This article is part of a seven-chapter story following Lucas on their journey to start a Bookkeeping Business.
Inspired by the guide, A Simple Guide to Starting a Bookkeeping Business, the series blends practical steps with storytelling to show what starting a business really feels like.
Quotes, Advice, and Financial Checks
What Does Starting Really Cost?
Lucas stared at the spreadsheet until the numbers blurred. Three columns. Startup costs. Monthly operating. Revenue projections.
Eva set down tea beside him. “Show me the damage.”
“Thirty-one thousand to start properly.” He turned the laptop toward her. “That includes everything. Build-out, equipment, two months buffer.”
She studied the screen. “And monthly?”
“Forty-seven fifty in fixed costs. Plus five seventy-five for the loan payment.”
“So we need fifty-three hundred just to keep the doors open.”
“Fifty-three twenty-five,” Lucas corrected. “Every month.”
Harper appeared in the doorway, backpack on. “Mom, I’m ready for school.”
Eva kissed Lucas’s forehead. “We’ll work through this tonight. Don’t make any decisions in panic mode.”
But Lucas wasn’t panicking. He was calculating.
Breaking Down the Build-Out
Connor met him at the office space that afternoon. Second floor, six hundred square feet. Empty except for worn carpet and fluorescent lights that hummed.
“Paint and basic furnishing, six thousand.” Connor ran his hand along the wall. “I can get you contractor pricing.”
“I need professional, not fancy.”
“Three thousand for paint and repairs. Three for decent furniture. Desk, chairs, filing cabinets.” Connor pulled out his measuring tape. “Add a small conference table for client meetings.”
Lucas made notes. “What about signage?”
“Building allows window lettering. Five hundred gets you professional vinyl. Maybe add a small lobby sign.”
They spent an hour planning the layout. Reception area near the door. Private office in back. Small conference space by the windows.
“This could work,” Connor said. “Clients see professional. You get functional.”
Technology Investment
Chris, the IT consultant, arrived with a checklist.
“Two business-grade laptops,” he started. “One desktop with dual monitors for heavy work. Three thousand total.”
“Why two laptops?”
“Redundancy. One failure shouldn’t stop your business. Plus, you’ll want mobility for client visits.”
The list grew. High-speed scanner for documents. Laser printer. Network attached storage. Security software. Cloud backup subscriptions.
“Eight thousand for complete setup,” Chris concluded. “Including my installation and security hardening.”
Lucas winced. “That’s significant.”
“You’re handling financial data for multiple businesses. One breach because you cheaped out on security?” Chris shook his head. “Career over.”
The Software Stack
Savannah helped Lucas evaluate bookkeeping platforms over coffee.
“QuickBooks Pro for your practice, two hundred monthly. Xero for cloud-based clients, another hundred. Various plugins and tools, another hundred.” She tallied quickly. “Three hundred minimum for software.”
“Every month?”
“Welcome to subscription economy. But good software multiplies your capacity. You can handle more clients without adding staff.”
Lucas added it to his operating costs. The monthly column kept growing.
Insurance Reality Check
Rebecca, the insurance broker, had prepared a quote package.
“General liability, one hundred monthly. Professional liability, one-twenty. Cyber insurance, thirty.” She slid the papers across. “Two-fifty monthly for adequate coverage.”
“What if I skip cyber?”
“Then pray you never get hacked. One breach without coverage?” Rebecca pulled out a news article. “This bookkeeper lost everything. Clients sued. Personal assets seized despite the LLC.”
Lucas signed the applications.
Marketing Foundation
The marketing consultant Eleanor recommended was direct.
“Four thousand five hundred for basic launch package,” she said. “Website, branding, initial campaign.”
“Breakdown?”
“Two thousand for professional website with booking system. Thousand for logo and brand materials. Fifteen hundred for three-month digital advertising campaign.”
“Is advertising necessary immediately?”
“You need about fourteen clients to break even. How else will they find you?”
Lucas added it to the startup column.
The Loan Application
James, his banker, reviewed the complete projection.
“Thirty-one thousand startup. Fifteen thousand credit line for emergencies.” He calculated quickly. “I can get you approved for the thirty-one thousand.”
“Monthly payment?”
“Five seventy-five.”
Lucas plugged it into his spreadsheet. The total monthly cash outflow hit fifty-three twenty-five.
“Can the business support that?” James asked.
“At an average of four-fifty per client and about four hundred contribution margin, I need roughly fourteen monthly clients to break even.”
“Is fourteen realistic?”
“I already have four committed. Three more probable.”
James nodded. “Seven of fourteen before opening. I’ve seen worse odds.”
