Four Step Checklist for Getting Your Startup’s Finances in Order

09 Sep Four Step Checklist for Getting Your Startup’s Finances in Order

Posted at 08:00h in

Business Tips

by Becky Brown  •  0 Comments

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  1. Start today

Procrastination can be a major barrier to success in any area of your life. If you put off getting the finances of your startup in order, it can quickly go from being a startup to being a failed business venture. The first step to getting everything in order is simply to start today. If you are already behind with the accounting responsibilities, stop the bleeding and keep up with your finances going forward.

  1. Make it a priority

There are a variety of reasons to open your own business. You may have the entrepreneurial bug and love the rush that comes with starting something from the ground up. Perhaps you have a long held passion and found a way to get paid for doing something you love. Either way, you did not start your own business simply for the pleasure of compiling large amounts of financial information (unless you just started an accounting business)! It is easy to focus on the areas of your business that you are passionate about and ignore all the others. But, accurate accounting is part of what will make it possible for you to continue running a business that you love.

  1. Get organized

If you do not know where to begin getting your finances in order, the solution may be as simple as getting organized. A mountain of receipts and invoices on your desk can be overwhelming. If that mountain is separated into one pile of receipts and one pile of invoices then it is less overwhelming. Once those receipts and invoices are entered into a spreadsheet or accounting software, you will start feeling even better. Taking the receipts from a mountain to two piles and eventually to a spreadsheet is an example of the organization you need to do to get your startup’s finances in order.  Break the process down into manageable steps and put a time limit on each step. This will keep you from getting stuck before you ever get started.

  1. Hire help

There are some situations where the best option is to hire professional help for your finances. Hire help if you are not comfortable completing the accounting responsibilities for your business. It will be worth the money because you will gain the peace of mind that comes with knowing things are being handled properly.

If you do not have time to consistently work on your finances then you need to hire help. The accounting responsibilities of your business cannot be ignored. You need accurate financial records in order to determine what is and is not working in your business. In addition, the details of your finances will be required when tax time comes around. Inaccurate reporting on your taxes can cause major problems for you and your business. An accountant or virtual accounting firm can help you with the finances at all stages of your startup.  

Whether you decide to go it alone or hire professional accounting help, get your finances in order. You are living your dream of starting and running your own business, do not let a lack of accurate accounting get in the way of your success.

 

Topics: Business Tips