Mixed Personal and Business accounts

[Karl Grant]

Hi again,
 I'm trying to separate my (very small, side-) business and personal
accounts. Currently they have been together in the one file although the
base accounts (assets / liability etc) are duplicated; My thinking was that
anytime I purchases something for personal use I could enter the transaction
as follow:

Credit Business Assets:Current Assets:Current AC;
Debit Personal Expenses:Gifts

Thought that was a good idea until I sat down to work out my taxes and found
that there was no way to track the money in and out of my business!

I would like your learned opinions on the following before I implement it,
advice, criticism or general mockery accepted :-)

1) Separate the business and personal accounts into two separate files
2) Any money spent on personal use, by cheque or credit card, is entered
into a Equity:Drawing account
3) this amount is entered into the personal set of accounts under
Income:FromDrawings and as an Expense in the relevant account
4) Money going the other direction (probably cash) Personal to Business is
entered into a Expense:ForBusiness account (is this right?)
5) the same amount is entered into a Equity:Personally Added Capital (any
better names?) and the relevant business expense

Sorry if the terminology is a bit all-over-the-place, but I've no formal
experience with accounting.
-- 
Karl