Starting a business is the 8th wonder of the world. The feeling of beginning an adventure that could one day change the world is intoxicating.
But then, you realize that there’s enough paperwork and data entry involved to make you give up on your dream cold turkey. Fret not.
These 3 finance and payroll tools for startups will help free up your time so you can focus on innovation.
1. Tax Compliance Automation
One of the first things you want to be when you start a new business is compliance. Compliance helps you avoid, at best, lots of penalty fees, and at worst, getting your business shut down.
Make sure you’re paying the legal amount of state and federal payroll taxes each quarter by using a payroll service. Payroll services can help with tax automation so you don’t have to manually file with each government entity.
2. Proof of Income
Make sure you have a good system in place for income reporting. When it’s time to buy a home or get a major loan, this proof of income documents is the key to your success.
You can also get quality payroll check templates to keep your business looking professional. The paystubs created are the key to the proof of income without having to show extensive documentation.
Without check stubs, you’ll have to show multiple years of tax returns, bank statements, and potentially an employment letter whenever you apply for a loan. Your proof of income software is usually combined with your payroll service, but in some cases, they are separate.
Few business owners dream of managing invoices when they think of starting a new business. While the idea of getting income is attractive, the process of following up when customers don’t pay on time is not.
Have a system in place to automate invoices and reminders. This puts your customers on alert without having to hold their hands through the receivables process.
Make sure to choose a system that also provides for credit card payments so you aren’t also keeping track of checks in the mail. Both following up on invoices and waiting for checks are reactionary activities that don’t help move your startup forward.
Test out various methods of shortening the amount of time it takes for you to accurately manage these processes so you can help your business grow.
Tools for Startups You Need Now
You need tools for startups that help you remain compliant while keeping your finances on track. There’s no way to successfully become an expert accountant, business attorney, and payroll manager all while starting your business.
Yet, these skills are critical to the success of your startup. Entrepreneurs are faced with the task of finding ways to excel in these areas without taking on too many time-consuming activities.
The best way to do this is by using software that quickly and accurately meets your financial needs. For more information and tips, visit our blog for updates.