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17
votes
15answers
3k views

How do I do my own accounting for my startup?

I am the founder of a very early stage startup, 4 people total, just incorporated with no funding and a minimal amount of money already in. We expect to raise funding in 3-6 months, before then there ...
10
votes
1answer
1k views

Why do startups need so much money?

What are startups raising millions of dollars for? I know running a website can get costly, but seriously, millions? I just don't get it. And if you say advertising, I still don't get it, because the ...
10
votes
9answers
983 views

Business Bank Account Suggestions

Recently, my partner and I created an LLC and have secured about 30K in capital to start our online company. We are in the process of choosing a bank to work with and would appreciate some guidance. ...
9
votes
7answers
463 views

What is more important - having funding or keeping control?

I am starting-off a venture with limited capital that will be sufficient to keep my business afloat for at least 12-18 months. I believe that my product will get some traction during this period, ...
9
votes
3answers
300 views

What does it take to be an Angel?

I'm a wannabe Angel. I don't sit on a huge pile of cash, but my intention is to help startups in whatever possible way within my capacity. I haven't made a decision yet, as this thought has recently ...
7
votes
8answers
593 views

Launch on a tiny budget

I have a product I'm developing on my own, with no other investors or partners. Via another project I'm developing, I have an IP Waiver and NDA that I can use for the project, I'm using my personal ...
7
votes
3answers
119 views

How to work internationally in a country which is under sanction?

I'm a web developer and I live in Iran. Unfortunately my country is under international sanction. However, I'm able to work for foreign customers and get their job done. But there is a problem. A big ...
7
votes
8answers
1k views

What's the Best Credit Card for a Start-up?

I've been using our debit/bank card to make purchases, and I'm not entirely comfortable putting that out there. I'd also like to potentially be earning points for things, although I don't want to pay ...
7
votes
6answers
341 views

How much accounting should a founder of a startup know?

I just started up a mobile game company, set up Quickbooks online, and now I'm trying to read up on accounting. Right now I'm reading The Accounting Game. It's a great book and it makes really easy ...
7
votes
4answers
392 views

How much financial info should I demand from my CEO (I'm a founder)

About three years ago I built a prototype of a web application. My partner collected some money from a local angel group so I could quit my job and write code full-time. My partner was the CEO, ...
7
votes
2answers
148 views

What type of funding are you using?

I'd like to start a thread discussing the type of funding different startups are using and why. I think that there are a lot of people here who would like to hear the general experiences, advantages, ...
6
votes
3answers
277 views

How big should a company's rainy day fund be?

"They" have always said that, as an individual, we should have enough in cash savings to cover 3-6 months of living expenses. Have you heard of a rule of thumb for (small) businesses? How do you ...
5
votes
9answers
452 views

What application do you use for managing your business' finances?

I was wondering what applications other people here use to manage their business finances. I looked at some programs such as Simply Accounting and QuickBooks, but both of their free versions are ...
5
votes
3answers
1k views

Customer Acquisition Cost for a new Website

How do you (personally or generally speaking) calculate/estimate/guesstimate the cost to acquire a customer for a new website?
5
votes
6answers
204 views

How do I prove my finances to a partner? My partner is afraid I will not give him his full cut

I own and operate a company selling products online. A partner is stepping in and wants to sell our product line across it's websites. However, my company will accept the payments from the buyers. ...
5
votes
2answers
619 views

Cloud-based accounting software [closed]

I am in the process of starting a business. The nature of the business is Photography (weddings, etc.). What would be a good accounting software solution (preferably cloud-based or SaaS)?
5
votes
4answers
291 views

accounting package

Can you suggest an accounting package / method / minimum MUST HAVEs when starting up. I know we have to keep track of our finance but I'm not an accountant or that way inclined. So whats the basics ...
5
votes
2answers
601 views

Starting an online bank

What is involved in starting a bank? I am aware that rules might differ from country to country. But let's say I wanted to start an online bank in the US. What is needed?
5
votes
1answer
355 views

Is it possible to delay customer invoices to the next financial year so I can save tax?

I'm operating a startup in its 1st year. This year's sales from consulting services is very good but the pipeline for next financial year is very very weak. My question is, legally, can I delay ...
4
votes
3answers
994 views

How do websites that don't charge anything make money?

The obvious answer is "advertising" but I've heard of a lot of decently popular sites that don't make much on advertising. How else do you make money? are they just hoping to get bought out? And for ...
4
votes
5answers
1k views

Most important skill a businessman should have

What is the most important skill one should have when starting up or running a business? is it financial handling?
4
votes
2answers
240 views

Can I ask my customers to invest in our company in exchange for products?

My wife and I own a tea company; neither one of us has good credit so we have not been able to get loans or credit cards or people to invest in our company We have had about 550 customers so far in ...
4
votes
6answers
519 views

Start a Business with no financing

anybody knows how to start a business from absolute zero financing. I have an idea ( software related). I am a programmer too (but not very proficient to call myself brilliant). And I want to start a ...
4
votes
4answers
529 views

Why is the finance industry so lucrative?

Why is the finance industry so lucrative ? According to Yahoo Finance, the finance sector has by far the largest market capitalization of all sectors. And yet, I have a hard time understanding why ...
4
votes
5answers
182 views

Reagrding pricing …Should it be few big fish or many small fish

We have software which can run as per user SaaS model and also as custom deployment. To advertise we are planning to host it and give it free for some time / users. But there is another argument as we ...
4
votes
2answers
1k views

Do I need 1099-MISC forms for someone paid via paypal?

