Investors look at your financials, and what they see should reflect how well your business actually runs.
Web3 startups move fast and most founders treat accounting as something to sort out later. Later usually arrives about two weeks before a term sheet, when a VC’s due diligence team asks for two years of clean financials and finds a spreadsheet.
If your startup has issued, received, or plans to issue tokens — the accounting treatment matters from day one. Token classification, vesting schedules, SAFT accounting, and the revenue recognition questions that come with token launches require a framework that holds up to investor and auditor scrutiny.
We build it correctly before it becomes a restatement problem.
Web3 startups often have a mix of traditional equity, SAFEs, token warrants, and phantom equity that creates cap table complexity most accountants haven't seen. We handle the accounting across your entire equity structure so your financials reflect the real picture.
If your treasury holds ETH, BTC, stablecoins, or your own token — those assets need to be properly classified and measured under ASU 2023-08. And when those assets are swapped or disposed of, each transaction is an accounting event with gain, loss, and fee implications.
If your platform holds customer assets in any form — escrow, staking, vesting, or protocol-level custody — those balances need to be properly segregated from operating assets and reported accurately.
If your project operates through a foundation or has received ecosystem grants, the accounting for those funds — how they're recognized, reported, and separated from operating entity finances — is an area where most startups get tripped up.
That's the deliverable. We build the accounting function that produces them — month over month, not just at fundraising time. When due diligence hits, you hand over the folder and let the numbers speak.
They’ve seen projects with great products and terrible financials. They’ve watched due diligence uncover accounting messes that killed deals, repriced rounds, or created post-close liability.
A founder who walks into a raise with clean books, proper token accounting, and a documented financial history signals something the financial statements themselves don’t — that they run a tight operation.
Accounting messes discovered mid-raise don't get cleaned up on the fly. They kill term sheets or force founders into unfavorable renegotiations at the worst possible moment.
Investors who find token accounting errors or undocumented liabilities after signing a term sheet use that leverage. Clean books remove the leverage before it exists.
Misclassified tokens, undisclosed obligations, and improperly recorded SAFT agreements can create liability that surfaces after the round closes. Getting it right upfront is always cheaper.
Getting accounting right from day one so the first raise doesn't uncover gaps that should have been closed months earlier.
Startups with existing operations that need controller-level cleanup before a larger institutional round or first external audit.
Navigating the accounting implications of a token launch, airdrop, or TGE where the revenue recognition and treasury questions are live and time-sensitive.
Projects with a foundation, a DAO, and an operating entity that need all three accounted for correctly and reported separately.
Teams that started with a generalist bookkeeper and need controller-level support — without the cost of a full-time hire.
Here are some of the frequently asked questions and their best answers for your clarification.
Still have questions? Contact us.
