Accounting Services for Startups That Keep Pace with Growth
Startups deal with complicated edge cases around what they purchase and sell. It’s true that a product company might juggle sales tax, refunds & shipping and inventory costs. A SaaS team might manage subscription billing & multi-state rules and “when is revenue earned?” questions. Our specialized accountants for startups step in right here in order to keep your recordkeeping professional from day one.
What are the Startup Accounting Services?
Accounting services for startups cover bookkeeping and tax reporting along with advisory work that converts transaction data into meaningful numbers/amounts. Startups can expect the below actions:
- Categorized bank & card and payment processor transactions
- Monthly financial statements you can share with leadership
- Burn rate & runway and budget tracking
- A chart of accounts that complies with the business model
- Clean vendor and contractor workflows
- Year-end files with a smoother nature in terms of tax preparation
When is it Time to Hire a Startup CPA?
It’s the correct time to hire a startup CPA — once the cost of a mistake is higher than the cost of support. In this aspect, the following signs are general action calls:
- Fundraising is coming & investors would like to have consistent reporting
- You added payroll or benefits or reimbursements
- You pay contractors in more than 1 state
- You sell through marketplaces or affiliates, or multiple channels
- Your tool stack produces conflicting numbers
How Do You Get Investor-Ready Reports for Fundraising?
Startups get investor-ready reports by closing the books the same way every month — and keeping backup data for each material figure. Our accountants for startups pay attention to the following points:
- Confirming account balances comply the books across banks & processors
- Separating one-time costs from ongoing operating spend
- Linking revenue to invoices & contracts and customer refunds
- Building a proper cash forecast considering potential hiring plans
- Organizing statements & supporting schedules for a data room
What Do Startup Bookkeeping Services Look Like each Month?
Startup bookkeeping services function best with a short & repeatable and professional close. Our dedicated accountants for startups perform a solid close that can be summarized as below:
- Matching receipts & invoices to transactions
- Reconciliation of each bank & card and processor
- Reviewing expense coding for consistency
- Recording payroll and contractor costs
- Posting accruals for prepaid items and large bills
- Delivering statements — plus a brief summary of changes
What Should You Keep for Common Startup Transactions?
| Transaction | Keep | Benefit |
| Subscriptions and cloud tools | contract, term, renewal date | better budgeting and timing |
| Inventory and freight | invoice, units received | cleaner COGS and margins |
| Refunds and chargebacks | reason, date, amount | truer revenue analytics |
| Equipment purchases | invoice, in-service date | accurate depreciation |
| Contractor payments | W-9, scope, payment log | easier 1099 filing |
How do you prevent sales tax issues as you scale?
Startups might prevent sales tax matters by mapping where they have nexus & confirming product or service taxability by state and an early filing cadence.
What Happens During Onboarding?
In the initial days, we simply stabilize the setup and generate an operating rhythm. In other words:
- We, review your books & apps and chart of accounts
- Then we fix miscategorized activity & missing documentation
- Afterwards, we set close dates and an approval path aligning with your team
- We build professional cash reporting
- And then, we list deadlines and action items for the next quarter
Ready to Work with Dimov Tax on Your Startup Finances?
Get in touch with Dimov Tax and tell us where the amounts & processes stand today. Our expert accountants for startups are ready to map out a professional path to proper bookkeeping.
FAQs
How much do accounting services for startups typically cost?
Pricing varies in parallel to transaction volume & payroll and distinct reporting processes. Startups generally prefer a monthly package that can scale as activity grows.
Can accountants for startups clean up books that are behind?
Definitely. We reconcile accounts & fix mis-coding and present updated financial statements in order to match numbers with reality.
Which tools work best with startup bookkeeping services?
Teams generally use QuickBooks Online — plus processor tools — e.g. Stripe, Shopify, Gusto and Bill.com — all linking back to the same ledger.
Do startup tax services include contractor and payroll filings?
Generally — yes. That covers 1099 prep for contractors and payroll tax filings — plus year-end reporting.