Running a business takes passion, determination, and creativity. But one area many entrepreneurs struggle with is understanding their finances. While marketing and sales often get most of the attention, the numbers behind your business are what truly determine whether your company grows or struggles.

On a recent episode of Real Talk with Iris, host Dr. Iris Wright sat down with accountant and financial coach Kimberly Wiggins, founder of Profitable Penny Accounting, to discuss why mastering your money is essential for business success.

With more than 30 years of experience in accounting, Kimberly now helps women-owned service businesses eliminate what she calls “financial fog.” Her goal is to help entrepreneurs understand their numbers so they can confidently lead their businesses and make smarter financial decisions.

From Corporate Accounting to Entrepreneurship

Before starting her own company, Kimberly spent years working in corporate accounting. During that time, she noticed something that troubled her: many business owners ignored their financial data.

Even when accountants provided reports and warnings, some leaders chose not to pay attention to the numbers. In one situation, Kimberly repeatedly warned a client that their financial position was declining, but the warnings were dismissed.

Eventually the business was on the verge of bankruptcy.

That experience helped Kimberly realize she wanted to work with entrepreneurs who were willing to understand their finances and use that knowledge to grow their businesses. She later launched Profitable Penny Accounting to help business owners gain control of their financial systems.

When Should You Hire an Accountant?

Many new entrepreneurs believe they should hire an accountant as soon as they start a business. However, Kimberly suggests that many business owners bring in accountants too early.

In the early stages of a business, the number of transactions is usually small. This makes it a great opportunity to learn how money flows in and out of your company.

Kimberly recommends that entrepreneurs consider hiring an accountant once their business consistently generates around $5,000 to $10,000 per month in revenue. Before that point, learning the basics of your financial system can help you build a stronger foundation for growth.

Understanding your numbers early helps you become a more confident and informed business owner.

Your Numbers Tell the Story of Your Business

Financial data reveals far more than most people realize. Your numbers can show:

• Your break-even point
• How much profit your business actually keeps
• Where your money is being spent
• Whether your business is financially healthy

Without this information, business decisions can easily become guesswork.

Kimberly emphasizes that financial statements help business owners identify trends, spot potential problems, and make better decisions about spending and growth.

Identifying Hidden Financial Leaks

Sometimes businesses generate good revenue but still struggle financially. Kimberly shared an example of a client who was earning solid income but couldn’t understand why money never stayed in her bank account.

After reviewing the financial statements together, they quickly discovered the problem: excessive advertising expenses across multiple platforms.

Because several team members were managing different ads, the total spending had gone unnoticed for months. Once the business owner understood where the money was going, she could evaluate which ads were effective and eliminate the ones that were wasting money.

This situation highlights the importance of regularly reviewing financial statements.

A Simple Rule for Business Growth

Kimberly believes that financial awareness is a key part of business leadership. When entrepreneurs understand their numbers, they can approach decisions with clarity instead of uncertainty.

One quote she shared during the interview captures her philosophy perfectly:

“What you pay attention to grows.”

Just like a plant needs water and care to thrive, a business needs consistent attention to its financial health.

When business owners take the time to understand their numbers, they give their companies the foundation needed for long-term success.

Guest: Kimberly Wiggins
Founder of Profitable Penny Accounting

Social Media:
Facebook & Instagram: Profitable Penny
LinkedIn: Kimberly Wiggins