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Author: James Duffy

James is the co founder of More Than Accountants an Online Accountants. He will be more than happy to help More Than Accountants clients implement any guides or strategies that he has posted to the blog. If you would like to learn more about becoming a More Than Accountants client you can quote online by using our Unlimited Accountancy Services Quoting Tool.

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Business Practice

Bookkeeping for Beginners: 9 Basic Concepts to Get You Started

Bookkeeping for Beginners
  • Post author By James Duffy
  • Post date April 23, 2025
  • No Comments on Bookkeeping for Beginners: 9 Basic Concepts to Get You Started

Is your small business encountering some inaccurate financial reports? Or are mismanaged accounts draining your profits?

An AAT (Association of Accounting Technicians) survey revealed that 42% of UK businesses lose money due to poor accounting. The respondents had to hire professional accountants to fix the errors. 

Basic bookkeeping shouldn’t have to be overwhelming. Here are nine basics to help you get started. You’ll learn to organise your records. You’ll understand key terms. Plus, you’ll use simple practices to make managing finances easy.

9 Core Elements of Bookkeeping

Grasping these nine key bookkeeping concepts will keep you organised. It will also help you avoid big mistakes and improve decision-making. Think of these as the bedrock for sustainable growth and compliant accounts. 

Assets

Assets are what your business owns. These can be tangible, like equipment or stock, or intangible, like intellectual property. Common asset categories include:

  • Cash in the bank
  • Accounts receivable 
  • Inventory
  • Fixed assets such as property, vehicles, or office equipment

Imagine operating a coffee shop: its coffee machines, tables, and chairs would constitute fixed assets, while any stored coffee beans and milk cartons would fall under inventory.

Understanding your assets allows you to accurately calculate your company’s financial position on its Balance Sheet and make informed decisions, such as investments or expansion.

Assets vs Liabilities

Liabilities

Liabilities are any financial obligations your business owes to other parties, whether short-term, like supplier invoices, or long-term, like business loans. Examples include: 

  • Accounts payable
  • Loans from lenders
  • Tax liabilities (VAT/CT/PAYE due to HMRC).

So if you run a pet grooming salon and purchase £2,000 worth of grooming supplies on credit, this amount would appear as an accounts payable liability until paid off.

Understanding liabilities is key to managing cash flow issues and paying your bills and taxes on time.

Equity

After deducting assets from liabilities, what remains is known as the business’s remaining ownership stake. 

For limited company accounts in the UK, this refers to shareholder equity, while sole traders refer to it as the owner’s capital.

Imagine your online retail business has £20,000 in assets and £12,000 in liabilities; therefore, its Equity would be £8000

£20,000 (assets) – £12,000 (liabilities) = £8,000 (equity)

Tracking Equity highlights how much of your business value belongs to you or your shareholders.

Single-Entry Bookkeeping

Single-entry bookkeeping records transactions only once, either as income or expenses. Sole traders and small startups with simple finances often use this system.

For example, if your flower makes a £200 sale in your cash receipts log, you’d record it. Sadly, this doesn’t provide a complete financial picture, which restrains you from growing.

Single entry bookkeeping vs double entry bookkeeping

Double-Entry Bookkeeping

The double-entry system is essential for businesses with more complex operations. Each transaction is recorded twice—as a debit in one account and a credit in another.

Say you purchase office supplies for £500 for your recruitment agency in Leeds. It would look like this in your books:

  • Debit: Office supplies account increases by £500
  • Credit: Cash account decreases by £500 (Card account would credit the bank)

Double-entry bookkeeping ensures accuracy and helps you balance the equation Assets = Liabilities + Equity on your Balance Sheet. Bookkeeping software, like Xero or QuickBooks, follows this system.

Cash Basis of Accounting

Here, we only record transactions when cash is received or spent. Many small UK businesses and sole traders prefer this approach, which is simple and aligns with the VAT Cash Accounting Scheme.

For instance, if your design studio in Brighton sends an invoice to a client in October but only gets paid in November, you would record the income in November. This system works best for smaller businesses with straightforward finances.

Accrual Basis of Accounting

The accrual method records transactions based on when they occur, which is required for larger businesses.

Suppose your company completes a project worth £10,000 in December. But you won’t get paid until February. With accrual accounting, you record the income in December when you complete the work.

Accruals help you understand your business’s immediate performance.

Income Statement

Income statement

Your Income Statement is a snapshot of your business’s performance over time. It includes three key elements:

  • Revenue (sales or income)
  • Cost of goods sold (COGS) (direct costs of your products or services)
  • Operating expenses (salaries, rent, utilities, etc.)

Knowing how to read an Income Statement helps you identify profitability trends and areas for cost improvement. For example, a gift shop owner in Liverpool might notice their rent expenses are eating into their profit margins.

