Five Ways to Avoid Tax & Legal Trouble
A frequent concern I hear from aspiring entrepreneurs is: “I have invented a great product, and I want to set up a company so that I can avoid tax and…
5 Things You Need to Know About Financial Forecasting
For start-up and established businesses alike, there are few planning processes more critical than financial forecasting. Financial forecasting provides proper, well-informed projections of anticipated expenses and revenues, allowing for strategic…
Revenue Recognition for Software & Service Companies
I was recently speaking to a software company CEO who was excited about having signed a big multi-year contract with a customer. He mentioned that this contract would significantly increase…
Recordkeeping for the Restless
Why keep business records? When you’re passionate about your company, keeping accurate business records can seem like a boring chore. It’s not the most glamorous or engaging task, and it…
Business Is So Good It’s Killing Me
A call came into our office last week from a stressed-out small business owner in Florida. He said that he needed a business plan right away that he could submit…
8 Reasons to Start Accepting Mobile Payments
Mobile payment systems are sweeping the consumer landscape, offering speed and flexibility to both customer and retailer. Mobile payments include both systems that allow consumers to make payments with their…
Why Startups Need Accountants
Last week we received an inquiry from a young woman in North Carolina. She told me that she and her husband wanted to start a commercial landscaping business. She said…
Ten Common Financial Model SNAFUs
I plan to publish a series of posts on mistakes I frequently see in financial forecasts (or pro-formas, or financial projections, or whatever you want to call them). I’ve segregated…
Advertising is Rarely a Viable Startup Business Model
First-time Internet entrepreneurs often have unrealistic expectations regarding advertising revenue in their financial projections. It's not enough to say "hey, it worked for Facebook." Not only was Facebook a rare…
Managing Your Startup’s Burn Rate
Cash is the fuel of every startup. Your burn rate is the rate at which that money is being spent, and allows an estimate of how long you can go…