A fast-growing start-up food manufacturer is working hard to satisfy strong market demand for its products. Management needed to transition its accounting from a cash to an accrual basis for its first year of operations. Our initial efforts focused on accrual revenue recognition when product was shipped and recording expenses in the period they were incurred. We also helped estimate period end inventory vs. cost of goods sold, clarify owner’s equity contributions vs. loans, and guided other accounting clean-up items. Accrual based financial statements are critical for management’s performance management and reporting purposes going forward.