Startup Accounting
How to Evaluate Your Accountant or Bookkeeper
Collated by Aparna Devalla, CPA
Curated by Rubric Financial
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Red Flags in Your Current Provider
- Books are consistently more than 30 days behind month-end — this means you are making decisions based on stale data and are not fundraise-ready.
- Financials are prepared on cash-basis only with no accrual adjustments — this is inadequate for any startup planning to raise institutional capital.
- Bank accounts and credit cards are not reconciled monthly — unreconciled accounts accumulate errors that become exponentially harder to fix over time.
- Your accountant is unfamiliar with startup-specific items like deferred revenue, stock-based compensation, convertible notes, or SAFEs.
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