Managing startup finances involves more than just tracking what comes in and goes out. You need to stay on top of payroll, expenses, cash flow, equity, and reporting, often all at once. These tools cover every part of that stack, from day-to-day banking to investor-ready forecasting.
Rundown
- For startup banking: Mercury, “A fintech banking platform built for startups with free accounts, expense controls, and integrated financial workflows.”
- For cloud accounting: Xero, “Cloud-based accounting software for tracking income, expenses, invoices, and bank reconciliation.”
- For small business accounting: QuickBooks Online, “Accounting software with bookkeeping, invoicing, payroll, and reporting for small to mid-sized businesses.”
- For spend management: Ramp, “A corporate card and spend management platform that automates expense tracking, bill payments, and accounting reconciliation.”
- For expense management: Brex, “A spend management and corporate card platform with real-time controls and automated expense reconciliation.”
- For payroll and HR: Gusto, “A payroll, benefits, and HR platform that helps startups manage their team finances in one place.”
- For equity and cap table management: Carta, “A platform for managing equity, cap tables, share options, and investor reporting.”
- For cash flow forecasting: Float, “A cash flow forecasting tool that syncs with accounting software to give a live view of your runway.”
- For financial planning and forecasting: LivePlan, “A business planning and financial forecasting platform that helps founders build financial models without spreadsheets.”
- For accepting online payments: Stripe, “A payments infrastructure platform for accepting and managing online transactions across multiple currencies and channels.”
For startup banking
Mercury
Mercury is a fintech platform that offers business banking for startups. It provides checking and savings accounts, debit and credit cards, bill pay, invoicing, and expense management through a single dashboard. Banking services are provided through Choice Financial Group and Column N.A., both FDIC members.
- You can open an account with zero monthly fees, no minimum balances, and no transaction fees on USD payments.
- You can issue virtual and physical debit and credit cards with per-card spending limits, category locks, and approval flows.
- You can send invoices, pay bills, and receive payments directly from the Mercury dashboard without needing a separate tool.
- You can sync your accounts with QuickBooks, Xero, and NetSuite for automated bookkeeping.
- You can earn yield on idle cash through Mercury Treasury, which invests in government-backed money market funds.
Just a heads up: Mercury is not an FDIC-insured bank directly, which is worth noting when managing large cash balances. Customer support is entirely digital with no phone line or physical branches. The credit card is only available to existing Mercury account holders.
For cloud accounting
Xero
Xero is cloud-based accounting software for small businesses and startups. It handles bookkeeping, invoicing, bank reconciliation, and financial reporting. All plans include unlimited users, which makes it practical for growing teams.
With Xero,
- You can track income and expenses, reconcile bank accounts, and generate financial statements without needing an accountant for day-to-day tasks.
- You can create and send invoices with automated payment reminders. You can also accept payments via Stripe and GoCardless.
- You can use machine-learning-assisted bank reconciliation to match and categorise transactions automatically.
- You can connect over 1,000 third-party apps including Gusto for payroll, Stripe for payments, and Shopify for ecommerce.
- You can manage multiple currencies, which is useful for startups with international customers or vendors.
Note: Xero does not include native payroll for US users. You will need a third-party integration like Gusto, which adds to your monthly costs. Some advanced features like project tracking and analytics are paid add-ons. US-based users may also experience occasional syncing issues with tools like Brex or Ramp.
For small business accounting
QuickBooks Online
QuickBooks Online is accounting software for small to mid-sized businesses. It covers bookkeeping, invoicing, expense tracking, payroll, and reporting. It integrates with over 650 third-party tools and is one of the most widely used accounting platforms available.
- You can manage income, expenses, bank reconciliation, and financial statements from a single dashboard.
- You can run payroll with automated federal, state, and local tax calculations and filings in the US.
- You can use the mobile app to send invoices, capture receipts, and review finances on the go.
- You can connect with tools like Stripe, Shopify, and HubSpot to reduce manual data entry across your stack.
- You can generate profit and loss reports, cash flow statements, and balance sheets for investor or tax purposes.
QuickBooks charges per user seat, which can get expensive as your team grows. Unlike Xero, it does not include unlimited users across plans. The interface has a lot of features and can feel cluttered for founders who only need basic accounting. Plans start at around $35 per month, and pricing increases for payroll and advanced reporting features.
For spend management
Ramp
Ramp is a spend management platform that combines corporate cards, expense tracking, bill payments, and accounting automation. It does not require a personal guarantee to apply. The core platform is free to use, which makes it accessible for early-stage companies.
- You can issue physical and virtual corporate cards with spending limits, merchant restrictions, and category controls set before spend happens.
- You can automate receipt matching and expense categorisation so employees do not need to submit manual expense reports.
- You can pay bills and reimburse employees in over 40 currencies. USD payments are sent at no additional cost.
- You can sync all transaction data with QuickBooks, Xero, NetSuite, and Sage in real time.
- You can track budgets, flag out-of-policy spending, and view spend dashboards across departments and cardholders.
Ramp is a charge card, meaning balances must be paid in full each month. There is no option to carry debt, which may not suit all startups. Some advanced features like procurement and travel management are more relevant to larger teams. Ramp is primarily US-focused and international support is more limited compared to some alternatives.
For expense management
Brex
Brex is a spend management platform offering corporate cards, expense management, and accounting automation. It is designed for startups and high-growth companies. Approval is based on company financials rather than personal credit history.
- You can issue corporate cards with customisable spend policies, per-employee limits, and real-time transaction visibility.