Retained Earnings

Retained earnings represent the cumulative profits that your business keeps rather than paying out as dividends to shareholders.

If your business made a £50,000 profit this year and paid a £30,000 dividend to shareholders, £20,000 would remain retained earnings. Meanwhile, you can reinvest these profits into the business for exponential growth.

Final Takeaway

The above nine concepts form the cornerstone for keeping finances organised, adhering to HMRC regulations, and making better decisions.

Are You Feeling Overwhelmed with Bookkeeping?

Don’t Worry; You Aren’t Alone

Many entrepreneurs start with limited knowledge of bookkeeping. Taking things a step further, speaking to a professional could make all the difference—invest in yourself today by starting bookkeeping!

 


Categories
Business Practice

Bookkeeping Packages Guide

Bookkeeping Packages Guide
business office desk closeup - financial reports, analysis and accounting, set of documents, tables and graphs, various items for bookkeeping, calculator
  • Post author By James Duffy
  • Post date April 10, 2025
  • No Comments on Bookkeeping Packages Guide

Did you know that nearly half (46%) of UK businesses experience slow growth due to inept financial recording? Meanwhile, 37% of businesses struggle with cash flow as they manage their accounts in-house.

Effective bookkeeping makes the difference. It tracks expenses, creates financial reports, and helps you focus on doing what you do best.

This guide covers all aspects of bookkeeping packages, from the essential features and key benefits to pricing structures and choosing the best solution for your business.

Key Features to Look For

Every bookkeeping situation differs. Here is our advice when considering various bookkeeping solutions:

Automation 

Automation can save enormous time by handling tedious administrative tasks like data entry, invoice creation, and bank reconciliation on its own. Eliminating manual work reduces errors while freeing you to focus on more strategic business initiatives.

Comprehensive Reporting 

Any good package should provide features for producing reports such as profit and loss statements, balance sheets and cash flow summaries that allow real-time access. Accessing such data enables informed decisions.

Integrate With Other Systems

Aim to find software systems that easily sync up with various tools – payroll (HMRC-compliant systems), inventory management platforms or eCommerce solutions are some examples.

Scalability

Scalability matters for everyone. Your bookkeeping solution must adapt as your needs shift, eliminating the need to upgrade or switch systems.

Tax Management

In the UK, VAT administration and compliance with HMRC’s Making Tax Digital (MTD) requirements are non-negotiable – choose a package designed to make this aspect of your operations simpler.

Friendly UI

A user-friendly program ensures you or your team can begin using it without lengthy learning curves or the need for specific training sessions.

Pricing Structures

Understanding the scale of the fee can help you choose the best option for you. The pricing may vary depending on service providers, but here are the main approaches:

Monthly Subscriptions

Popular options, such as Xero or QuickBooks, offer plans starting from £10-50/month; more advanced plans with services like payroll forecasting can go as high as £100+/month.

Tiered Packages

Many offer flexible packages for different business sizes and needs:

  • Starter: Basic services such as monthly bookkeeping, bank reconciliation, and simple reporting, ranging from £200–£350 per month.
  • Standard: Includes VAT submissions, payroll management, and cash flow reports that fall between £500 and £1,000 monthly.
  • Premium: Comprehensive options with financial analysis, tax forecasting, and inventory management usually start from £1,000 to £2,000 for each month.

Hourly Pricing

Some bookkeepers charge an hourly fee for smaller or ad hoc tasks, typically ranging from £15 to £30 per hour. While flexible, this model can make budgeting unpredictable.

One-Time Projects

For historical clean-up or setting up accounting systems, a one-time flat fee is often agreed upon after assessing the complexity of the task.

Outsourcing vs. Software

Professional bookkeepers or bookkeeping firms specialise in everything from VAT filings and reconciliations, all the way up to VAT refund filings and reconciliation.  Here is how outsourcing compares with DIY software:

Benefits of Outsourcing:

  • Stress Reduction

Professionals stay on top of compliance deadlines and handle VAT and tax reporting for you.

  • Improved Accuracy

Experienced bookkeepers ensure clean records, reducing the chances of audit-related errors.

  • Time Savings

Freed-up time lets you focus on growing your business, not crunching numbers.

  • Expert Guidance

With their knowledge of accounting trends and laws, bookkeepers provide insights you might overlook.

Drawbacks:

  • Higher Initial Cost
  • Outsourcing often comes with a higher price tag compared to DIY software options.

For smaller businesses or startups, a hybrid model may work best. You can handle day-to-day bookkeeping internally with software and rely on experts for quarterly reviews or tax preparations.

Benefits of a Professional Bookkeeping Package

Having the right tool or team in place offers more than convenience. Here are some core advantages:

  • Time Efficiency

Free yourself from repetitive financial tasks and reinvest that time in strategic business growth.

