Startups have different business models, but all of them are in a situation where budgets are tight. In other words, accounting turns into a very important element.

Hopefully these tips will help you take better business decisions, as the flow of income and expenses are something all entrepreneurs should worry about.

To keep your startups accounting updated and well-organized at all times is a hard job, and that’s why there’s a lot of mistakes young companies often do.

Use a professional accountant

The first mistake startups often do because due to lack of experience, is to not hire a professional accountant.

A startup must know, at all times, its liquidity; How much money it owes to its suppliers, and the bills that haven’t been collected yet. It must also know the average of days that the customers take to pay, and detect those customers who are slow payers.

Being helped by a person with deep accounting knowledge will allow you to know the condition of the income statement, showing how the business is performing.

Many startups don’t see the value a professional accountant can add to the business. Apart from the actual accounting, it’s a person who can help them to develop their business, offering some advice about tax benefits, incentives and about corporate constitutions, etc.

Apart from being helped by a professional accountant, startups can use invoicing programs to make many of their daily tasks easier and better. These tools will allow them to control their business activity.

Lack of income and expenses control

We often encounter startups that doesn’t have records of their income nor of their expenses.

As soon as you get your first paying users or clients you will have to save a copy of each operation made between you and the customer.

Having full control over all expenses can be challenging and frustrating.

To make it easier, a good way to organize it, is to order it chronologically (monthly), or in alphabetical order by the clients name.

As you’re organizing the payments, it’s just as necessary to organize all the expenses. You should divide them into categories, for example: offices expenses, stock acquisitions, supplies, insurance, taxes, etc.

Small expenses become big expenses

When every penny counts it’s easy to not register the tiny expenses, they seem so small, and everything would look better if you just kept them off the balance sheet.

This is a big mistake because you’ll lose the the right to deduct taxes from these expenses.

This means that each team-member in the company needs to write down all their expenses, including the teeny-tiny ones.

Just as your grandma tells you to save your cents as a child; “because enough cents will in the end make a dollar”, it’s the same with companies. There’s a lot of small expenses, and as the team grows, all people accumulated small expenses becomes significant.

However, remember that personal expenses never should be mixed with business expenses. This is one of the biggest reasons why companies get an unpleasant visit from the tax authorities.

TAX

This might seem obvious to most of you, but working closely with startups and their accounting, remembering to pay taxes is a bigger issue than you might think.

Any business activity is subjected to taxes, and startups and entrepreneurs, just like any other business needs to present different types of fiscal statements to the tax authorities, like VAT, PIT, corporation tax, etc.

Remember, that as an entrepreneurs you can deduct money from your personal taxes, when you every three months have to present the different tax models mentioned above.

It is also recommended to save a copy of your tax declaration (ordered by chronological order, every 3 months and every year), as well as a registry of the taxes that you have paid and what tax authorities has paid you back.

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E.

Essential Podcasts for Entrepreneurs & Tech Lovers

Podcasts are a great way to discover new subjects and new people. Whether you are a tech lover or an entrepreneur, bellow you will discover podcasts for entrepreneurs you should – without a doubt – listen to. 

Itnig Podcast with César Migueláñez, Bernat Farrero and Carlos Pierre
Itnig Podcast with César Migueláñez, Bernat Farrero and Carlos Pierre

« Masters of Scale » 

with Reid Hoffman

The host: Reid Hoffman decides to turn to the corporate world instead of pursuing a university carrier. He worked for Apple, Fujitsu for then starting his own business: SocialNet and left it in 2000 to join Confinity. Confinity gives life to Paypal after fusionning. Finally, in 2003, Hoffman co-founds LinkedIn. He is Master of Scale’s host. 

About: The podcast welcomes some of the greatest entrepreneurs. You will discover throughout the talk how they managed to take their companies from 0 to a lot of zeros. You can listen to Masters of Scale’s special guests like Mark Zuckerberg (Facebook), Selina Tobaccowalla (Evite), Brian Chesky (Airbnb) or Nancy Lublin (Crisis Text Line). Must-hear: one of the top tech podcasts for entrepreneurs.

Listen to the podcast: On their website, Apple Podcasts, Spotify and Youtube

The Team: Reid Hoffman, June Cohen, Deron Triff and Jai Punjabi

« Rocket » 

with Christina Warren, Simone de Rochefort and Brianna Wu

The hosts: Christina Warren started as a Freelance Writer. Then, she worked at Mashable as a Senior Tech Analyst and Tech Correspondent and ended the journey at Microsoft as a Senior Cloud Developer Advocate. About Simone de Rochefort, she is  Senior Video Producer and co-host of The Polygon Show. Brianna Wu founded her first startup at the age of 19, Giant Spacekat. She was Head of Development at the time. She is now running for US Congress. 

