5 Best Outsourced CPA Services for Startups
Startup founders and entrepreneurs have endless responsibilities – often more than they have time for. Fortunately, outsourced CPA services can support founders with numerous startup accounting tasks while freeing up valuable time.
Finding the right certified public accountant (CPA) firm can be tricky – many outsourced accounting firms offer similar services, but you need professionals who cater to your industry.
To help you with your CPA firm search, we’ll explain how outsourcing accounting services can benefit your startup. We’ll also share our guide to the top outsourced CPA services for startups.
What Do Small Businesses Need from Outsourced Accounting Services?
Outsourced CPA services represent a cost-effective alternative to hiring an in-house accountant. Rather than spending time and money on a full-time employee, startup founders can hire a CPA firm to handle financial and administrative functions.
Outsourced CPA firms can provide the following services to startups and small businesses.
Outsourced Bookkeeping
Outsourced bookkeeping services support startups with various recordkeeping activities. Accurate bookkeeping facilitates business accounting and financial reporting tasks.
For example, bookkeepers can provide the following services:
Account reconciliations
Transaction categorization
Financial statement preparation
Financial Statement Preparation
Professional accounting firms support startups with financial statement review and preparation. CPA firms can ensure your financials conform to generally accepted accounting principles (GAAP).
Financial statements typically include the following:
Balance sheet
Profit and loss (P&L) statement
Statement of cash flows
Depending on your startup’s unique needs, your financial statements could require industry-specific reports. Your CPA can help you determine which financial records your startup should compile.
Accounts Receivable (AR) and Accounts Payable (AP) Management
Accounts receivable (AR) and accounts payable (AP) management refers to tracking business invoices and payments.
Most CPA firms include the following in their AP and AR management services:
Monitoring bill due dates
Scheduling payments
Tracking customer invoices
Adding vendors into payment processing systems
Calculating and writing off bad debts
Outsourced CFO Services
Many small businesses operate as lean teams or sole proprietorships – early-stage startups often function without an in-houseCFO. Fortunately, CPA firms offer fractional CFO services so small businesses can gain financial advice without hiring a full-timeCFO.
Outsourced CFOs offer the following financial services:
Budgeting and forecasting
Financial modeling
Key performance indicator (KPI) analysis
Growth strategy
Startup consulting
Transaction advisory
Tax Services
Outsourced CPA firms support startups with business and individual taxes. In addition to tax return preparation, accounting and bookkeeping firms offer various tax advisory and planning services.
Outsourced tax services can include the following:
Business tax return preparation and filing
Personal income tax return preparation and filing
Quarterly estimated tax calculations
Tax planning and advisory
Tax credit analysis
Audit defense
Payroll Services
As your startup grows, outsourced payroll services can help your business prepare for hiring employees. Avoid complex payroll tax withholding calculations and time-consuming paperwork by hiring a CPA firm for the following activities.
Paycheck processing
Employment tax withholding
Payroll tax return preparation and filing
5 Best CPA Services for Startups: Outsourced Accounting Firms for Every Industry
We’ve compiled our list of the top outsourced CPA services for startups. The following list includes accounting firms supporting startups in a variety of industries.
Indinero
Website: Indinero CPA Services
Services Offered
Accounting Services
Accounting system setup and organization
Invoice management and collections
Accounts payable and expense management
Financial analysis and reporting
Bookkeeping services
Transaction categorization
Monthly financial statements
Accounts payable and receivable management
Bank and credit card reconciliations
Business tax services
Business tax planning and strategy
Tax Preparation and filing
Tax credit maximization
International tax planning
CFO services
Budget analysis and planning
Business strategy
Cash flow management
Exit planning
Payroll processing
Paycheck issuance
Payroll tax calculation and withholding
Employment tax filings
Specialization
E-commerce
Healthcare
Non-profits
Professional services
Technology
Startup Clients Supported
CommonCoach (education software)
Gadget Flow (online marketplace)
Moozicore (music streaming)
Pros and Cons
Pros
Free consultation
Indinero offers several solutions specifically aimed at supporting startup companies.
Cons
New customers must schedule a consultation with the sales team to determine monthly pricing.
Pricing plans represent base-level packages. Complex companies may incur additional costs.
Pricing
Indinero offers two standard pricing tiers, with prices depending on the services requested. Large business owners can request a custom pricing plan consultation.
Essential Plan: $750+ per month
Growth Plan: $1,250 per month
Decimal
Website: Decimal CPA Services
Services Offered
Accounting and Bookkeeping Services
Transaction categorization
Daily expense reconciliations
Bill & invoice payment matching
Credit card reconciliations
Financial reporting
AR and AP Management
Vendor setup
Invoicing support
Accounts receivable tracking
Customer onboarding
Bad debt write-offs
Tax Services
Personal and business tax return preparation
Tax consulting services
Estimated tax calculations
Payroll Support
Benefit deductions
Expense reimbursement
Commissions entry
Specialization
Construction
E-commerce
Healthcare
Personal services
Professional services
Restaurants
Software as a Service (SaaS)
Trucking
Startup Clients Supported
Brand (retail)
HyperTrader (cryptocurrency trading platform)
StarLifter (data analysis platform)
Pros and Cons
Pros
Free consultation
Decimal offers industry-specific accounting services, such as reports for contract-based businesses.
Cons
New customers must schedule a consultation with the sales team to determine monthly pricing.
Tax preparation and payroll support services require a contract with a third-party provider.
Pricing
Decimal offers two pricing tiers, with pricing dependent on the level of support. New customers must contact Sales to learn about monthly costs.