If I pay someone via paypal, do I still have to fill in the 1099 and/or w forms?
4
votes
4answers
168 views

What methodology can I use get a snapshot of my business finances?

Currently I have very little book-keeping processes - it all gets put into a spreadsheet at the end of the year, and I take it to my accountant who files my taxes and generates a couple of statements ...
4
votes
4answers
237 views

Funding: Kickstarter or Family Loan?

Background I've been working on a video game for android devices (i.e. an app) for some months now, and I'm getting close to completing a solid, well polished product I'm lucky enough to have an ...
4
votes
2answers
142 views

income in paypal

Does income in my paypal account need to be declared for tax purposes, or does it just have to be declared for tax purposes if I transfer my paypal funds to a real bank account?
4
votes
4answers
535 views

Seed Capital to Live On, Do I Pay Taxes?

I've been working on a startup since Jan. 1, 2009. To keep me alive (physically on a ramen diet) my parents give me $1-$2k per month. My company is set up as an LLC and my parents would like to ...
4
votes
1answer
123 views

Do Open Finances and Wages Build Trust in a Company?

Please only answer if you have personal experience with this topic. I've been hearing of more and more companies that choose to openly display their finances and/or employee wages to all employees of ...
4
votes
3answers
505 views

Do companies get taxed on money deposited by owners?

I just started a business (startup) and wanted to do the right thing by having a bank account for the company and putting all the business expenses on the business account. Now, I am in NY and I know ...
4
votes
2answers
113 views

Income estimation

I'm developing a product for creating software installers. Initially this was a hobby project; just prove to myself that I can acheive my technical goals writing this product. The product is available ...
4
votes
4answers
147 views

Managing Aggressive Growth … responsibly

I run an aggressively growing (SaaS) eCommerce software company. We're becoming well known in a niche market, and have managed to bootstrap to where we are with modest investment (<500k). We ...
4
votes
2answers
136 views

What is My Business Worth?

I have recently approached my business partner with a request to buy out his membership in our LLC. His involvement as of late is declining and a buy out was something we had planned on from day 1. I ...
4
votes
2answers
273 views

Have you applied for R&D tax credits?

Like many software product companies, we spent an exorbitant amount of money in 2008 developing our product. I’ve heard that there are federal R&D tax credits available ("Section 41 Credit"), but ...
4
votes
2answers
271 views

Startup Taxes and Accounting: Finding services, Best practices, & How not to go to jail

There are many money issues that neither add to my code base nor user base. For example: payroll taxes and excise taxes W2 W3 W4 I9 941 940 1120 + all the equivalent state forms all of those ...
3
votes
3answers
355 views

Chicken/Egg: New Startup, Need Credit Card

We're a new startup and need a credit card to make some online purchases. We're looking into options and all of them seem to want at least two years of business history, positive cash flow, etc. ...
3
votes
2answers
299 views

Risks caused by Euro collapse

I am running a start-up business in Denmark. Denmark is not a part of the Euro, but the currency has been pegged to the Euro for many years. I believe that there is a significant risk of a collapse of ...
3
votes
1answer
3k views

Anti-dilution for founders?

I read that it is common/possible for investors to ask for anti-dilution clauses. Is there a way a co-founder can protect himself against dilution? Of course, dilution will eventually happen during ...
3
votes
2answers
117 views

Buy or Rent/Lease

Assuming a venture-backed startup with seed financing that plans to raise further rounds: does it make sense to buy things or should it go for renting/leasing? "Renting" something (office equipment, ...
3
votes
2answers
222 views

What do you do when your Angel turns out to be a Devil?

Investor are in it for one thing, profit. That's okay if both the founders and the investors profit. What do you do when the "Angels" who have been funding your work kick out the founders and the ...
3
votes
2answers
117 views

Finding an appropriate website investor

If somebody has a website idea and make the website successfully (not on paper) and the local market is good (idea succeed) but he cannot extend the market because of management, finance and marketing ...
3
votes
1answer
196 views

Plain english translation of these finance terms

What does these mean in plain English, guessing the best way to describe it is by giving theoretical numbers for best worst case instances, though that's just my thought - I'll leave it up to you to ...
3
votes
2answers
110 views

How to form an INC Company

I would like to know how inc companies are formed. Is it only beyond some threshold revenue or asset barrier that companies can be incorporated as incs. I have seen most of the US major companies: ...
3
votes
1answer
94 views

Holding and spending USD from Australia

My business is based in Australia, but most of my sales are made in the USA in US dollars, and most of the bills my business pays are also paid in USD (via debit card). I know that some Australian ...
3
votes
5answers
329 views

Startup Financial Plan

I need to prepare a financial/cashflow/budget plan for my startup. Can anyone offer suggestions about what items I should include or exclude? Are there any 'templates' available for preparing this ...
3
votes
1answer
187 views

[UK] Pros and cons of self billing for first time contractor?

I've just started my own company and I'm initially contracting - I've been asked if I want to send invoices, or do self billing. I've had a look online and I can't see any reason not to self bill, ...
3
votes
3answers
310 views

Need a ballpark figure! How much will a EULA cost me?

I'm working on a tech startup and trying to make some rough financial forecasts. Has anyone ever hired a lawyer to draw up an EULA for a web app (we are hoping to sell skinned, customized versions of ...
3
votes
3answers
235 views

Thoughts invited on unconventional ways of raising money

As I learn, fundraising is always a nightmare. It drains a considerable amount of energy. No matter how promising the pitch you make, it's not sure to entice an Angel or a VC. Even if they agree, it ...

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