One of the basic strategies to growing a business, whether it be home-based or otherwise, is to diversify. Multiple streams of income – that’s a common mantra.
From an accounting standpoint, QuickBooks (the accounting software) provides a way to manage multiple entities within one business. It called Classes. Using Classes varies somewhat depending on your version of QuickBooks, but you basically assign a class to each of your business entities. Classes are then assigned at each transaction. Reports can be then generated by class. Profit and Loss statements by Class for example, give a nice clear picture of how each leg of your business is doing.