If you are a sole trader or a partnership, the annual accounts will form the basis of your Self Assessment tax return. Banks will also want to see the latest set of accounts for self employed individuals looking to raise finance or apply for a mortgage.
For owner-managed limited companies, the accounts will include details of the directors’ salaries and the dividends paid to shareholders, which will need to be included in their Self Assessment tax return. The accounts also provide key information when calculating the company's tax liability.
As well as it is a requirement to file limited company accounts with Companies House and HMRC, the accounts also provide invaluable information about your business. You can see how latest performance compares to last year, identify the strengths of your business and any potential issues that may need investigating. The accounts, when prepared correctly, will serve as a tool to help you drive success.
However, preparing for year end can sometimes be a stressful time for business owners. But it doesn't need to be! We can prepare your annual accounts in accordance with the applicable accounting standards and submit your accounts on time so you can focus on running your business knowing that your accounts are in expert hands.
Keeping a record of your business transactions is not only a requirement but a good record keeping also gives you visibility of your business, which in turn will allow you to make good commercial decisions to drive success. If your business is VAT registered, it will form the basis for your VAT return submission.
Good record keeping will also save you time and money when preparing year end accounts.
We use market leading cloud-accounting software for bookkeeping and give you access to secure online account.
You will benefit from:
Our prices are very competitive and all our services are tailored to meet individual client needs.
HMRC have implemented Making Tax Digital (MTD) for VAT since April 2019 which means businesses with taxable turnover above the VAT registration threshold (currently £85,000) are required to keep business records for VAT purposes digitally and file VAT returns using MTD-compatible software.
If you're just starting out, we can help you decide whether you would benefit from registering for VAT from the outset. We will monitor your situation so that should it become compulsory for you to register for VAT, we will correspond with HMRC and deal with all of the paperwork to keep you compliant.
Conversely, we will also monitor your position for when we think you are able to and would benefit from deregistering.
If you are registered for VAT, we can prepare and submit your VAT returns to HMRC using MTD compatible software. We can also review the VAT schemes available to you as some VAT schemes can save you tax and administration.
Errors in VAT returns, late registration, late submissions and late VAT payments can lead to penalties and interests being charged. Allowing us to take care of your VAT affairs will not only give you peace of mind but also avoid wasting your hard-earned money on penalties and interests.
If you are employing people for the first time or your business has grown and you are recruiting new people it is understandable to feel daunted by the responsibilities payroll can bring on top of your day-to-day workload. Meeting your obligations as an employer can be confusing and stressful.
The additional responsibilities surrounding pension auto enrolment can really add to the workload.
We can help you meet your obligations as an employer and keep you compliant. Whether you are a new employer in need of setting up payroll for the first time or a growing business requiring assistance running payroll for all your employees, we can help.
There are many types of situations where HMRC require an individual to prepare and submit a Self Assessment (SA) tax return. SA returns are usually required for those in self-employment or where the source of income is irregular or uncommon. People who are likely to be required to submit an SA return include:
To assist in completing the tax returns and correctly calculating the tax liability a set of accounts or profit and loss and balance sheet are prepared first.
In calculating your tax liability, we will look for all possible tax deductions you may be entitled to and minimise your tax bill as much as possible. We will file your tax return with HMRC using HMRC approved software and advise you of the tax payable amount and the payment due date.
Companies are liable to corporation tax and therefore required to register with HMRC. There are set deadlines companies must adhere to in filing the corporation tax return with HMRC and pay any corporation tax due.
Companies are also required to prepare and submit the accounts to HMRC in support of the corporation tax return and the tax liability.
The complexities of a company's accounts and corporation tax calculation depends on the nature and size of the entity. There are many allowable deductions and tax reliefs a company could be entitled to and therefore reduce its tax liability.
Company structure is also a fundamental area to be considered for corporation tax purposes when forming a new company. A poorly structured company could be subject to significantly higher tax liability as oppose to a thought out and well structured one.
We can help minimise your corporation tax liability, complete and file your corporation tax return online with HMRC and advise you of the tax amount and the payment due date.
