When Burkland’s startup accounting team engages with a new client we begin with two things:
- Reviewing and cleaning up the books
- Implementing ongoing accounting processes
A critical part of the process implementation phase is helping to specify and set up an accounting system that will best serve the company’s needs. By working with thousands of startups over the years, our team has learned first-hand what to look for in a good accounting system. While no two startup’s needs are exactly the same, this article provides a general overview of what to look for when it’s time to get an accounting system for your startup.
Things to Look for in an Accounting System
- Scalability – Will the system continue to serve your needs as you reach new revenue, funding, and growth milestones?
- Cost-Effectiveness – Are the implementation and ongoing costs affordable and sustainable, and are you primarily paying for features you’ll actually use?
- Interoperability – Does the system “play nicely” with other popular business systems your company, vendors, partners, and customers are likely to be using?
- Wide Adoption – Are the individual tools within the system familiar to and supported by other professionals with whom you may need to collaborate?
- Data Ownership – Will you own all of your financial data, or will some of it be locked into a proprietary tool?
- Customer Support – What level of customer support is provided by the vendors, and at what cost?
- Industry Features – Does the system provide all of the specialty components and features that are important for your industry or sector?
Key Components of an Efficient Cloud-Based Accounting Tech Stack
- Basic Accounting Systems are recommended for most startups (i.e. Puzzle, Quickbooks)
- Spend Management Tools (i.e. Ramp, BILL.com, Brex)
- Payroll Systems (i.e. Gusto, Rippling, Justworks)
- Inventory Management Add-On Systems (i.e. SOS, Dear)
- Consolidation and FP&A Add-On Systems (i.e. Fathom, Syft)
- Upgrade to an ERP System as you grow. With ERP you can consolidate basic accounting software needs and add-on system needs like inventory, insurance premium tracking, high volume deferred revenue tracking, and consolidations into one system. (i.e. NetSuite, Sage/Intaact)
Burkland’s accounting team is ready to work with your startup to help you design and implement the best accounting tech stack to meet your needs today and in the future. We start by listening to you to understand your business model and your specific needs and work collaboratively with your team throughout the process. As a trusted partner to our clients, we never take kickbacks or incentives from the vendors we recommend. We pass the discounts we receive onto our clients. Contact us to request more information.