Startups are built to move fast. But when the finance function can’t keep up, it’s only a matter of time before things start to break.
It usually starts innocently enough—some spreadsheets here, a QuickBooks file there. But as the team grows and the complexity increases, you find yourself asking: “Where did the cash go?” or “Why don’t these numbers match?”
That’s your sign to set up a scalable financial system.
Start with your chart of accounts. It’s the foundation of your reporting, so don’t overcomplicate it—but don’t oversimplify it either. Use clear, consistent categories that make analysis easy later.
Next, pick tools that will grow with you. QuickBooks might work now, but consider layering in expense management (Ramp), payroll (Gusto), and maybe even a custom dashboard if you want real-time KPIs.
Your monthly close should be non-negotiable. Close the books. Reconcile your accounts. Review your cash position. It doesn’t have to be perfect—just consistent.
And please, track your key metrics. Burn rate, runway, CAC, LTV. These aren’t just investor buzzwords—they’re how you make better decisions, faster.
The best part? Once your system is humming, you’ll stop dreading “finance stuff” and start using it as a strategic advantage. That’s when things really click.
