START UP SERIES #8: FINANCE/BOOKKEEPING FOR STARTUPSSoftware Development, Startup Series | 0 comments | by Ioana Paicu
All startups must acknowledge the importance of organised financials. Recording transactions and keeping track of all sales, purchases, payments, receipts, and accruals for receivables and payables is paramount. Bookkeeping is all about keeping financial transactions as detailed as possible. However, the information must be well-organised and properly laid-out as well since the main goal is to have data that is useful and easy to understand by the people in your company.
Bookkeeping additionally means retrieving and storing business records on financial transactions. It demands a thorough understanding of credits and debits, as well as a basic understanding of financial statements. Now, when it comes to keeping financials in order, companies have various options that they can use: manual bookkeeping (spreadsheets) or automated bookkeeping (software programs and online accounting tools).
Bookkeeping software solutions for startups
Who is in charge of a company’s financials and accounting? Many of today’s savvy senior managers have specific requirements for assessing performance. As a small fish in a tank of sharks, you can’t afford to slip up because you might make mistakes that will cost you. Source documents like deposit records, cheques, bank statements, receipts for invoices and purchases, and bills from vendors must be well thought-out. All that information has to be stored in accounts and journals. Can you handle the paperwork? Do you want to manage the paperwork?
No, you don’t. It’s that simple. Why should you when you have apps to help you out? Believe it or not, using online bookkeeping tools for your startup is a lot easier than you think. Before making a decision, however, you must answer yourself the following question: what stage level is your startup currently at in term of transaction complexity and revenue? Then you can go ahead and make a choice.
Bookkeeping – the backbone of your startup
Many would say that employees are the backbone of any startup. On a productivity level, we couldn’t agree more. But regarding profit and profitability, no company will thrive if it can’t pay people and taxes on time, deliver orders, make deposits and send receipts for invoices and purchases. Outsourcing your bookkeeping is a brand new way of staying on track, and many new startups are acknowledging that technology can indeed simplify things; it can help senior managers save time and money.
There are lots of technologies available for new startups. Some tools will save you time, whereas others will help you understand your finances a bit better. Financial digital monitoring keeps you updated with important developments in your area of expertise. The right programs will teach you everything there is to know about business taxation; they will make bookkeeping seem easier to understand and implement. Digitise your startup’s bookkeeping and use the most useful resources the internet can provide. We’ve selected a couple of software programs to help you get started. Have a closer look and choose the ones that best complement your business goals.
Sush.io provides assistance with accounting, finances, and sales thus simplifying your life and keeping all your business apps in one place.
- Automation getaway tool for online apps that integrates services like PayPal, Dropbox, Stripe, Google AdWords, Evernote, Quickbooks, and more.
- Choose between the various levels of integration, from grey label to complete integration and offer connections and workflows in just a few steps.
- Built the workflows you need when you add a connector.
What We Love:
- Easy to connect to services customers already use
- Custom experience for users who can select from a wealth of integrations
- Stripe syncing to Quickbooks
- Free plan for the first 100 transactions
- Plan prices range from $49 to $249/month
Excellent invoice template meant for commercial use. It generates invoices for free (PDFs), thus saving companies a lot of time on invoicing and billing.
What we love:
- Attractive invoice template
- Downloadable invoices without signup requirements
- Free & unlimited.
Manage your money with Indinero and use this software to keep track of payable taxes, finances and payroll.
This one-stop-shop solution deals with all kinds of back office needs your startup might have.
What we love:
- Intuitive & easy to use accounting dashboard
- Tax advice services from the Indinero experts
- Outstanding customer support
- Expense Tracking
- Innovative software solutions
- Free consultation
- Upstart Plan – 500 transactions/month + unlimited historical data access ($19.95/month)
- Small Business Plan – 1000 transactions/month + unlimited historical data access ($29.95/month)
- Unlimited Plan – unlimited transactions + unlimited historical data access ($49.95/month)
A top clouding solution for startups with over 5 million users, Freshbooks helps you create invoices, record expenses, and track time fast and efficiently. This tool provides stellar customer service, and it is incredibly easy to use.
What we love:
- Online invoicing
- Team timesheets
- Expense tracking
- Late Payment Reminders
- Time tracking
- Invoice Management
- Data import
- Intuitive & easy to use cloud accounting software
- Sprout Plan (billing up to 5 clients) – unlimited invoices time tracking and expenses ($12.95/month)
- Seedling Plan (billing up to 20 clients) – unlimited invoices, time tracking and expenses ($19.95/month)
- Evergreen Plan ( billing up to 200 clients) – unlimited invoices, time tracking and expenses ($29.95/month)
- Mighty Oak Plan (billing unlimited clients) – unlimited invoices, time tracking and expenses, team sheets, revenue and expense tracking by staff member ($39.95/month)
Perfect for small businesses and startups, FreeAgent redefines your relationship with your finances. Keep everything in one place and use this user-friendly accounting software to track expenses and bank accounts, send invoices, and keep a close eye on profits and losses.
What we love:
- Unlimited projects, users and clients
- Award-winning support
- Useful webinars for all users
- Handy tools free of charge
- 30-day free trial
- Universal Plan – $10 for 6 months, and then $20/month
Cloud-based accounting solution for any startup aiming to keep its finances in good shape. Xero emphasises on mobility, thus allowing you to keep track of everything that’s happening in your company from your phone.
The Xero Touch app captures real-time data, has excellent integration with lots of other apps (POS, payroll and invoicing systems included) and seamless connectivity with mobile invoicing, banking transactions and receipt uploads.
What we love:
- Unlimited users
- Unlimited support (free, 24/7)
- Integration (up to 400 apps)
- Multi-currency accounting
- Free trials for all 3 available plans
- Starter Plan – $20/month
- Standard Plan – $30/month
- Premium Plan – $40/month
Wave Accounting makes sales tracking, getting paid and billing customers a lot easier. The cloud-based tool is free to use, and it is particularly aimed at small businesses.
It has basic accounting (double-entry accounting, bookkeeping, journal entries) capabilities and it can connect to your bank accounts, thus allowing automatic transfers and transactions.
What we love:
- Easy sales tracking
- Cloud-based feature
- 100% free of charge
- Automatic transfers and transactions
The time to move your startup to the cloud is now. Use the internet to your advantage and implement the best finance & bookkeeping tools to help you get your business off the ground. Control your cash flow from a distance, do something you love without losing time and money, and make better business decisions by using the smartest and most innovative accounting software programs. If you’re having issues understanding how these online tools work, IT Enterprise can help. Let’s work together and we promise you that our insight and expertise in the field will make your startup stand above the crowd.