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bookkeeping for startups is a process of managing daily financial records such as revenue, bills, salaries, and invoices. Proper bookkeeping also assists startups in tracking cash flow, tax filing preparation and budgeting. It usually involves the usage of software applications such as QuickBooks or Xero, balancing of the bank statements, and the sorting of receipts. As a startup in its initial phase, bookkeeping helps in keeping the finances clean and attractive to the investors. This is the most likely to be outsourced or shared with a part-time book keeper, particularly where the founders are more concerned with product development and customer acquisition.
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