What Sets Web3 Apart
Here at ShayCPA, our team specializes in offering accounting services to tech companies. And that means we have experience and expertise in leading-edge spaces like Web3. If you’ve been looking for an accountant who understands your business, you’ve come to the right place.
As a Web3 company, your business has expertise in leveraging blockchain technology to create decentralized applications (dApps) and services that operate on a distributed, peer-to-peer network. You focus on creating a more open, transparent, and democratized internet that’s not controlled by a centralized authority.
And that means you can offer several advantages over traditional centralized applications and services. You likely provide users with greater control over their data and digital assets, as well as increased security and privacy. You might also offer new business models, such as tokenization and decentralized finance (DeFi), enabling new forms of value exchange and financial transactions.
You may be utilizing a variety of blockchain technologies, including Ethereum, Polkadot, and Solana. And you might rely on smart contracts and other decentralized protocols to enable transactions and interactions between users.
That means that in addition to traditional business functions like finance, marketing, and operations, Web3 companies require specialized roles such as blockchain developers, smart contract engineers, and decentralized application designers. These roles are critical to the success of the company’s apps and services.
Long story short, if you’re in the field of companies like Uniswap, OpenSea, Compound, and Aave, you’re probably not necessarily functioning like a traditional business. And you’re certainly not offering traditional business services. That has ramifications for your Web3 company’s finances.
What you should know about your accounting
Because Web3 companies operate in a rapidly evolving industry characterized by decentralized networks, cryptocurrencies, and blockchain technology, there’s a lot to consider here. Our Web3 accounting specialists have teed up a few things all founders and managers should know:
Cryptocurrencies and tokens
Web3 companies may hold cryptocurrencies and tokens as assets or receive them as payment for I services. Accounting for these assets may require specialized knowledge of accounting standards for digital assets. Don’t worry. We can help there.
Smart contracts
Web3 companies may use smart contracts to automate business processes and enable decentralized transactions. Accounting for these transactions might (read: usually does) require specialized knowledge of accounting standards for digital assets and blockchain technology.
DeFi
Web3 companies may participate in DeFi protocols like lending, borrowing, and staking. You need to seek out an accountant who has specialized knowledge of DeFi protocols, along with the aforementioned accounting standards for digital assets.
Web3 companies need to consider:
Getting the right support
Long story short, to succeed, Web3 companies need to navigate a complex landscape of accounting and financial reporting requirements while ensuring compliance and effective financial management. The rapid pace of innovation in the industry also requires ongoing attention to emerging issues and best practices.
That’s where we come in. As accountants with the specialized expertise to handle everything we just outlined, we can provide the services and guidance your Web3 company needs. To see what we can do for you, get in touch.
Case Study
Asset Layer
Asset Layer is the first general purpose ‘Digital Asset as a Service’ solution to make leveraging digital assets simple, affordable, and accessible to everyone.
Since Asset Layer was founded in 2020, over 3.5 million digital assets have been created on the platform, managed by a global team of blockchain experts headed by cofounders Dave Mullen-Muhr and Jackson Laskey. The U.S.-based pre-seed startup has already raised $2.4 million in its short 3 years.
So how does a young startup in a new industry navigate accounting challenges? They hired a team with experience working with the nontraditional business that web3 is.
We’ve assisted Asset Layer with
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Setting up accounting operations and recording transactions for Micropayments
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Navigate the complexities of tax compliance that come with Web3 Crypto assets, including recording capital gains and losses.
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Keeping the books and records up to date every month and providing management with a finger on the pulse of the financial health of their company.
“Working with Shay CPA has been fantastic, especially given the novel accounting challenges we have faced as a web3 company leveraging new business models. ShayCPA has helped us navigate accounting for micropayment revenue generated across millions of tiny payments and has worked with us to set up scalable systems to make accounting simple as we grow”.
Monthly Accounting Pricing
Quarterly
Starting at
- Reconcile Quickbooks Online (10 hours per Quarter)
- Cash-Based Bookkeeping
- Quarterly Video Review
- Chart of Accounts Template Provided
- Annual Meeting
Pre-Seed
Starting at
- Reconcile Quickbooks Online
Accrual Based Bookkeeping - Monthly Call
- Chart of Accounts Template Provide
A/P A/R Tracking By Client
Monthly
Starting at
- Reconcile Quickbooks Online
- Accrual Based Bookkeeping
- Monthly Call
- Customized Chart of Accounts
- Deferred Revenue Recognition
- A/P, A/R Tracking
- Inventory/COGS Reconciliation
- Financial Metrics
- Sales Tax Filings *
- Monthly Financials delivered by the 15th after month end
*up to one state included in sales tax
Series A & Beyond
Based On Your Needs
Custom Quote
(discount if billed annually)
- Reconcile Quickbooks Online
- Accrual Based Bookkeeping
- Monthly Calls and ongoing communication
- Customized Chart of Accounts
- Deferred Revenue Recognition
- A/P, A/R Tracking
- Inventory/COGS Reconciliation
- Board Financials and Metrics
- Sales Tax Filings
- Monthly Financials delivered based date requested
Additional Tax Services
State and local taxes (SALT)
Beyond the corporate taxes to which your company is subject, we also provide services for any state and local taxes that apply to your startup. For example, we work with many tech companies incorporated in Delaware and support them with their Delaware Annual Filings.
Cross-border taxes
If you work with international investors or you plan to expand abroad, our cross-border tax expertise can help you comply with the complex applicable tax regulations. We have experience working with companies that have connections in Lebanon, Canada, the UK, South America, and various EU nations.
Our Process
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Step 1: Contact Us
Get in touch and we’ll reach out to you to schedule a video call to better understand your tech startups needs and prepare a custom quote.
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Step 2: Onboarding
We’ll invite you to our secure client portal where you can use our easy to use onboarding checklist to get started. See general pricing guide here.
3
Step 3: Review
We schedule ongoing video calls with you to review your financials and ensure all of your tax compliance is taken care off.
If you’re ready to explore our tax services for tech startup C corporations, don’t hesitate to contact our team today.