  • Tax Compliance

With tax rules constantly evolving, your bookkeeping package ensures you comply with HMRC’s strict requirements, avoiding penalties.

  • Enhanced Financial Insights

Accurate records and real-time reporting enable more effective tax planning, which in turn could assist your company to secure funding, manage cash flow, or identify growth opportunities. 

  • Cost Effectiveness

By eliminating errors and streamlining operations, you will save both time and money in the long run while enjoying greater peace of mind.

  • Peace of Mind

Acknowledging that your finances are properly taken care of can remove an incredible weight off your shoulders, giving you more energy and focus for business growth.

Tips for Getting Started

Once you’ve chosen a bookkeeping package or provider, these tips will help you get the most out of it:

  • Identify Key Needs

Make a list of absolute must-haves, such as VAT compliance or payroll integration, to ensure your choice aligns with your goals.

  • Test First

Many solutions offer free trials or demos. Use these to evaluate usability before committing to the long-term.

  • Migrate Gradually

Transition to your new system in stages, starting with one financial process at a time to ensure a smooth handover.

  • Educate Your Team

If you’re involving other team members, invest in basic onboarding or training about the new systems.

Common Bookkeeping Pitfalls to Avoid

Avoiding these common mistakes will save you time, money, and potential headaches:

  • Overcomplicating Systems

Select solutions tailored to the current size and scale. After all, spending on features you don’t yet require will stretch your budget further.

  • Procrastinating VAT Returns

Stay ahead of VAT filing deadlines by gathering VAT info quickly; don’t wait until it is due before starting this task. Ignoring Red Flags in Cash Flow

  • Monitor Regularly 

Monitoring regularly will enable you to detect issues like late payments before they spiral. 

  • No Data Backups

Unfortunately, digital systems can sometimes malfunction. For peace of mind and your financial data’s protection, back up regularly to protect it against possible loss.

Final Thoughts

Bookkeeping packages can make an impactful statement about the health and success of any business. A solid bookkeeping solution ensures compliance, increases efficiency and provides a greater picture of financial health than an isolated tool or standalone package could do on its own.

Allow yourself time to assess various solutions before making a decision.


Categories
Business Practice Business Tools and Process Automation

What is Double Entry Bookkeeping?

Double Entry Bookkeeping
  • Post author By James Duffy
  • Post date April 7, 2025
  • No Comments on What is Double Entry Bookkeeping?

Ever thought of how businesses track every penny while ensuring well-balanced and accurate records? 

The answer is double-entry bookkeeping. 

The ICAEW report says that over 99% of businesses in the UK are small or medium-sized enterprises (SMEs), highlighting the critical need for accurate financial management systems like double-entry bookkeeping.

So, every business transaction has two transactions: something coming in and something going out. In double-entry bookkeeping, both of these transactions are kept on record to balance out each side. 

The fundamental accounting equation of double-entry bookkeeping:

Assets = Liabilities + Equity

The equation encompasses the core financials of your business. It contains what your company owns (assets), what it owes (liabilities), and your investment (equity). 

Understanding Double-entry in Bookkeeping

In comparison to both entries, the credit increases a liability account or decreases an asset account. The debit, being the opposite of credit, increases an asset account or decreases a liability account.

A debit in one account affects a credit in another, all debits must equal the sum of all credits.  

This double-entry of credits and debits standardises the accounting process and improves the accuracy of your financial records. This standardisation improves error detection. 

Account Type

Debit Effect

Credit Effect

Assets Increase Decrease
Liabilities Decrease Increase
Equity Decrease Increase
Revenue Decrease Increase
Expense Increase Decrease

This table helps record transactions correctly. Ensuring these relationships work accurately is the bottom line for your records’ integrity.

The Role of the Chart of Accounts

The chart of accounts is a blueprint of your financial structure. A well-structured chart of accounts allows for precise tracking, insightful analysis, and meaningful data reporting. It involves:

Asset Account

Liability Account

Equity Account

Revenue Account

Expense Account

Cash Accounts Payable Capital Sales Revenue Cost of Goods Sold (COGS) 
Accounts Receivable  Salaries Payable Preferred Stock Service Revenue Rent Expense, 
Inventory Utilities Payable  Additional Paid-in Capital Interest Income Salaries Expense
Prepaid Expenses Short-Term Loans Retained Earnings Dividend Income Utility Expense 
Short-Term Investments Long-Term Debt  Treasury Stock. Rental Income Depreciation Expense
Current Portion of Deferred Tax Asset Bonds Payable Gain on Sale of Assets Amortisation Expense
Fixed Assets (Property, Plant, and Equipment) Deferred Revenue Interest Expense 
Accumulated Depreciation Unearned Revenue Loss on Sale of Assets
Intangible Assets Current Portion of Long-Term Debt Travel/Advertisement Expense
Deferred Tax Asset Bad Debt Expense, 

Each account within the chart of accounts is assigned a unique identifying number, facilitating organisation and streamlined transaction tracking. 

