As a leading CPA focused on startups, we’ve got some strong opinions on which accounting softwares are the best. In particular, for small, high-growth companies, QuickBooks Online is our typical recommendation.
At Kruze, we work with VC-backed businesses. These tend to cluster in specific industries - SaaS, crypto, eCommerce, biotech, hardware. Here are the best accounting software options by industry.
QuickBooks Online is the best accounting software option for SaaS companies. Software as a service businesses need to integrate specific billing and revenue systems - invoicing for B2B SaaS companies, and systems like Apple, Shopify, etc. for B2C ones. QBO is the best choice.
QuickBooks Online is generally the best accounting software for small eCommerce businesses. As an eCommerce company gets bigger, it would make sense to upgrade to NetSuite, although Sage sometimes makes sense. However, these are overkill for a small business.
Biotech companies can occasionally scale their accounting system needs more quickly than other types of startups. In general, a biotech company will most likely be best off starting with QuickBooks Online, but may transition to Netsuite or Intacct a bit more quickly than a SaaS or other startup.
When choosing an accounting software for a startup, there are several factors to consider:
Overall, QuickBooks Online is a recommended accounting software for startups due to its scalability, industry-standard usage, upgradeability, data portability, financial tracking and reporting capabilities, integration options, and user permissions and security features.
If you startup is transacting in DeFi, Web3, etc., you need additional accounting software to scalably run your bookkeeping. While QuickBooks and (most) of the other providers we mentioned automatically pull in bank, payroll and credit card transactions, the same can not be said for Crypto. These transactions need an additional “add on” software package to pull transactions into your general ledger. This may not be a big deal if you are doing only a couple of transactions per month (although there are possible tax implications to worry about), as you or your accountant can enter the data manually. However, we strongly recommend a specialized accounting software plugin if these types of assets are going to be part of your business. Read our Best Crypto Accounting Software piece to learn more.