If any start up want to get early stage funding then it is very important that how their books of accounts are being prepared because without any showcase no one want to invest in their business.
Therefore, while chooching the early stage book-keeper or accounant startup should evaluate the experience of such book-keeper or accountant must experience in Startup Organization. In the growing phase accounting system and internal control must be implemented.
We have various experience about startup accouting & internal control implementation as well as startup funding.
Following books are required to maintained initially:
- Sales Register
- Purchase Register
- General Register
- Cenvat Register
- Other vouchers
When complete sequence of accounting procedure is done which happens frequently and repeated in same directions during an accounting period, the same is called an accounting cycle.
Steps/Phases of Accounting Cycle:
The steps or phases of accounting cycle can be developed as under:
- Recording of Transaction: As soon as a transaction happens it is at first recorded in subsidiary book.
- Journal: The transactions are recorded in Journal chronologically.
- Ledger: All journals are posted into ledger chronologically and in a classified manner
- Trial Balance: After taking all the ledger account closing balances, a Trial Balance is prepared at the end of the period for the preparations of financial statements
- Financial Statements: Financial statement can now be easily prepared which will exhibit the true financial position and operating results.
As defined by Carter, ‘Book-keeping is a science and art of correctly recording in books-of accounts
all those business transactions that result in transfer of money or money’s worth’.
Book-keeping is an activity concerned with recording and classifying financial data related to business.
operation in order of its occurrence.
Book-keeping is a mechanical task which involves:
- Collection of basic financial information.
- Identification of events and transactions with financial character i.e., economic transactions.
- Measurement of economic transactions in terms of money. -
- Recording financial effects of economic transactions in order of its occurrence.
- Classifying effects of economic transactions.
- Preparing organized statement known as trial balance.
One of the main advantages of keeping good accounting records is to comply with the law. By simply being organized, businesses not only enjoy the above benefits but also stay within the law.
Note: All the package are based on monthly basis and Actual Price of Gold pack will be subject to the final dicussion.