This numbering system is crucial for maintaining order and efficiency in bookkeeping.

The Bookkeeping Transaction Cycle

Bookkeeping transaction CycleThe transaction cycle in double-entry bookkeeping is a step-by-step process to keep financial records accurate. Here’s how it works:

  1. Identify Transactions: Spot any financial events that need recording, like sales or expenses.
  2. Journalise: Record these events in a journal, noting both what you gain (debit) and what you give up (credit).
  3. Post to the Ledger: Organise these journal entries in a ledger, grouping them by account.
  4. Prepare a Trial Balance: Check that all debits match all credits to ensure your book balance.
  5. Make Adjustments: Record extra entries for unpaid bills or late payments.
  6. Create Financial Statements: Use the adjusted numbers to prepare key reports, like the balance sheet and income statement.
  7. Close Entries: Wrap up temporary accounts (like revenue or expenses) and get ready for the next cycle.

How to Implement Double Entry Bookkeeping (Example)

Say a small London café decides to improve its outdoor dining experience by purchasing new patio furniture, including tables, chairs, and parasols, for a total cost of £15,000. The purchase is made entirely on credit, with the supplier giving the café 30 days to settle the invoice.

A debit and credit entry must be made to record this transaction in the café’s accounting records. Since the patio furniture is classified as an asset, a debit entry of £15,000 is posted to the furniture account under assets, increasing the café’s total asset value.

Meanwhile, because the café owes the supplier the amount, a credit entry of £15,000 is entered in the accounts payable ledger, representing a liability. This reflects the new obligation to pay the supplier within the agreed timeframe.

This double-entry system ensures the books are balanced:

  • Debit (Asset): £15,000 added to furniture
  • Credit (Liability): £15,000 added to accounts payable

If the café had paid for the furniture immediately using cash, the entries would still balance. A credit of £15,000 would be recorded in the cash account (reducing assets), while the debit of £15,000 would remain in the furniture account (increasing assets).

Key Considerations 

For UK businesses, there are specific regulations and standards to consider when implementing double-entry bookkeeping:

  • UK GAAP Compliance:
      • Prepare financial reports under applicable standards like FRS 102 or FRS 105 to ensure accuracy and comparability.
  • HMRC Tax Compliance:
      • Maintain accurate financial records for tax filings and follow Making Tax Digital (MTD) requirements for VAT returns.
  • Companies House Obligations:
      • File accounts and confirmation statements on time. Publicly accessible filings must be accurate and transparent.
  • Ledger Management:
      • Double-entry bookkeeping principles ensure balanced accounts. Regular reconciliation identifies errors quickly.
  • Materiality and Judgment:
      • Apply materiality criteria and professional judgment for accruals, provisions, and complex transactions.
  • Record Retention:
    • Keep records for at least six years to meet legal and audit readiness standards.

Double-entry Bookkeeping has the power to transform your financial management. Whether you are a small business sole trader or an established limited company, taking control of your finances can become simpler. 

Need expert consulting or the right set of tools to get started? Contact us or get a quote to ensure your books are balanced and set up for profit.

 


Categories
Business Practice Business Tools and Process Automation

Difference Between Accounting and Bookkeeping

Difference Between Accounting and Bookkeeping
  • Post author By James Duffy
  • Post date March 25, 2025
  • No Comments on Difference Between Accounting and Bookkeeping

Have you been experiencing unaccounted transactions? Or are you just annoyed by poorly maintained records? These could cost you profits or even endanger your business’s financial viability. 

Knowing the difference between bookkeeping and accounting can help you save time and maintain or overlook financial records with minimum stress.

Two in five (37%) UK business owners lack confidence in their current levels of financial agility.

Let’s break accounting and bookkeeping down and explore why they’re both essential for your business.

What is Bookkeeping?

Bookkeeping is about tracking the day-to-day financial stuff—every receipt, invoice, and payment. It’s like your business’s financial diary.

What Do Bookkeepers Do?

  • Record daily transactions (e.g., sales, expenses, and income).
  • Reconcile bank accounts to make sure everything matches up.
  • Record invoices and receipts for purchases made by the business.
  • Manage payroll, so your team gets paid on time.
  • Keep track of ledgers, journals, and other transaction records.

Why is Bookkeeping Important?

No.1 It’s the Square One

Without the detailed data, everything falls apart. Bookkeeping provides the basis to all your financial analysis.

No.2 Tax Prep Without the Headache

Ever struggle to comb through receipts come tax season? Bookkeeping ensures all your records are ready and accessible. No last-minute scrambling!

