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Business expenses are defined as ordinary and necessary costs incurred to to operate the business, like payroll, rent and inventory costs. However, tracking those expenses is often a challenge for small businesses, which impacts planning, makes understanding cash flow difficult, and can result in major financial issues that may even force business owners to unnecessarily dip into personal funds. Small business leaders can avoid those challenges by taking seven steps to effectively track and manage business expenses. One: Open a business bank account. This makes it easier to track business expenses and claim them as tax deductions later. Business accounts help establish your company as its own entity by separating business funds from personal funds, and typically provide the option for a line of credit that can be used to cover cash flow shortfalls. Two: Use a dedicated business credit card. Establishing and having available credit is a strong indicator of f
