15 July 2018

Startup Finance

The finance tools we use for our startup

For me, finance was one of the areas that initially intimidated me about starting my own business.

It turns out, there are just a few basic tools you need.

  • QuickBooks Online - We’ve had a number of accountants. Don’t let them talk you into the enterprise desktop version. Use this for tracking everything and sync it to your actual accounts.
  • We use JustWorks as a PEO. This allows us to seamlessly ensure that our employee and contractor taxes get withheld.
  • DryRun - Useful for modeling cash flow.
  • Excel / Google Sheets - Turns out spreadsheets are where most of the interesting things happen. Use these to create models, test scenarios, etc.
  • Our bank has a “dropbox” service that we can have checks sent to that will automatically get deposited. This is handy. Not free … but handy.

Things To Learn Or Pay Attention To

  1. Learn to read a budget. (Corallary: Learn to write a budget)
  2. Follow AR. Stay involved in invoicing.
  3. Develop processes for everything related to finance.
  4. Graph cash flow.
  5. Understand costs.