7 Best Accounting Software for Startups in Singapore 2025

Cash flow problems are a major reason startups fail, with 60% facing cash flow issues in their first year, according to PYMNTS. Without the right accounting tools, it’s easy to make costly mistakes in tracking expenses and managing cash flow.

The right accounting software is key to keeping your finances on track. It automates tasks, helps manage cash flow, and gives you real-time insights so you can focus on growing your business without getting bogged down by manual processes.

HashMicro Accounting Software streamlines financial management for startups with automated invoicing, real-time reporting, and seamless integration. Ready to take control of your finances? Try our free demo and see how it works!

What is Accounting for a Startup?

Accounting for startups is involves recording and managing all financial transactions related to a new business. It helps entrepreneurs track income, expenses, and overall economic health to make informed decisions.

Proper accounting allows startups to monitor cash flow, prepare accurate financial statements, and comply with tax regulations. Maintaining organized financial records is crucial for early-stage businesses to attract investors, manage budgets, and plan for growth.

Top 7 Accounting Software for Startups

Here are 7 of the best accounting software for startups in 2025, selected for their strong features, easy integration, competitive pricing, and reliable support.

1. HashMicro Accounting Software

HashMicro presents its best accounting software solution, tailored specifically for startups. This software offers a wide range of extraordinary features. Accounting Software from HashMicro is designed to revolutionize financial management for startups.

As one of the best accounting software in Singapore, it offers robust features like cash flow management, journal entries, and reconciliation to help startups manage finances effectively. Request a free demo to see how it simplifies your accounting process.

Key features: 

• Hashy AI Finance: An AI-powered financial management feature that automates bookkeeping, accelerates reconciliation, and delivers real-time insights to support smarter financial decisions.
• Budget Management: Simplifies expense control and both fixed and dynamic budgeting, enhances financial transparency, and supports better decision-making.
• Invoice Management: Automates the creation, delivery, and tracking of invoices to ensure timely payments and improve cash flow.
• Bank Integration & Auto Reconciliation: Enables automatic synchronization and reconciliation between the bank and the software, including e-banking output support to reduce errors and save time.
• 3-Way Matching: Automates the matching of purchase orders, invoices, and goods receipts to prevent fraud and ensure transaction integrity.
• Financial Ratio: Provides financial ratios for performance analysis, aiding in more accurate decision-making and opportunity identification.
• Multi-Level Analytical Report: Delivers in-depth financial reports that support data analysis, strategic decision-making, and stronger financial control.

2. FreshBooks

FreshBooks is considered one of the best accounting software for service-based startups that intend to stay small. This software offers a range of features designed to streamline invoicing and expense tracking.

3. Wave

Wave is an accounting software option that offers invoicing and accounting services, making it an attractive choice for startups with low invoicing needs. This software also provides additional services such as payroll, bookkeeping, and accounting, which come at a cost.

4. QuickBooks Online

QuickBooks Online is an accounting software designed for freelance bookkeepers, small businesses, and startups. It offers various essential bookkeeping and accounting tools at affordable prices, including invoice and bill management, payment tracking, and automatic tax calculations.

5. Xero

Xero is an accounting software for startups that offers easy-to-use features to manage various financial processes. It provides invoicing, payroll, expense claims, bank reconciliation, and more.

6. Oracle NetSuite

Oracle NetSuite is one of the best accounting software designed for startups seeking ERP functionality. It offers features such as inventory management, supply chain, and order management processes. 

7. Zoho Books

Zoho Books is a bookkeeping platform that is part of the Zoho Suite. This accounting software for startups offers features such as invoice customization, tax management, recurring invoices, and credit notes.

Why is Accounting for a Startup Business Important?

Accounting helps startups build a solid financial foundation by accurately recording all income, expenses, and investments. This lets business owners clearly understand their financial position and avoid costly mistakes.

It also helps track performance, create budgets, and prepare financial forecasts. Accurate records are crucial when approaching investors or lenders, as they show the company’s financial reliability.

Proper accounting ensures tax compliance and minimizes the risk of penalties. Beyond balancing books, it provides insights that guide better decisions and support long-term growth.

Accounting Basics Every Startup Should Track

Every startup must monitor essential accounting basics to maintain financial health and ensure smooth operations. These basics include monitoring income, expenses, cash flow, and assets.

• Income and Revenue: Tracking all money entering the business is crucial to understanding profitability and growth potential. Recording sales, investments, or any other sources of revenue helps in accurate financial reporting.
• Expenses: Startups must carefully monitor all outgoing payments such as rent, salaries, supplies, and utilities. Keeping detailed expense records prevents overspending and supports budgeting.
• Cash Flow: Monitoring the timing of cash inflows and outflows ensures the business can meet its financial obligations without interruptions. Positive cash flow is vital for day-to-day operations and long-term sustainability.
• Assets and Liabilities: Keeping an updated list of assets (like equipment and inventory) and liabilities (such as loans or debts) helps startups understand their net worth and financial position.

By consistently tracking these accounting basics, startups can make informed decisions, plan effectively, and avoid common financial pitfalls that hinder growth.

Steps to Begin Accounting for Your New Business

Accounting for a new business is critical to maintaining clear financial records and supporting sustainable growth. Here are the key steps:

1. Choose an accounting method

Decide between cash-basis and accrual-basis accounting. Cash-basis accounting records income and expenses when money changes hands, making it easier for small startups. Accrual accounting records transactions when they are earned or incurred.

2. Open a separate business bank account

Separating personal and business funds ensures clean, organized records. It simplifies bookkeeping, makes cash flow tracking easier, and avoids confusion during audits or tax season.

3. Set up a bookkeeping system

Establish a reliable way to record transactions. While spreadsheets may work for minimal operations, accounting software offers automation, fewer errors, and instant reporting.

4. Track invoices, receipts, and expenses

Keep all invoices and receipts organized and update expense records regularly. This helps with accurate budgeting, tax deductions, and financial forecasting.

5. Understand your tax obligations

Research your local tax requirements, including income tax, VAT, or payroll taxes. Preparing early and setting aside funds helps avoid missed deadlines or penalties.

6. Consult an accountant or advisor

Even if you handle basic bookkeeping, a professional can review your setup, prepare financial statements, and provide strategic advice for managing business finances.

Conclusions

Startup accounting is more than just tracking numbers; it’s the foundation for making informed decisions, maintaining cash flow, and ensuring long-term success. By understanding the basics and using the right tools, startups can avoid common financial pitfalls.

HashMicro Accounting Software offers a complete solution with automation, real-time reporting, and essential features tailored to startup needs to support that journey. It simplifies financial tasks, improves accuracy, and helps founders focus on growing their business.

Request a free demo today to see how the right accounting system can simplify your startup’s finances and help you confidently scale.

FAQ About Accounting Software for Startups

• Do startups need a bookkeeper?

  Startup founders need a dependable bookkeeping system to record all financial transactions and produce accurate reports like balance sheets and income statements. This article outlines the key responsibilities of startup bookkeeping and how it complements the work of an accountant.

• Do I need an accountant for my startup?

  An accountant can provide significant advantages for startups. Although founders may manage simple accounting tasks early on, professional accountants offer greater expertise and efficiency—particularly as the business expands. Below are several reasons why startups can benefit from their support.

• What is the difference between a bookkeeper and an accountant?

  Bookkeeping is a transactional and administrative function focused on daily financial record-keeping, such as logging purchases, receipts, sales, and payments. In contrast, accounting interprets that data to generate reports and provide financial insights that help business owners make informed decisions.