No3. Keeps Your Business Compliant

Mistakes or missing information could lead to tax penalties. A reliable bookkeeper helps you avoid that.

Popular Tools for Bookkeeping

  • QuickBooks
  • Xero
  • FreshBooks
  • FreeAgent

These tools can make the process faster and simpler, but they still require a person behind the scenes to ensure everything is recorded correctly.

What is Accounting?

If bookkeeping is about the “what” (what you spent, what you earned), accounting is about the “why.” Accounting dives deeper. It analyses the data collected by bookkeeping and helps guide big decisions in your business.

What Do Accountants Handle?

  • Prepare financial statements such as income, balance sheets, and cash flow reports.
  • Perform data analysis to detect trends or identify problem areas. 
  • Establish budgets and forecasts to plan for the future while adhering to tax laws and other regulations.
  • Offer strategic advice for long-term financial success.

Why Do You Need an Accountant?

No.1 Make Smarter Decisions

Accountants don’t just crunch numbers; they help interpret what those numbers mean and guide your next steps.

No.2 Tax Expertise

Accountants understand tax laws inside and out. They can find deductions, file your paperwork accurately, and ensure you don’t conflict with the tax office (no unpleasant surprises!). 

No.3 Enhancing efficiency

An accountant could identify ways to reduce expenses or make smarter investments, giving you greater cash flow control.

Accountants’ Favourite Tools

  • Sage
  • QuickBooks
  • Tax support platforms

Most software can crunch numbers, but accountants bring expertise to interpret and act on that information. They also handle trickier scenarios (like audits or international tax laws).

How Are Bookkeeping and Accounting Different?

Aspect Bookkeeping Accounting
Primary Role Track day-to-day transactions. Provide big-picture financial insights.
Tasks Record sales, reconcile bank statements, and manage payroll. Prepare financial statements, develop strategies, and manage tax filings.
Expertise Needed Basic knowledge of accounting software; attention to detail. Advanced financial skills; strategic thinking.
Output Organised records of every transaction. Comprehensive financial reports and strategic advice.
Decision-Making Role Doesn’t make decisions; focuses on accuracy. Provides data-backed insights and advice for business decisions.

 

Why Both Bookkeeping AND Accounting Matter

Here’s the truth: Bookkeeping and accounting work hand in hand. Skipping one or the other leaves gaps that can seriously derail your business.

Bookkeeping Feeds Accounting

Bookkeeping tracks everything in real time. Accountants then step in to make sense of the bigger picture. Without solid bookkeeping, accountants can’t do their job well.

Accounting Adds Context

While bookkeepers focus on recording data, accountants help you understand what that data means. Together, they keep your business afloat and help you chart a course for growth.

They Help Protect Your Business

Want to avoid cash flow issues? Stay compliant with regulations? Be ready for tax season? You need both bookkeeping and accounting in your corner.

Bookkeeping Stats

When Do You Need a Bookkeeper vs. an Accountant?

You Need a Bookkeeper If…

  • You need help keeping up with daily transactions.
  • Payroll and invoice management are eating up too much of your time.
  • Tax season is approaching, and your records are a mess.

You Need an Accountant If…

  • You have no clue where your business stands financially.
  • You’re expanding operations and need advice on how to do it strategically.
  • You want clear, actionable strategies to reduce costs or grow profits.

What About Outsourcing?

Running a small business often means balancing quality with cost-effectiveness. Full-time bookkeeping and accounting professionals might feel out of reach, especially for startups. Outsourcing could be your solution.

Typical Costs in the UK:

  • Outsourced Bookkeeping
  • £30–£1,500/month depending on complexity.
  • Accounting Services (Tax Prep, Financial Reports, Payroll services)
  • £100–£300/hour for expert-level advice.

Outsourcing saves money and gives you access to experienced professionals without the need for long-term payroll commitments.

The Bottom Line

Can you skip hiring a bookkeeper or accountant? Don’t. These roles are the backbone of your financial health. Bookkeeping keeps your records airtight, while accounting gives you the insights to grow smartly.

Think of it like this:

  • Bookkeeping is your tracker, your behind-the-scenes operator.
  • Accounting is your guide, steering you toward success.

Combine the two, and you’ll have the confidence to make informed financial decisions. Ignore them, and you’re flying blind.

Whether you’re just starting or your business is scaling fast, don’t wait until it’s too late. Investing in professional bookkeeping and accounting can save you a world of stress later.

Do you need help managing your books or making sense of your numbers? Contact us today to get the guidance your business deserves!

 


Categories
Accountancy Software Business Practice Business Tools and Process Automation Uncategorised

Xero Training (Talk About How, etc.)

