Structuring the financial stack of a SaaS in Series A

To compare connections, controls and full cost, see method of selecting financial tools. The guide below covers the decisions and indicators specific to a SaaS after a Series A.

After a Series A, the finance function must produce consistent figures for management and investors. The priority is to link customer subscriptions, accounting, expenses and cash flow with clear responsibilities. The choice of software comes next.

Start with decisions and data

List the decisions that the reporting should allow: recruitment, level of expenditure, funding horizon and allocation of resources. For each indicator, specify its definition, its source, its manager and its updating frequency.

The same metric must not change meaning between the commercial table and the financial reporting. TheARR and MRR must in particular be reconciled with contracts and invoicing. Collections are not to be confused with recognized turnover.

Cover necessary functions

• Accounting: make entries, documents and the closing schedule more reliable. Compare solutions in our guide to accounting tools.
• Cash: reconcile bank accounts, maturities and financing scenarios. The cash flow forecast allows you to track the consequences of spending decisions.
• Expenses: assign commitments, set validations and retrieve supporting documents. See the expense management tools.
• Payroll and HR: define the distribution of work between internal teams, payroll and accounting service provider. Compare the payroll solutions according to this perimeter.
• Reporting: consolidate the data only after having defined their calculation and reconciliation rules.

Calculate a total cost for your area

A reliable budget brings together subscriptions, billed users, optional modules, set-up costs and the internal time required. Prices depend on volume, contract and features: ask for comparable quotes on the same scope.

Construct two separate columns: start-up cost and recurring cost. Add integrations, data recovery, training and possible exit costs. A subscription savings may be negated by additional manual reconciliations.

Deploy in verifiable stages

Start with the source data and its reconciliation with accounting. Then test a complete cycle: import, control, correction, closure and restitution. The transition to production must have a manager, acceptance criteria and a procedure in the event of a deviation.

Before connecting a new application, check the access rights, available exports and the ability to find the origin of a digit. Theautomation of financial reporting is useful when these bases are stable.

Monitor usage and financial management

After deployment, measure reporting preparation time, unexplained discrepancies and still manual tasks. These observations make it possible to adjust the system without promising identical gains for all companies.

The Fractional CFO can coordinate this organization, in conjunction with the teams and the accountant. Check out our examples of missions and our catalog of tool sheets to prepare the framing.

To deploy these tools and organize investor reporting, a Fractional CFO for startup and SaaS links data to budget, runway and recruitment decisions.