luck.

124boxer 1 point

Thank you so much. Luckily for me, and because of some foresight I already knew finance wasn't for me- so I hired a Financial Officier when my company was big enough. Therefore, the businesses run quite well without my interference on the financial end.

I don't pay myself any dividends or profit just yet because I am gearing up for some acquisitions in the future- so I could easily ask my FO to issue a bonus and clear 50% of my debt tomorrow but I won't. It's irresponsible and short sighted and not my businesses fault I was a dumbass w. My money.

Funny- when you put me in business mode, I know what I'm doing. Stick me on my couch and here I am buying a watch I don't need. Go figure.

heartfelt24 1 point

Your car lease is one area where you can save significantly. Get a low cost car. In my opinion, Skoda sells cheap cars which would still not dent a "business image", if you're interested in that.

124boxer 0 points

Unfortunately we don't get skoda here!

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fireceros 2 points

You should look closer to where your expenses are. Even with the expenses you listed of 3800/mo, you should be able to save about $40k a year with that salary after taxes. Probably more if you did some of the saving pre-tax in a solo 401(k). But, if you are not saving that much, where is the money going?

Also, if I were you, I would not rush getting into home ownership. There is no shame in renting, and it is often financially a better choice. Buying a new home usually leads to many other expenses that people don't usually plan for, so I would wait until you are definitely sure you can afford it, while still saving.

124boxer 2 points

Thank you, I Agree with the home part.

GeneralTry 2 points

don't know if it's possible to get rid of the lease though

You might have to pay a penalty for breaking the lease early but that's it.

What car is it?

124boxer 3 points

It's a BMW- and unfortunately the only way out would be to die or pay the lease off in its entirety. I could also potentially put it up on lease trader or swap a lease.

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