Xero training
E-learning website with sofware for student to study online on the internet network snugly
  • Post author By James Duffy
  • Post date March 21, 2025
  • No Comments on Xero Training (Talk About How, etc.)

Did you know that 64.4% of small business owners rely on accounting software to manage their finances?

Software like Xero is one of the go-to solutions when someone thinks of managing accounts.

With over 4.2 million subscribers, including Canada and Australia, Xero rules the world of accounting software. However, anyone can get lost in the maze of taxes and self-assessments without knowing its whereabouts.

To get the most out of Xero, you must know all its features; for this, you need thorough training.

Let’s know some basic things about Xero training and how it can help you advance your accounting practices.

What Do You Expect to Learn From Xero Training?

Xero training helps you develop key skills and competencies for commanding Xero operations. Some of the basic things you learn include:

  • Dashboard navigation

  • Match transactions with invoices and bills.

  • Manage invoices and generate financial reports.

  • Efficient Bookkeeping

  • Automate tasks

  • Prepare and submit tax returns

  • Xero Integration

  • Inventory Management

How Xero Training Works

Xero training sessions can be broken down into beginner, intermediate, and advanced.

Beginner Training

For new users or those with little accounting experience, beginner training is very helpful. It helps them gain new skills like:

  • Setting up accounts, navigating the dashboard, and knowing basic features.

  • Creating and sending invoices, recording expenses, and managing bank feeds.

  • Matching transactions to ensure accurate financial records.

  • Generating basic financial reports such as Profit & Loss statements and balance sheet.

Intermediate Training

If you are already familiar with the fundamentals of Xero, the below sections can help you improve efficiency:

  • Setting up payroll, processing pay runs, and managing employee records.

  • Understand VAT, filing tax returns, and automated tax calculations.

  • Handling expense claims and tracking assets.

  • Integrating Xero with other business tools like payment gateways and CRM systems.

Advanced Training

If you are a professional accountant, bookkeeper, or financial analyst, you can benefit from the in-depth knowledge of:

  • Managing foreign currency accounts and international payments.

  • Creating custom reports and using tracking categories.

  • Planning cash flow and setting financial goals.

  • Setting up recurring invoices, bank rules, and workflow automation.

How the Training Combines Theory and Practical, Hands-on Exercises

Xero training is best utilised when you implement a learn-and-apply approach. Combine theory with practical exercises so you figure out the most of it.

  1. You learn accounting basics, core features, and industry-specific applications. All this presented in quick videos, and guides.

  2. Apply knowledge to a demo Xero account and perform tasks. Get to know invoicing, bank reconciliation, payroll processing, and tax filing.

  3. You must take part in interactive tests and scenario-based challenges to reinforce learning.

  4. Sessions with Xero-certified trainers provide troubleshooting and personalised guidance.

  5. Advanced courses and certifications validate skills for professional use.

The training improves your accounting skills and refine your employability and efficiency.

Common Challenges and Features Users Often Struggle With

Xero has a user-friendly interface. However, features like duplication, matching invoices, and bills with split transactions are hard. While chart of accounts and identifying the nature of searches also requires skill.

Here are some common difficulties and how to overcome them:

Bank Reconciliation Errors

  • Struggles with matching transactions, duplicate entries, or missing data.

  • Solution: Enable bank feeds, set up bank rules, and regularly review transactions.

Understanding Chart of Accounts

  • Difficulty setting up accounts correctly or categorising expenses.

  • Solution: Learn Xero’s default account structure and customise it to fit business needs.

Payroll Setup & Compliance

  • Issues with tax calculations, leave accruals, and employee setup.

  • Solution: Use Xero’s payroll templates and stay updated on tax regulations.

Managing Multi-Currency Transactions

  • Confusion with exchange rates and foreign transactions.

  • Solution: Use Xero’s multi-currency feature and monitor rate fluctuations.

Generating & Customising Reports

  • Users struggle with filtering data and creating custom financial reports.

  • Solution: Explore Xero’s report templates and tracking categories for deeper insights.

Tax & VAT/GST Filing

  • Misreporting tax, missing deadlines, or incorrect tax rates.

  • Solution: Set up tax codes correctly and use Xero’s tax filing integrations.

Integration with Third-Party Apps

  • Difficulty syncing Xero with CRM, eCommerce, or payment platforms.

  • Solution: Choose Xero-certified apps and follow integration guides.

How to get the most out of a Xero training session? Recommend strategies

To get the most from Xero training sessions, learn about billing. Understand how to create bills and invoices. Also, find out how to run reconciliation reports.

