Spa Marketing Made Easy Podcast Summary

Episode: SMME #429 Using Your Numbers to Make Better Business Decisions with Danielle Hayden
Release Date: April 14, 2025
Host: Daniela Woerner, Licensed Aesthetician and CEO of Atto Aesthetics
Guest: Danielle Hayden, CPA and CEO of Kickstart Accounting

1. Introduction

In episode #429 of the Spa Marketing Made Easy Podcast, host Daniela Woerner welcomes Danielle Hayden, a unique professional who transitioned from a hairstylist to a Certified Public Accountant (CPA). This episode delves into the critical role of financial literacy in running a successful spa business, emphasizing how understanding and leveraging your numbers can lead to better business decisions and overall growth.

2. Danielle Hayden’s Journey: From Hairstyling to Accounting (00:30 - 07:04)

Danielle Hayden shares her unconventional career path, starting as a hairstylist where she discovered her knack for numbers. While working behind the chair, Danielle became adept at analyzing paychecks and achieving financial goals, eventually helping her colleagues do the same. Her passion for financial management led her to pursue formal education, obtaining a master's degree and becoming a CPA. Balancing education and work, Danielle transitioned fully into the accounting field, joining Ernst and Young before founding her own firm, Kickstart Accounting.

Danielle Hayden (06:14): "I realized I had this knack for helping people understand the numbers and to use it as a game."

3. The Importance of Financial Literacy in Business (03:19 - 12:30)

Daniela and Danielle discuss the common discomfort many business owners feel when dealing with finances, taxes, and money management. Daniela highlights the societal taboo around discussing money, which often hinders business growth. Danielle emphasizes the necessity of normalizing financial conversations to empower business owners.

Danielle Hayden (02:38): "My mission is really to make money and numbers approachable and, and fun to talk about."

Danielle recounts an experience where she observed corporate executives effortlessly discussing financial strategies, sparking her realization that small business owners deserve the same access to financial insights.

Danielle Hayden (07:38): "Every business owner... deserve access to that same information so every single person can make that same decision."

4. Building a Comprehensive Money Team (12:30 - 18:20)

One of the episode's focal points is assembling a "money team" to manage various aspects of a business’s finances. Danielle outlines the four essential roles:

1. Bookkeeper: The foundation of financial organization, ensuring accurate and timely financial statements.
2. Tax Accountant: Specializes in filing tax returns and provides tax planning strategies.
3. Financial Advisor: Helps with personal financial goals and ensures business profits support personal life objectives.
4. Chief Financial Officer (CFO): Focuses on strategic budgeting, debt management, and future financial planning.

Danielle Hayden (12:37): "The primary person is your bookkeeper... our most important person that's going to organize and coordinate everything for you."

Daniela echoes the importance of these roles, sharing her own experience of collaborating with financial professionals to align business goals with personal life aspirations.

Unknown Host (16:39): "And I think there's a lot of things about the way that you operate your company about the relationship piece."

5. Bookkeeping vs. CPA: Clarifying Roles (14:16 - 19:13)

Danielle elaborates on the distinct responsibilities of bookkeepers and CPAs. While bookkeepers handle the day-to-day financial entries and provide monthly financial snapshots, CPAs focus on tax filings and planning. This clear division ensures that business owners receive comprehensive financial support without overlap or confusion.

Danielle Hayden (14:16): "The bookkeeper is showing you where you just went. Right. Like what just happened."

She criticizes the traditional CPA approach as too transactional, advocating for a more integrated system where bookkeeping and tax teams collaborate to offer strategic financial advice.

Danielle Hayden (19:13): "Your CPA should at least annually be looking at your entity structure to let you know if you are working within the right entity structure."

6. Strategic Business Planning and Goal Setting (18:20 - 22:41)

The conversation shifts to strategic planning, highlighting the importance of setting clear financial goals aligned with personal life desires. Danielle advises business owners to evaluate their entity structure, such as considering an S Corporation, once certain financial milestones are met.

Danielle Hayden (22:41): "Your CPA should at least annually be looking at your entity structure to let you know if you are working within the right entity structure."

She outlines three critical milestones before transitioning to an S Corp:

1. Consistent Net Income: Achieving a net income of $100,000 or more for over two years.
2. Regular Owner’s Draws: Ensuring consistent withdrawals to pay oneself.
3. Separation of Finances: Avoiding commingling personal and business expenses.

7. Transitioning to an S Corporation (22:39 - 26:31)

Danielle provides a detailed guide on when and how to switch to an S Corporation, explaining the tax benefits and operational advantages. She stresses the importance of having robust bookkeeping and regular financial assessments before making the change.

Danielle Hayden (24:34): "It is a great tax savings. You can pay yourself through payroll, you can enjoy the reimbursements through an accountable plan."

She also addresses concerns related to personal and household income, assuring that proper business structuring does not negatively impact personal finances.

Danielle Hayden (25:04): "We have to look at the business as its own entity... I don't believe I've ever seen where becoming an S Corp actually affected, negatively impacted that your personal tax return."

8. Final Thoughts: Empowering Spa Owners with Financial Insights (26:31 - 29:14)

As the episode concludes, Daniela expresses enthusiasm about partnering with Kickstart Accounting, highlighting the alignment in values and the supportive nature of Danielle’s team. Danielle invites listeners to connect with her through Kickstart Accounting’s website and social media, emphasizing her firm’s commitment to long-term client relationships and continuous financial education.

Danielle Hayden (27:54): "We have long term relationships with our clients and we can have an open conversation."

Conclusion

This episode underscores the pivotal role of financial management in the spa industry. Daniela Woerner and Danielle Hayden collaboratively highlight how building a competent money team and fostering financial literacy can transform spa businesses, enabling owners to make informed decisions and achieve both professional success and personal fulfillment.

For spa owners seeking to elevate their business through enhanced financial strategies, this episode offers invaluable insights and actionable advice, positioning Danielle Hayden and Kickstart Accounting as essential partners in their growth journey.

Connect with Danielle Hayden:

• Website: KickstartAccountingInc.com
• Instagram: @KickstartAccounting
• Podcast: Business the Books – Weekly discussions on leveraging numbers for better business decisions