Despite accounting’s boring reputation, it can't be emphasized too much how essential it is that your business follows best practice accounting principles right from the start. No matter what size your startup is, there are some fundamentals that even the smallest self funded startup should be applying from the get go.
To keep your people costs down it can be beneficial to automate as many of your processes as you can.
Here are 5 Tech Tools that can help you get it right from the start...
One of the top priorities from the early stages of your startup should be positive cashflow. Tracking startup expenses right from the beginning can help you avoid cashflow issues and give you more time to concentrate on developing your technology rather then on operational fitness.
According to their website, “Hubdoc helps companies say goodbye to data entry." We say it's a great all-in-one expense tracking software solution which automatically converts receipts, bills, invoices and statements into data they can use, exportable to great account software, like Xero or QuickBooks.
If you're interested in automating your bookkeeping workflow and eliminating data entry, this is a must-have application.
Cost: $20 per month with 14-day free trial
As a fast-growing startup with limited resources it's absolutely essential that you make the best possible use of your time.
If you're wondering why Zapier should be in your business Toolkit, here's why. Zapier is a tool that connects over 750 apps which means you can eliminate duplicate data entry, automate huge portions of your business, and make some powerful processes. It basically enables you to automate as many of your processes as you can.
It also offers a plan just for startups to help automate marketing easily. A multi-channel marketing automation platform allows users to connect over 800 different tools, send automatic responsive emails and more.
Cost: 30-day free trial, with a base package at $20 a month and a business package at $40 a month.
3. Practice Ignition
It is really important to get paid on time, every time, especially when you're starting out. Practice Ignition is designed to help you collect payments automatically on a schedule you implement. Companies use Practice Ignition to streamline client on boarding, improve cashflow, and forecast their company's success.
This is a great tool that helps you get paid faster. It automatically bills your clients based on their fee schedule and sends them the invoices from which they can immediately settle their fees.
It enables you to see powerful, reliable business insights in real time. You can make accurate revenue forecasts, know where your revenue is streaming from and how to maximise and determine objectives and goals that you want to achieve.
Cost: starter plan from $99/month with 14 days free trial
Integrate Xero with Practice Ignition
Practice Ignition automatically creates invoices in Xero and marks it as paid when Practice Ignition Payments are enabled and when they debit the client.
4. Spotlight Reporting
Great budgeting and cash flow forecasting can mean the difference between business success and failure. Forecasting is an ‘all-in-one’ budget creator, three-way forecasting and scenario builder.
Spotlight is a powerful management reporting tool designed to help clients or businesses make informed decisions to achieve better business outcomes. It enables Virtual CFO reporting, strategic planning, goal-setting, budgeting, forecasting, multi entity and more.
Cost: starter plan from $50/monthly
Their words ‘Reports that don’t suck’. That says it all really! Drag and drop receipts into folders, track personal and business receipts and keep them for future. This is a great way of getting rid of all those paper receipts and ensures you have all your receipts for tax time. But not only do they store your receipts but they compile them and give you useful reporting. Just another way of keeping on track of your spending. Oh, and the best part is it is free!
Never underestimate the importance of employing Accounting best practices
No matter what type of business you run, never underestimate the importance of employing accounting best practices for your business from the very start. This may not seem like the top priority in the early stages of your startup, but as your business grows and demands more of your time, effective accounting and cashflow management structures will become critical to your business’ ability to scale.
Our Business Accounting team is fully trained and experienced locally in using best practice financial management disciplines to support your accounting and processing needs. We offer short and long term solutions as well as fixed price agreements to support your business at any stage in its lifecycle. Speak to us today about how we can help your business grow.