Hit $50k in small business deposits this quarter and had to double check the numbers

I just ran my end-of-quarter report for my little consulting side gig and saw I hit $50k in deposits. That number surprised me because when I started last year, I figured I'd be lucky to pull in $10k. Most of it came from repeat clients which feels good since I was worried about keeping steady work. I use a basic business checking account with no frills, just a simple online bank I picked because it had no fees. The milestone made me think about whether I should upgrade to a proper merchant account for payments. Has anyone else seen their side hustle grow faster than they planned and had to rethink their banking setup?

2 comments

2 Comments

loganburns9d ago

Yeah same thing happened to me last year. I started doing some freelance web work on the side and before I knew it I was pulling in way more than I thought. For the bank thing, honestly I'd stick with what you got unless you start running into problems. The no fee online banks are fine until you hit that point where clients want to pay with cards or you need to run payroll. I upgraded to a proper merchant account when I hit $75k and honestly it wasn't this huge life changing move, just made card payments a little cleaner. The real thing you should watch out for is taxes, that $50k number looks great until you realize a quarter of it is going to the IRS.

emeryfox8d ago

Taxes sneak up on you fast. Put aside 30% minimum each time.