Money, Pricing & Model

Do I need an accountant and proper bookkeeping from day one?

A starting point

Yes, set up clean bookkeeping and a separate business bank account from day one, even if it's just simple software plus a good CA. Messy early books cost you dearly at tax time, fundraising, and audits. You can DIY the basics, but get a professional for tax filings, GST, and compliance so you never get blindsided.

Go deeper

Read

📖 Book
Paid Beginner

Profit First: Transform Your Business from a Cash-Eating Monster

From mikemichalowicz.com by Mike Michalowicz book (~224 pages)

Why we picked it

A behavioral, dead-simple cash-management system used by over a million businesses to stay permanently profitable. Perfect for bootstrappers and solo founders who need discipline, not spreadsheets.

  • Flip the formula: Sales - Profit = Expenses, taking profit off the top first
  • Allocate revenue into separate accounts to force profitability and cover taxes
  • A behavioral system beats willpower for keeping a business cash-healthy
Open mikemichalowicz.com →
📄 Article
India Free Beginner

ClearTax / Razorpay Rize, GST, TDS & Compliance for Indian Startups

From cleartax.in by ClearTax guide hub

Why we picked it

A practical India-specific reference on GST, TDS, ROC filings, and startup tax compliance, the stuff Indian founders most often get wrong. Written for founders navigating Indian regulation, not US incorporation.

  • Register the entity correctly and get GST registration once you cross the threshold
  • Deduct and deposit TDS and file returns on time to avoid steep penalties
  • Engage a competent CA early for compliance rather than DIY-ing filings
Open cleartax.in →
📖 Book
Paid Intermediate

Financial Intelligence for Entrepreneurs

From hbr.org by Karen Berman & Joe Knight book (~304 pages)

Why we picked it

The most accessible book for non-finance founders on reading a P&L, balance sheet, and cash flow statement. It demystifies the three core statements without requiring an accounting background.

  • The three statements each answer a different question, read them together
  • A profitable company can still go broke on cash flow
  • Founders should be able to interpret their own numbers, not just delegate them
Open store.hbr.org →

People also ask

What financial basics does every founder need to understand? Know your cash balance, monthly burn, runway, and gross margin cold, these four numbers decide whether you live or die. You don't need an accountin... Beginner 3 resources → What is burn rate and runway, and how do I calculate them? Burn rate is how much cash you lose per month (net burn = cash out minus cash in); runway is your cash balance divided by monthly net burn, literal... Beginner 2 resources → How should I manage cash flow so my startup doesn't run out of money? Take your profit (and taxes) off the top before you touch the rest, invoice fast, and collect faster, cash timing kills more startups than lack of ... Intermediate 3 resources → What taxes and compliance do I need to handle as an Indian startup? At minimum: register the entity correctly, get GST registration once you cross the threshold, deduct and deposit TDS, and file income tax and ROC r... Intermediate 2 resources → How do I read a P&L, balance sheet, and cash flow statement? The P&L shows if you're profitable over a period, the balance sheet is a snapshot of what you own and owe, and the cash flow statement shows money ... Intermediate 3 resources →