Plus Plan
Premium Plan
Pilot
Website: Pilot CPA Services
Services Offered
Bookkeeping services
Transaction reconciliations
Monthly income and expense trend reports
Monthly financial statements
Tax Services
Federal and state corporate income tax filing
Dedicated tax preparer
Tax consulting
R&D tax credit calculations
CFO services
Budget vs. actual reports
Industry-specific KPI dashboards
Scenario planning
Specialization
Consumer goods & retail
Financial services
Healthcare
Professional services
Technology
Startup Clients Supported
Airtable (database platform)
Lattice (human resources software)
OpenAI (artificial intelligence)
Scale (artificial intelligence)
Pros and Cons
Pros
Pilot offers services aimed at helping startups grow.
Pre-revenue startups may qualify for reduced monthly pricing.
Cons
Pilot’s tax services offer limited business filings and exclude personal income tax returns.
Monthly plan prices depend on your business revenues, so monthly costs increase as your business grows.
Pricing
Pilot offers two standard pricing tiers for accounting and bookkeeping services. Large business owners can request a custom pricing plan consultation. Outsourced CFO and tax services require an additional monthly commitment.
Bookkeeping:
Starter Plan (for pre-revenue companies: $349-849 per month
Core Plan (for profitable, growing companies): $499-999 per month
Tax Preparation: $2,450-5,400 per year
CFO services: $1,750-$5,250 per month
Paro
Website: Paro CPA Services
Services Offered
Accounting and bookkeeping
Account reconciliations
Financial reporting
AP and AR management
Payroll services
Financial planning and analysis
Budgeting and forecasting
Business analysis: KPIs, Profitability, Pricing
Business Tax Compliance
Business tax preparation and filing
Tax return review
Internal audit & assurance
Tax advisory
Fractional CFO services
Business process consulting
Growth strategy
Startup & fundraising consulting
Transaction advisory
Startup Clients Supported
Agency 39A (marketing agency)
DrivenIQ (audience data platform)
Keyo (biometric security software)
Pros and Cons
Pros
Free consultation
Paro’s platform matches your business with a dedicated accounting or finance expert, depending on your specific needs.
Cons
Paro doesn’t provide pricing information on its website. New customers must schedule a sales consultation to learn about monthly costs.
Paro’s accounting experts work as independent contractors, not Paro employees.
Pricing
New customers must schedule a consultation with Paro’s Sales team to learn about pricing.
1-800Accountant
Website: 1-800Accountant CPA Services
Services Offered
LLC and corporation business formation: Entity formation services streamline your business setup. 1-800Accountant can also help you obtain an EIN. Startups can benefit from legal entity services, such as the following:
S corporation conversions
LLC registration filings
Bookkeeping and accounting services: Bookkeeping services include industry-specific expertise from dedicated accountants and bookkeepers. Specialists take care of your tedious back-office tasks so you can focus on growing your business. You’ll also enjoy the following features:
On-demand support
Secure online portal
Transaction categorization
Account reconciliations
Automatic bank account syncing
Real-time financial data
Tax services: Small business tax preparation and filing services keep you in compliance with deadlines and tax laws. The services include:
Tax return preparation and filing
Tax return quality review
Tax deduction and refund calculations
Amended business tax return support
Franchise tax return preparation and filing
Sales tax return preparation and filing
Personal income tax preparation and filing
Tax advisory: Small business tax advisory services include year-round tax strategy and advice so you can maximize deductions and lower your tax bill. 1-800Accountant offers the following services:
Dedicated tax advisor
Industry-specific expertise
Unlimited tax consultations
Audit defense
Quarterly estimated tax calculations: Quarterly estimate services help your startup manage your tax burden and avoid costly fines or penalties.
Payroll support: Payroll services can save your startup time by taking the payroll tax filings off your plate. 1-800Accountant can manage state ID registrations and offers on-demand payroll tax advice.
Specialization
E-commerce
Entertainment
Food & beverage
Personal care
Professional services
Retail
Transportation
Startup Clients Supported
Live 2 B Healthy (personal fitness): 1-800Accountant provides small business tax and accounting support.
The Adventure Junkies (travel resource): 1-800Accountant supports The Adventure Junkies with small business accounting support and tax advice.
Big 'Ol Box of Stuff (subscription service): 1-800Accountant provides small business tax and accounting support.
Central Tex Data (online audience database): Central Tex Data uses 1-800Accountant's business formation and tax advisory services.
Pros
Free consultation
1-800Accountant offers flat monthly pricing and unlimited support with every accounting service plan.
Each business works with a dedicated support team, including industry and state specialists.
Every service plan includes year-round tax advice, financial planning, and a secure customer portal.
1-800Accountant's services support businesses at every stage, including entity formation, hiring, and ongoing financial management.
Pricing
1-800Accountant offers three standard pricing tiers. All monthly plans include unlimited support, so you don’t have to worry about hidden fees.
Business: Starting from $209 per month
Core Accounting: Starting from $249 per month
Enterprise: Starting from $409 per month
Outsource to 1-800Accountant: Expert CPAs with Startup Experience
1-800Accountant is our top choice for outsourced accounting and bookkeeping services for startups.
Small businesses get dedicated accounting, financial management, and year-round tax advice. Every monthly plan includes unlimited support at a flat monthly rate, making 1-800Accountant’s services budget-friendly for businesses of every size.
1-800Accountant offers a variety of services to help your startup grow. Schedule a free consultation with 1-800Accountant to learn how your business can benefit from outsourced CPA services.