Have a discussion with your family and review your financial situation very carefully. You want to make certain you know how much it costs to live each month, and each year. Compare that amount with what you expect to earn as an owner and with your spouse's income contribution. In fact, you and your spouse should take time to fill in the worksheet below to get an idea of your annual personal cash outflow and what income you will need from your business.

How Much It Costs Us to Live—Your Cash Flow

Print out the Cash Flow Worksheet below and fill it in with your spending plan.

Since you want savings to be a planned expense, cash balance should equal $0.

After you have added up the figures in the cash flow worksheet, you'll have a good idea of how much family income you need each and every month. You may decide that your spouse will have to work, full- or part-time. Or if he/she is already working, to use that income to live on—which is one reason it is so important to discuss your plans as a business owner with your family. Your kids, too, can pitch in small ways, doing things around the house that you might otherwise have paid someone else to do, or that you or your spouse may not have time to do, such as mowing the lawn, washing the car, cleaning, doing the laundry, or babysitting.