About: In this podcast, you will discover three passionate women and their “geek conversation” as they like to call it.  No guest speakers, but you will be able to listen to a panel of tech subjects from Apple to Comics, you will not be disappointed. 

Listen to the podcast: On their website, Apple Podcasts, Overcast, Pocket Casts, Spotify and Castro

« This week in Startups »

with Jason Calacanis

The host: Jason Calacanis starts as an internet industry journalist in New-York. In 2003, he co-founded Weblogs, Inc and then a few years later he joined Sequoia Capital, launched the web directory Mahalo. He also founded ThisWeekIn.com. Furthermore, he created This Week in Startups podcast and a startup named Inside.com. Finally, he was part of the creation of the Sydney Launch Festival. 

About: Either you are looking to start your own company, or you are a successful entrepreneur, or you just love technology, this podcast will give you a peek to the entrepreneurship world. You will hear stories of all kinds! On his website, you will also find his events and some research on transportation, healthcare and more. This is one is part of the tech podcasts for entrepreneurs not to be missed.

Listen to the podcast: Apple Podcasts, Youtube, SoundCloud and RSS Feed

You can also subscribe to their newsletter in order to receive episodes directly. 

The Team: Jason Calacanis, Jacqui Deegan, and Tony Agapiou

« Recode / Decode » 

with Kara Swisher

The host: Kara Swisher is an American journalist specialized in the technology industry. She first started to work for an alternative newspaper in Washington for then working for the Washington Post. She wrote articles for the Wall Street Journal and New York Times and wrote her own books. Finally, in 2014, she created Recode, a website dedicated to the latest technology news. In 2015, she initiates Recode Decode. 

About: The weekly podcast welcomes tech experts and great entrepreneurs. They review how they got there, what’s on their mind about the current industry and what they would improve or create. Her recent guests were Elon Musk (Tesla CEO), former Secretary of State Hillary Clinton and Mark Zuckerberg. 

Listen to the podcast: Apple Podcasts, Google Podcasts, Spotify, Stitcher, and TuneIn

« K Fund PodKast »

with Jaime Novoa

The host: Jaime Novoa’s background is quite diverse. He is a writer and an investor, but he also worked in data analysis and social media analysis. In 2014, he founded Novobrief, a newsletter for startups. Then, in 2016, he becomes an investor at K Fund and he founds, in 2019, Dealflow, a weekly tech newsletter. 

About: The podcast discusses startups, entrepreneurs and Venture Capital. You will discover enterprises and their story. From data science, unicorns or digital platforms, you sure will find more than one interesting podcast. 

Listen to the podcast: On their website and Soundcloud

« Clockwise »

with Dan Moren and Mikah Sargent

The hosts: Dan Moren is an active author and writer as well as podcaster. He was a Senior Editor at Macworld. Today, he hosts two podcast shows: Clockwise and The Rebound. As for Mikah Sargent, he started as a Website Designer and Developer for then switching as a Senior Editor at Newsy. He now hosts few podcasts such as Clockwise on Replay FM or on TWiT.tv. 

About: The weekly podcast discusses technology and welcomes each time 2 special guests. For 30 minutes, they address 4 topics where all four speakers get to elaborate on the matter, highlight the issues and expose their thoughts. 

Listen to the podcast: On their website, Apple Podcasts, Overcast, Pocket Casts, Spotify and Castro

« Itnig Podcast»

with Bernat Farrero

The host: Bernat Farrero starts his career as a Developer. In 2009, he founded Itnig, a startup ecosystem that organizes entrepreneurship events. They also have a coworking for startups, a podcast and a fund for early-stage projects. Furthermore, he is a Founder of Factorial, Quipu and Camaloon. He is also a Board Member of Playfullbet, GymForLess and Parkimeter. Finally, he hosts Itnig’s weekly Podcast. 

About: The podcast welcomes every week a new guest. If you wish to learn from successful entrepreneurs, you are on the right platform. The discussions turn around Technology and its industry. You will come across guests like Carlos Pierre (Badi), Vincent Rosso (BlaBlaCar) or Oscar Pierre (Glovo).

Listen to the podcast: Youtube, Spotify, Apple Podcasts, Ivoox, and Google Podcasts

You can subscribe to their newsletter if you want to receive the podcast’s link every Monday. 

Whether you are at an early stage of your project, an investor or you are just curious, these podcasts for entrepreneurs give you the opportunity to be updated on tech and business news. Also, you get to learn from successful international entrepreneurs, which can definitely be very useful for your business.