How to Stop Wasting Money When Starting a Business: Smart Financial Tips for Side Hustlers

Let’s be real — starting a business is exciting, but it can also be expensive. Between the shiny tools, subscriptions, and random things we convince ourselves we need, it's easy to spend money without even realizing where it's all going.

In a recent episode of The Side-HustlHER Podcast, I sat down with my business bestie and financial coach, Abigail Sarage of Tailored Financial Solutions. We talked about all the money mistakes side hustlers make — and some financial tips to get your finances together before (and after) launching your business.

Whether you’re still working your 9-5 or you’re in year one of full-time entrepreneurship, this post will help you create better habits, make smarter financial decisions, and keep more of the money you’re making.

1. Your Mindset Matters More Than Your Budget

Before we talked numbers, Abby reminded us that it all starts with mindset. If your personal money habits are a mess, that behavior will definitely show up in your business.

"If you’re not a good steward over your personal finances, you won’t be one over your business finances either."

💡 Pro Tip: Start by tracking your income, spending, and debt. You can’t grow what you don’t measure.

2. Separate Your Business and Personal Accounts

This one is simple but so many new entrepreneurs skip it.

Even if you don’t have an LLC or business credit card yet, open a separate checking account just for business expenses. This will save you so much stress during tax season and help you clearly see what’s coming in and going out.

3. Budget for What You Actually Need

One of the biggest mistakes we both made? Buying everything we thought we needed to “look legit.”

From $1,500 websites we don’t use anymore to $500 brand shoots that didn’t align — we’ve been there.

Instead, start small. Use free trials. Look for templates. Ask your biz besties for hacks (like Abby’s tip about buying yearly subscriptions to save money in the long run).

4. Use Your 9-5 to Fund Your Dream — Strategically

If you’re side hustling, that paycheck is your biggest investor. Set aside a percentage from each check to fund your biz — without sacrificing your personal goals.

Abby recommends opening a high-yield savings account just for your business and contributing to it monthly. Even $50 adds up!

5. Track Everything (Yes, Even Your Mileage)

Whether you love spreadsheets or need an app to keep you sane, tracking your finances is non-negotiable.

Abby’s go-to? A detailed Excel sheet that includes:

• What you spent

• Where you spent it

• What card you used

• What the expense was for

If that sounds overwhelming, apps like QuickBooks or Wave can do the heavy lifting.

6. Be Cautious With Debt

Can you start a business while paying off debt? Absolutely. But be smart about it.

"Don’t take your debt repayment money to fund your business. And don’t rack up business debt unless you have to."

If you’re going to use credit, look for 0% interest cards (like the American Express Business Blue) — but only if you’re confident you can pay it off before the interest kicks in.

7. Pay Yourself Back + Stay Disciplined

If you fund your biz with personal money in the beginning, track it — and pay yourself back.

Make your business accountable from day one. That means documenting every expense and staying disciplined with your goals and spending. No more buying stuff just because someone else on Instagram has it!

Ready to Get Your Finances in Order?

Abby is sharing two free resources to help you get started:

• Download the “Where Is My Money Going?” Budgeting Spreadsheet

• Take the “Do I Need a Financial Coach?” Quiz

And if you’re serious about getting your finances together this year, book a discovery call with Abby at TFSJourney.com and mention Side-HustlHER Podcast x Carli for 20% off any service!

Starting a business doesn’t have to mean going broke. With the right mindset, a realistic budget, and good stewardship, you can grow your brand and your bank account.

You’ve got this — and if you ever feel overwhelmed, just remember: you’re not alone.

Tune into the full episode here: 🎧 Listen Now to “How to Stop Wasting Money When Starting Your Business”