If you are new to business, we can help you plan a tax efficient way of starting out based on your individual circumstances. Generally, forming a company is no doubt one of the most tax efficient method and popular way of structuring a business. However, taking into consideration personal circumstance and total earnings from all other sources, if any, are crucial when deciding the most tax efficient way of structuring a business in its initial stages.
A sole trader business can always be incorporated in the future if it's deemed beneficial and commercially makes sense to do so.
If you are starting a business and need support in deciding the best option for you, or perhaps you're a sole trader and thinking of incorporating your business and need professional advice, contact us and we can help.
Management Accounts helps ambitious business owners who want professional advice and support to help them build a truly successful business. It involves analysing business costs and operations to prepare internal financial report and account to aid managers’ decision making process in achieving business goals.
The level of detail required is dictated by the need of the business. For example, as part of inventory analysis, you may want to know your inventory turnaround rate for a particular product (or 'how quickly you're selling and replacing a product') so you know if it's a slow or fast moving good. Or you may simply want to know the overall performance of the business over a set period of time so a Profit or Loss and Balance Sheet reports with prior period comparison will suffice.
If you are an ambitious business owner just starting out or have been in business for a long time and want to drive success by staying ahead of the curve, knowing how your business is continually performing and the direction it is headed then this is for you.
Our Premium and Full Accounting packages (priced very competitively) include monthly management reporting. Our Premium Accounting package also includes quarterly business review meeting to help you fully understand your financials and aid key decision making.
Give us a call and we would be happy to book you a free initial consultation to discuss your requirements and find out more about our management accounting services.
Cash flow projections are integral part of the management reports for growing businesses wanting to control their cash flows. It shows how cash is expected to flow in and out of the business and highlights if there is a gap where capital investment may be required, either in the form of additional cash injection into the business by the owners or the need to raise finance.
It allows management to plan well ahead and avoid the dangers of falling into liquidity issues by taking action on early signs.
As part of a debt covenant, banks may also regularly want to see cash flow projections of a business and how it compares to the actual cash flows in order for them to understand how good a business is able to service its debts.
If you are required to provide a cash flow forecast to a lender or just want to better control the cash flows of your growing business then get in touch with us and we'll be happy to book you in for a free initial consultation.
There are several ways you can extract wealth out of your business or pay yourself, such as a salary, management fee or dividends in the case of a limited company. Deciding the best option and the optimum amount under each option based on your personal circumstances could save you a significant amount in tax.
However, dividends can only be declared if a company has sufficient 'reserves' to pay out otherwise the dividends could be illegal. Dividends must be authorised and properly documented for it to be lawful.
We can help plan your dividends legally and advice you on the optimum amount to minimise your tax bill and maximise your earnings.
Under the Construction Industry Scheme (CIS) Contractors are required to register for the scheme with HMRC if they pay subcontractors for construction work. Deductions must be taken from the subcontractors payments, which count as advance payments towards the subcontractor’s tax and NI, and a monthly CIS return must be filed with HMRC.
If you're registered under the CIS scheme, we can help prepare and file your monthly CIS returns.
If you need to register or unsure of whether you're required to register, speak to us and we'll advice you if you're required to register and help you through the process.
The world of accounting is changing rapidly in today's digital era. HMRC have already implemented Making Tax Digital (MTD) for VAT since April 2019 which means businesses with taxable turnover above the VAT registration threshold (currently £85,000) are required to keep business records for VAT purposes digitally and file VAT returns using MTD-compatible software.
If you haven't already, now is the perfect time to move your business to a cloud-based accounting system that will allow you to login to your secure online account from any smartphone, tablet or computer. You will have access to Real-Time Information and be able to manage your business on the go!
This Real-Time Information at your fingertips is an invaluable asset to your business as it will give you the key information you need to stay on top of your business and make informed and better decisions right when you need it.
We can fully transition your business from existing accounting system to a cloud-based system including setting up and configuring your chart of accounts, moving all your accounting and payroll data, setting up your customers, suppliers and open invoices as well as your contacts.
We only charge a one-time fee for the initial set up. The ongoing monthly subscription is provided to you completely FREE of charge with any of our packages.