Determine your startup’s specific needs and find a CPA whose services align with those needs. You want a CPA who is responsive, explains complex financial information clearly, and proactively addresses your questions and concerns. Consider scheduling initial consultations with a few different CPAs to gauge their communication style and ensure it’s a good fit. Setting up efficient bookkeeping and accounting systems from the start is crucial.

Does my startup need an accountant?

Some CPAs charge hourly rates, while others offer fixed fees for specific projects. It’s essential to discuss pricing upfront and understand what’s included in their services. Shay CPA focuses on the accounting and tax needs of tech startups, from pre-seed funding to exit.

Is Automated Accounting an Option for Startups?

Our Staff Accountants and Controllers come from the Big 4 and top venture capital backed startups. By understanding EBITDA and other financial metrics, investors and analysts can gain a deeper understanding of a company’s financial performance and make informed investment decisions. This tax credit provides financial relief and encourages startups to invest in innovation and development. Leveraging the R&D tax credit helps startups reduce their tax burden and allocate more resources to research and growth initiatives. If you need financial audit services, you will need to identify an accounting firm in your region that provides this service. By implementing these internal controls, startups can enhance the reliability of their financial reporting, protect their assets, and ensure compliance with laws and regulations.

Massey and Company CPA

While the cost savings of doing your own books may be appealing, the reality is that not using a professional bookkeeper for your startup may cost far more than you save in the long run. I personally can tell you, they’ve done a great job for our companies, including Calm.com. From Fintech to Agtech and most industries in between, Kruze’s team has worked with a wide range of companies.

Our team understands these unique needs and the financial challenges startups face, from managing tight budgets to preparing for rapid growth. At Alpine Mar, our experienced startup CPAs provide specialized services designed to simplify your startup’s financial operations. Tax services help startups to stay out of IRS trouble and legally minimize tax, either for the business or for its founders. A startup tax accountant can provide specialized expertise in handling tax returns and ensuring compliance as the company grows. Startups must file annual taxes, including federal and state income tax filings, and may also need to handle specific filings like the Delaware Franchise Tax.

How Does Good Accounting Help You Prepare for Due Diligence?

If you’re not sure about working with a CPA yet, what about a bookkeeper? There are plenty of bookkeepers who can sufficiently close the books for an ordinary business like a cafe or an auto repair shop. Startups often face unique accounting and financial challenges at every stage of their growth.

CPA vs. Bookkeeper: Understanding the Difference

Think of your CPA as a key advisor and partner in your startup’s journey. By actively engaging with them and providing the right information, you can unlock valuable insights and make informed decisions that drive growth. Whereas a traditional small business focuses on their bank account balance, startups focus on the KPIs that help them raise their next round of funding.

How to Complete a Business Health Assessment

This comprehensive guide explores how a CPA provides strategic value beyond bookkeeping – from Accounting For Architects goal setting and budgeting to financial reporting and contingency planning. Our team makes sure you are ready to fly through your next VC’s accounting, HR and tax due diligence. And when you use us as your bookkeeper, we set up and keep up-to-date a due diligence folder so you can get that next round of fundraising. Founder & CEO Vanessa Kruze is a CPA, Deloitte Tax alumni, and former Controller of a 120+ FTE startup. Kruze COO Scott Orn is a Kellogg MBA, former VC Partner and investment banker. Our FP&A team helps our clients prepare budgets and projections for fund raises and is lead by a former venture capitalists and operating executive.

• Certified Public Accountants must meet strict educational, licensing, and experience requirements.
• All monthly plans include unlimited support, so you don’t have to worry about hidden fees.
• A bookkeeper can track all your financial records—mainly income and expenses.
• Kruze COO Scott Orn is a Kellogg MBA, former VC Partner and investment banker.
• With their support, you can focus on building your business and reaching your goals.

The Role of a CPA for Startups

Monthly accounting help is great for funded startups, but DIY accounting may work for many pre-funded companies. Now you can either do your own accounting, or you can bring in an outsourced startup accounting firm to help you out and take this burden of bookkeeping off your shoulders. Plus, there are specific times when it makes sense to consult with a CPA—for example, to help you handle growth transitions, such as hiring employees or taking on more office space. They can look after specific details (payroll, employee tax management, property tax, utility payments, and so on), leaving you with time to look at the bigger picture of the way your business is thriving.

Rather than spending time and money on a full-time employee, startup founders can hire a CPA firm to handle financial and administrative functions. A CPA assesses potential risks, developing contingency plans that shield your startup from financial and operational pitfalls. Their strategic insights enable proactive hazard mitigation, safeguarding your business’s financial health.