Pricing Strategy Session
Jayden agreed to another video call to discuss pricing.
“Never compete on being cheapest,” Jayden reminded him. “What’s your local market bearing?”
“Basic bookkeeping runs two-fifty to eight hundred monthly. Most cluster around four-fifty.”
“Then price at five hundred. Slightly premium but not unreachable.”
“Won’t that limit clients?”
“It filters clients. Five hundred attracts businesses that value quality. Two-fifty attracts price-shoppers who’ll leave for someone charging two-forty.”
Lucas created three tiers. Basic at three hundred for reconciliation only. Standard at six hundred including reporting. Premium at thousand-plus for full service with payroll.
Running the Scenarios
Saturday night. Lucas had built three models. Pessimistic. Realistic. Optimistic.
“Walk me through pessimistic,” Eva said.
“Six clients first month. Eight by month three. Break even by about month seven.”
“Realistic?”
“Start with seven committed. Ten by month two. Break even by month five; profitable by month six if retention holds.”
“And optimistic?”
“Twelve clients month one. Fifteen by month three. Hiring help by month six.”
Eva studied the numbers. “What kills most startups?”
“Underestimating time to profitability. Running out of cash before revenue stabilizes.”
“That’s why the credit line?”
“Fifteen thousand buffer. Three months of operating costs if revenue disappears.”
The Family Meeting
Sunday morning. Lucas had printed everything. Startup costs. Monthly obligations. Revenue projections. Break-even analysis.
“I need you to understand the commitment,” he told Eva.
She read through each page. “Fifty-three twenty-five monthly obligation.”
“For at least six months before we know if it’s sustainable.”
“We can cover that from severance and savings without touching the emergency fund?”
“For four months. The credit line extends that to seven.”
Harper looked up from her cereal. “Are we going to be poor?”
“No, sweetie.” Eva smoothed her daughter’s hair. “Dad’s building something. Building takes investment.”
“Like when we planted the garden? Bought soil and seeds before we got vegetables?”
Lucas smiled. “Exactly like that.”
The Moment of Decision
Lucas had one final call with Austin, his lawyer.
“Everything’s ready for filing,” Austin said. “LLC documents, operating agreement, tax elections. Say the word and you’re official.”
“What stops most people at this stage?”
“Fear of the numbers. The monthly obligation feels overwhelming when you’re staring at zero revenue.”
“It does feel overwhelming.”
“But you’ve already got commits for seven clients?”
“Seven probable, four certain.”
“Most startups open with hope. You’re opening with contracts. That’s the difference.”
The Go Decision
Monday morning. Lucas sat with his laptop, finger hovering over the send button. The email would authorize Austin to file everything. Commit him to the loan. Launch the business.
Connor called. “Still overthinking?”
“The numbers are significant.”
“Know what’s more significant? Another fifteen years making someone else wealthy. Another surprise layoff. Another—”
“I get it.”
“Do you? Because I’ve watched you build the most thorough business plan I’ve ever seen. You’re ready. Stop preparing and start doing.”
Lucas looked at his spreadsheets one more time. Then at the photo of his family on his desk. The same photo that had sat on his desk at Morrison.
He clicked send.
Austin responded within minutes. “Filing today. You’ll be official within forty-eight hours.”
Lucas opened a new document and typed: Week One Action Plan.
The loan would fund this week. The office build-out would start tomorrow. Marketing would launch in ten days.
The business was no longer an idea. It was a thirty-one-thousand-dollar commitment with a fifty-three-twenty-five monthly obligation.
And Lucas was ready.
First Steps as an Owner
That afternoon, Lucas met his first official client as a soon-to-be business owner. Eleanor from Riverside Dental had asked for a formal proposal.
“When can you start?” she asked after reviewing his service agreement.
“Office opens in two weeks. I can begin reviewing your books immediately.”
“We’ll be your first client?”
“One of them.”
Eleanor signed the contract. “I like being part of someone’s beginning. Feels like investing in the community.”
Walking back to his car, Lucas felt the weight shift. Not lighter, but different. The pressure of obligation replaced by the pressure of opportunity.
His phone buzzed. Eva: “James approved the loan. Money hits account tomorrow.”
Tomorrow he’d pay deposits. Order equipment. Start the transformation of empty space into a thriving business.
Tonight, he’d plan.
The numbers were set. The commitment made. The business would need fourteen clients to survive.
Lucas already had seven in sight.
Continue to Chapter 4: Lucas creates his formal business plan…
See the guide Lucas used: A Simple Guide to Starting a Bookkeeping Business
You’ve just finished Chapter 3. In Chapter 4, Lucas turns ideas into a clear plan in Writing the Business Plan.