- You can automate expense categorisation and reconciliation with integrations to Xero, QuickBooks, NetSuite, and Sage Intacct.
- You can manage global team expenses with multi-currency support and local reimbursements for distributed teams.
- You can connect Brex with HR tools including Rippling, Workday, Gusto, and Deel to sync employee data automatically.
- You can access business accounts with higher FDIC protection through Brex’s partner bank sweep network.
Brex has shifted its focus towards larger, venture-backed companies. Some smaller startups have reported being offboarded or denied access. The free plan has been phased out for most customers and full features require a paid subscription. Some accounting integrations are available only as add-ons depending on the plan you are on.
For payroll and HR
Gusto
Gusto is a payroll, benefits, and HR platform built for small businesses and startups. It handles the entire payroll process including tax calculations, filings, and employee onboarding. The interface is straightforward enough to use without dedicated HR expertise.
- You can run payroll for full-time employees, part-time staff, and contractors with automated federal, state, and local tax filings.
- You can manage employee benefits including health insurance, 401(k), commuter benefits, and workers’ compensation through the same platform.
- You can onboard new hires with digital offer letters, e-signatures, and self-service employee profiles.
- You can integrate Gusto with QuickBooks, Xero, and FreshBooks to sync payroll data automatically.
- You can give employees a self-service portal to view pay stubs, tax documents, and benefits information.
Gusto is available in the US only. It does not support international teams or contractors outside the country. Pricing starts at $49 per month plus $6 per person, which becomes costly as headcount grows. Advanced HR features like performance reviews and dedicated HR advisors are only available on higher-tier plans.
For equity and cap table management
Carta
Carta is a platform for managing equity, cap tables, employee stock options, and investor relations. It is used by startups from seed stage through to IPO. It keeps ownership records accurate and accessible when investors and employees hold shares or options.
- You can maintain a real-time cap table that updates automatically when shares are issued, transferred, or converted during fundraising rounds.
- You can manage employee equity programmes including stock option grants, vesting schedules, and 409A valuations.
- You can issue and sign legal documents electronically, including SAFEs, convertible notes, and stock certificates.
- You can give investors and employees self-service access to their equity holdings and statements.
- You can model future dilution scenarios to understand how upcoming rounds will affect your ownership structure.
Carta handles equity management only. It does not replace your accounting software for day-to-day finances. Pricing can be steep for early-stage startups with minimal equity activity. Some founders have also raised concerns about Carta’s data practices following reports in 2023 that the company used cap table data in ways that were not fully transparent.
For cash flow forecasting
Float
Float is a cash flow forecasting tool that connects to your accounting software and gives you a rolling view of your cash position. It is built for founders and finance teams who want to stay ahead of their runway without manually updating spreadsheets each month.
- You can sync Float with Xero, QuickBooks, or FreeAgent so forecasts update automatically as new transactions come in.
- You can build weekly and monthly cash flow projections showing expected inflows, outflows, and ending balances over time.
- You can model scenarios, such as a delayed payment or a new hire, to see the impact on your runway before committing to a decision.
- You can set up budget tracking to compare actual cash flow against your plan and spot variances early.
- You can share read-only forecast views with investors or board members without giving access to your full accounting system.
Float is a forecasting tool, not a full accounting platform. It works best alongside Xero or QuickBooks rather than as a standalone solution. It does not handle invoicing, payroll, or expense management. Pricing scales with your business’s annual revenue, which can make future costs harder to predict as you grow.
For financial planning and forecasting
LivePlan
LivePlan is a business planning and financial forecasting platform. Founders use it to build financial models, create business plans, and track performance against targets. It is aimed at early-stage startups that need investor-ready financials but do not have a dedicated finance team.
- You can build a full financial model including profit and loss, balance sheet, and cash flow projections without needing spreadsheet expertise.
- You can create business plans using guided templates that cover the sections investors typically want to see.
- You can sync with QuickBooks or Xero so your actual financial data feeds into your forecasts automatically.
- You can run scenario comparisons to model different growth paths, pricing strategies, or cost structures side by side.
- You can share your plan with investors or advisors through a live link that always reflects the latest version.
LivePlan does not replace your accounting software for day-to-day bookkeeping or transaction management. The interface prioritises simplicity, which means it is less flexible than purpose-built FP&A tools for complex modelling. Some users find the output templates feel more suited to traditional business plans than modern investor decks.
For accepting online payments
Stripe
Stripe is a payments infrastructure platform used by startups and large companies to accept and process online payments. It handles card payments, bank transfers, subscriptions, and invoicing. It supports over 135 currencies across more than 40 countries.
- You can accept payments via card, bank transfer, buy-now-pay-later options, and local payment methods through a single integration.
- You can set up recurring billing and subscription management for SaaS products, with support for trials, upgrades, and prorations.
- You can build custom checkout flows, payment links, and embedded payment forms using Stripe’s APIs.
- You can access built-in fraud detection through Stripe Radar, which uses machine learning to flag suspicious transactions.
- You can connect Stripe with Xero, QuickBooks, and Gusto so payment data flows into your accounting and payroll systems automatically.
Stripe charges 1.5% plus 20p per transaction for UK cards, with higher fees for international cards. At scale, this can add up compared to negotiated rates with enterprise payment providers. The platform is developer-first, so non-technical founders may find the initial setup more involved than simpler alternatives. Accounts can occasionally be flagged or funds held with limited notice, which has been a concern for some merchants.