Maximise your Xero training with a strategic approach:

  1. Set Clear Goals – Identify specific areas you want to master.

  2. Engage in Hands-On Learning – Replicate workflows, and test different scenarios.

  3. Ask Targeted Questions – Focus on best practices and industry-specific applications, not technical steps.

  4. Take Actionable Notes – Use checklists, highlight time-saving tips, and note common mistakes.

  5. Apply immediately – Complete a mini-project in Xero, practice , teach someone to reinforce learning.

  6. Leverage Xero’s Ecosystem – Use Xero Central, join user groups, and stay updated with webinars and new features.

Maximise Your Xero Skills

Whether a beginner or an advanced user, hands-on learning and expert guidance will help you make the most of Xero.

Take Action Today

  • Enroll in a Xero training course

  • Book a consultation with a certified expert

  • Keep vising us for more updates

Start now and take control of your business finances!


Categories
Announcements Business Practice

What Is A Director’s Loan & How Do They Work?

What Is A Director's Loan
  • Post author By James Duffy
  • Post date November 29, 2024
  • No Comments on What Is A Director’s Loan & How Do They Work?

Running a business requires more than just dedication—it demands financial flexibility. 

But what happens when you need quick cash for your business? For many, director’s loans provide a convenient solution, allowing them to borrow from or lend to their limited company. 

According to a report from HM Revenue and Customs (HMRC), around 25% of small business directors in the UK have used a director’s loan at some point to support cash flow. 

However, navigating the rules around these loans can be tricky, and non-compliance risks are significant.

This guide covers all you need to know about director’s loans, from definitions and compliance to best practices for managing them effectively.

What is a Director’s Loan and How Does it Work?

A Director’s Loan refers to any money a director lends or borrows from a limited company that doesn’t fall into the categories of dividends, salary, or expenses. 

Directors of limited companies may use company funds for personal purposes, but any transactions must be recorded in a Director’s Loan Account (DLA). This account tracks amounts borrowed or loaned back from or to the company to comply with tax regulations and ensure compliance.

An unexpected director’s loan could leave the company or director with debt to HMRC at the end of each financial year, with specific tax implications arising if one owes money back. HMRC closely oversees these transactions, and any tax implications may become evident if one or both owe money back.

Here’s an example:

  1. You withdraw £1,000 from the business account.
  2. At the end of the month, you run payroll and pay yourself a salary of £500. 
  3. At the end of the year, you declare £15,000 in dividends, assuming the company has enough funds.
  • Your loan account will now show £14,500 in credit (companies owe you) because the £500 salary and £ 15,000 dividends were paid to you. But you have already £1,000, so you have £14,500 net. 

NOTE: The dividends you declare and the money you withdraw from the company sometimes match. HRMC tracks the money you withdraw through the director’s loan account, which is offset against future dividends or salary payments.

In Credit Director’s Loan

The In Credit Director’s Loan is simpler than its counterpart. In Credit is when you lend your company some quick cash. HMRC does not impose taxes unless the director imposes one.

However, when a director can choose to charge interest on the Money that he lends, there are some tax implications: 

  • This interest will be considered income for the director. 
  • The Company will have to submit CT61 to declare interest (to claim allowable expense under company profits and loss accounts.) 

Overdrawn/Debit  Director’s Laon

In case you take a loan from a company.

As a director, you borrow money from your company and must repay it within a specific time per HMRC guidelines. 

Below are actions a director should take when taking money from the company:

  1. Shareholders must approve a director’s loan. (An exception is if you are operating as a sole trader; then a written approval document should work.)
  2. Make sure your loan is adequately established. Specifically, an active loan agreement must govern its terms before filing annual income taxes with HMRC.
  3. The loan agreement should include information such as:
  • Identity of both parties (the company and director) 
  • Any essential terms and conditions of the loan (such as amount, repayment details, and interest payable – which will form part of the assessable income of the company) 
  • Signature and date

What are the tax implications on the Overdrawn/Debit Director’s Loan?

If you return your loan taken from the company within 9 months from the loan date, there will be no tax implications.

However, after 9 months, you must pay a tax known as the S455 charge, which is 33.75% (Subject to change as per HMRC ) of the loan amount. This implication is to prevent using a director’s loan as a tax-avoiding tool.  

Moreover, you only have to pay S455 on advanced loans, not the whole loan balance. For example, if the balance on the loan is raised from £8,000 to £10,000 in one year, you only pay 33.75% on the added £2,000. 

You must submit a supplementary tax page, CT600A, to declare. The tax will be calculated as a percentage you pay with corporation tax. 

However, this 33.75% tax you pay is also refundable when you repay the company’s loan.

How you can reclaim Tax paid on Overdrawn DLA 

Reclaiming Within 2 Years

If you are reclaiming within 2 years of the end of the accounting period when the loan was taken, use form CT600A to claim when preparing or amending your Company Tax Return online.

If either of the following applies, use form L2P instead:

  • Your tax return covers an accounting period different from the date of the loan you take.
  • You are amending your return by post.

