top of page

Why Accrual-Basis Books?

Using the accrual basis helps your financials tell a logical story.

"Cash basis" is easier, but the story won't make sense.

Like the Big Bad Wolf eating Red Riding Hood on the first page.


An investor won't understand your story.


They won't see your bright future clearly.


If you buy inventory in March, and sold it in April & May -

Don't show COGS in March -

That's not when you used it!


If you ship in March and April, but receive the cash in May -

Don't show the revenue in May -

That's not when you earned it!


A good bookkeeper can use the accrual method

and will understand why you need it.

Recent Posts

See All

Taking the Leap: When to Go All-In

When a startup idea is buzzing around your brain, it can keep you up at night, fuel your conversations, and whisper sweet nothings of...

Choosing NetSuite

NetSuite was my bread and butter for a good bit of my time in consulting, but I don't talk about it much these days, because my clients...

Comments


bottom of page