You may have asked yourself recently: “What is GAAP and why would I need it?”
It’s hard to make it from startup to successful business in this fickle economy, and as a business dedicated to helping other businesses, nothing excites our abacuses more than when one of our current or soon-to-be clients comes to us with this exact question!
What GAAP Accounting Means for Your Business
If you’re wondering what GAAP accounting is, congratulations–that’s a pretty good indication that your business is on the verge of big things—securing new potential investors, winning series A funding, going public—and you are focused on getting your finances prepped in the best shape possible.
You may have searched long and hard through the weeds of the internet and found very dense, technical articles on the Generally Accepted Accounting Principles that are full of complex jargon and left you discouraged and even more confused as to why you even need to know in the first place.
Step away from your search bar because we are here to help!
We know accounting can seem trickier than David Copperfield talking his way out of a speeding ticket, so we put together a brief guide to provide the most straightforward explanation of GAAP specifically geared toward business owners. It includes all the need-to-know details behind what GAAP is, why it matters to your business and what the benefits are, the difference between accounting methods, and the tax implications to be aware of.