Open a separate business account using your formation documents and tax ID, and keep business and personal spending apart. File receipts every week in categories your accountant uses. Make sure every invoice has a number, the work done, the total, the due date and how to pay, and keep a list of unpaid invoices. Rules vary by state and city, so confirm requirements with the official agency.
What documents does a bank request?
Commonly formation documents, EIN or SSN, owner identification, and any business licenses or DBA filing. Ask your bank for its current list. Some banks also ask for an operating agreement for LLCs or a resolution for corporations; ask before your appointment.
How do I separate business and personal records?
Use a separate business bank account and card, pay yourself by transfer, and keep business receipts apart from personal ones. Mixing funds makes taxes harder and can weaken liability protection for some entities; keep them apart from day one.
How do I organize receipts?
Photograph or scan receipts weekly, name them consistently (date-vendor-amount), store them in one cloud folder or in your bookkeeping app, and note the business purpose. For larger purchases, also keep the invoice and warranty with the receipt so returns and warranty claims are easy.
What bookkeeping categories do I need?
Categories usually follow your tax forms: income, cost of goods, supplies, rent, utilities, insurance, vehicle, advertising, software, professional fees, payroll. Ask your accountant which they prefer. Use the same categories every month so reports are comparable over time.
What should an invoice contain?
Your business name and contact, customer name, invoice number and date, description of work, quantities and rates, taxes if applicable, total, due date and how to pay. Number invoices in sequence and keep a copy of each; it makes reconciling payments simple.
How do I track unpaid invoices?
Keep a list with invoice number, customer, amount, due date and status. Review weekly and follow up politely at set intervals. Send a friendly reminder shortly after the due date, then a firmer one, and note each contact.
Worked example
A handyman opens a business account, pays himself by transfer and photographs receipts weekly. Invoices are numbered with clear terms, and unpaid ones are reviewed every Friday.
Common questions
What documents does a bank request?
Commonly formation documents, EIN or SSN, owner identification, and any business licenses or DBA filing. Ask your bank for its current list.
How do I separate business and personal records?
Use a separate business bank account and card, pay yourself by transfer, and keep business receipts apart from personal ones.
How do I organize receipts?
Photograph or scan receipts weekly, name them consistently (date-vendor-amount), store them in one cloud folder or in your bookkeeping app, and note the business purpose.
Sources
Sources checked October 6, 2026. Rules, fees and forms change; confirm details with the agency or provider before you act. This guide is general information, not legal, tax or insurance advice.
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