Why is it important to separate business and personal finances? -

If you do not separate than if your business owes money then they can come after your personal finances and property. You don t want your house to be taken because your business is in trouble.

it all comes down to claiming taxes at the end of the year. It s easier having everything seperated. Plus you can keep track of your expenses and profit from your business. It gets too confusing if you combine everything.

In case your business gets sued or audited by the IRS. That way your business is liable and not you.