Startup accounting and bookkeeping for founders from first funding through Series A and beyond: accrual-basis books, a monthly close and the numbers investors ask for, in whatever accounting system you use, for a fixed monthly fee.
Early on, a startup’s books are usually a bank feed and a spreadsheet. That stops working at the first raise, the first payroll or the first annual contract. We set the books up the way investors, auditors and acquirers will expect to see them later, so diligence doesn’t start with a rebuild.
What do startups need from their accounting firm?
- Accrual-basis books from the start, so revenue and costs land in the month they belong to
- SAFEs, convertible notes and priced rounds recorded and tied to your cap table in Carta or Pulley
- Monthly burn, runway and a cash forecast you can share with your board
- The same core numbers every month for investor updates
- Research and development costs tracked separately for your tax CPA, now that domestic research costs can again be deducted for tax years beginning after 2024 under Section 174A
- Stripe, Brex, Ramp, Mercury, Gusto and Rippling reconciled to the books each month
- A reminder and the figures you need for the Delaware annual report and franchise tax, due March 1
- Schedules and reconciliations ready when investors, lenders or auditors ask for them
When should a startup hire an accounting firm?
Usually at the first outside money or the first payroll, whichever comes first. Both bring obligations a bank feed can’t handle: equity and debt to record correctly, payroll taxes to reconcile and investors who expect monthly numbers. Bringing us in then usually costs less than rebuilding a year of books before a raise.
What support fits each stage?
| Stage | Our plan | Typical monthly fee | What you get |
|---|---|---|---|
| Pre-seed and seed, first hires | Launch | $599 to $699 | Monthly bookkeeping, merchant and payroll reconciliation, monthly statements |
| Seed to Series A, annual contracts | Growth | $2,440 to $3,750 | Accrual-basis month-end close, controller review, deferred revenue schedules |
| Board and investor reporting | Scale | $6,350 to $8,840 | GAAP-basis statements, investor reporting, budgets and forecasts with fractional CFO support |
See month-end close services and fractional CFO services for what the higher plans include.
Startup accounting by industry
SaaS startups
Subscription billing reconciled to the books, ASC 606 revenue recognition and deferred revenue schedules.
AI startups
Compute and model-API costs tracked against revenue, cloud credits and the gross margin investors look at.
Ecommerce brands
Shopify and Amazon payouts reconciled, inventory and cost of goods sold, and margin by channel.
Frequently asked questions
What accounting software should a startup use?
QuickBooks Online or Xero for most early-stage startups. NetSuite, Sage Intacct or an AI-native ledger such as Rillet makes sense once entities, revenue schedules or reporting demands grow. Our accounting software comparison by stage covers the trade-offs.
Should a startup use cash or accrual accounting?
Accrual, once you have investors, annual contracts or plans to raise. Investors and auditors expect accrual-basis statements, and switching later means restating past months.
How do you record a SAFE?
It depends on the SAFE’s terms. Many are recorded as a liability until they convert, while some qualify as equity. We read the agreement and record it the way your investors and any future auditor will expect, and keep it tied to your cap table.
Can you help us prepare for due diligence?
Yes. We prepare the reconciliations, revenue schedules and supporting detail investors ask for, and answer their accounting questions with you.
Do you prepare tax returns?
No. We keep the books tax-ready, prepare R&D documentation for your tax CPA and hand them a complete year-end package. Your tax CPA prepares and files the returns.
Books ready for your next raise
Book a free call and tell us where your startup is today.