Innovative Accounting Strategies for Lean Startups

The market is changing and more competition has entered the space. Startups are now facing a new challenge: how to stay innovative while keeping costs low. We discuss some strategies that will help you keep your startup lean, including accounting strategies like outsourcing bookkeeping, taking advantage of tax breaks for small businesses, and using software such as Quickbooks or Xero. Innovation accounting lean startup

Outsourcing 

Outsourcing is an option for startups who need more from their accountant than just basic tax reporting services but have limited resources and staff expertise in-house – especially if the company has grown beyond its initial small team of founders. A good fit would be a firm with deep experience handling outsourced work on behalf of larger corporations which could apply to your business model too because it does not depend on close proximity to clients. With so many options available today (including consultants, freelancers, offshore providers, and SaaS solutions), you are able to find a good fit without having to invest in an expensive on-premise system.

Tax breaks

A second strategy is taking advantage of tax breaks for small businesses. The U.S. has many programs designed to help startups succeed including the Small Business Innovation Research (SBIR) program, which provides grants of up to $150k per year over two years; or the Patent Fee Waiver Program that will waive fees associated with filing a patent application during startup’s first five years in business if they meet certain criteria such as not generating revenue from licensing intellectual property yet have generated less than $200k annually in sales after three consecutive fiscal years ending December 31st – meaning your company would not be eligible for this program if you’ve generated more than $200k annually in the last three years.

Quickbooks or Xero 

Finally, we discuss how using software such as Quickbooks or Xero can help manage your accounting needs. Software is a great option because it gives entrepreneurs access to expertise without having to hire an accountant and doesn’t depend on proximity either! You can use these products from anywhere with internet connection which makes them especially useful when traveling for business meetings – meaning your startup would never have to worry about what happens if lightning strikes near where all of their data is stored. There are also options like Intuit’s ProSeries Tax Online that will allow you to get tax reports and forms filed at any time giving small businesses greater control over their financial situation.