Insights Magazine Volume IX - Page 27

DOWNLOAD 2017 St. Louis Startup Community Survey Report Visit: brownsmithwallace.com/2017-startup-report should be employed. In addition, managing cash receipts and disbursements can reduce surprise expenditures such as tax liabilities. Cash basis is the preferred method on which startups base their tax reporting because it is simpler to administer and taxes are only due on money received and spent, which can be easily managed with careful planning. 5. Be aware of the surrounding business climate, take advantage of its resources and understand that there will be volatility. Recent data from the Kauffmann Foundation about startup communities across the country provided some good news for St. Louis. In the last three years, the percentage of startup companies in business for five years has grown. Business Insider also named St. Louis the fastest- growing startup scene. Despite the growth in the local community, according to Pitchbook, the number of startups funded at the angel investor and seed stage levels nationwide has dropped for six straight quarters. Locally, some angel groups are still seeing good deal flow but are focusing on quality over quantity. As existing companies get to a point when an exit is imminent, capital could become freed up again and cause an uptick in new startup investments. As seen in EQ Magazine online edition Cathy Goldsticker CPA, MST Partner, Startup Industry Group Leader Brown Smith Wallace 314.983.1274 cgoldsticker@bswllc.com 25