Make sure to specify how you would like the repayment in your Company Tax Return.

Reclaiming After 2 Years

If you are reclaiming more than 2 years after the end of the accounting period when the loan was taken, complete the L2P form and submit it with your latest company tax return or send it separately by post.

HMRC will process the repayment by either:

  • Using the details provided in your latest Company Tax Return, or
  • Sending a cheque to your company’s registered address.

How much can you withdraw from the Director’s Loan Account?

There is no legal limit on how much directors may withdraw from their director’s loan account; however, if the loan amount exceeds £10,000, your DLA could incur tax consequences. Below are the implications that can occur. 

Benefit in Kind Tax

If the loan goes overdrawn by £10,000, this could trigger a benefit-in-kind tax, which can incur tax as though you attach interest.

  • HMRC treats interest-free loans as “beneficial” and will consider them a benefit in kind. HMRC will add tax as per the BIK Rules.

Exceptions apply under Benefit in Kind Tax:

  • If a company charges interest on loans while complying with HMRC guidelines, benefit-in-kind tax may not apply to them. 
  • When loans never surpass £10,000 during any one tax year, tax on beneficial loans generally doesn’t kick in either.

How to Report Benefits in Kind Tax

  • Provide details of benefits in kind (including overdrawn loans) using Form P11D.
  • Submit Form P11D(b) by July 6 annually to HMRC to show its Class 1A National Insurance liability.
  • If your company’s financial year-end doesn’t coincide with tax year-end, prepare your books to be accurate for P11D reporting at the end of the tax year. 

What happens if you Report a Late Tax

  • HMRC charges an administration fee of £100 for every 50 employees monthly (or part month) when the P11D(b) returns are late.
  • Additional penalties and interest that could accrue for delayed payments to HMRC.

Though there’s no limit on how much you can withdraw, be mindful of any tax obligations and deadlines that might apply in case of an overdrawn loan account.

Best Practices for Managing Director’s Loans

  1. Under any circumstance, consider the director’s loans when necessary (i.e., after investigating all other possible solutions first). 
  2. You should aim to repay any director’s loans within 9 months and 1 Day of your company’s year-end. 
  3. Try not to borrow more than £10,000 at once.
  4. If you borrow over £10,000 in loans for personal use, you and the company must report this activity on their tax returns as benefits. 
  5. We recommend waiting at least 3 months before taking out another loan of this size. However, as per the HMRC rule book, you can take out a loan after 30 days, but it is challenging to satisfy HMRC that you are not doing it for tax evasion purposes. 
  6. Ensure both should use appropriate tax treatment when loaning money back out.
  7. Never allow your Director Loan Account (DLA) to remain overdrawn for extended periods.
  8. Always be sure your company has made a profit before declaring dividends. 

As director loans are complex financial tools, one should take their use seriously and regularly. 

Whether you are borrowing or lending from your company, it is imperative to comprehend the implications of interest rates, taxes, and repayment dates. Also, regular monitoring and accurate accounting are necessary to avoid complications with HMRC and ensure regulatory compliance.

Get a free quote to quickly connect with the right consultant to assist in managing a director’s loan.


Categories
Business Practice

What Are The Tax Deadlines for My Business?

What Are The Tax Deadlines for My Business?
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  • Post author By James Duffy
  • Post date November 29, 2024
  • No Comments on What Are The Tax Deadlines for My Business?

Keeping track of quarterly submission dates can become tiresome quickly if they overlap and payment dates become challenging to remember.

27% of UK businesses have missed tax deadlines, and 34% of small and medium-sized enterprises (SMEs) left their financial administration until the last minute.

Let’s see some essential tax deadlines every business owner should know.

What are the Deadlines for Corporation Tax

Limited companies and CICs (community interest companies) must pay corporation tax on their business profits at the end of each financial year; the rate paid is 25% of earnings.

Companies making less than £50,000 profit qualify for an exception and may pay the small business rate of 19%.

  • Corporation Tax Payment Due Date: Corporation tax payments are annual and due 9 months and 1 Day from the financial year’s end date; for instance, if the financial year ends December 31, then your Corporation tax Payment deadline would be October 1, 2025.
  • Deadline for Submission: The Corporation Tax Due Date is set as December 31 each year following a financial year.

What Are the VAT Deadlines?

VAT deadlines depend on where your business is based and the tax system you follow. Here’s a simple breakdown:

VAT Deadlines in the UK

  1. Submit Quarterly Returns:
    • Most businesses submit VAT returns every three months.
    • The deadline is 1 month and 7 days after the end of each VAT period.
  2. Submit Annual Returns:
    • If you’re on the annual accounting scheme, you file once a year and make advance payments during the year.
    • The final return is due 2 months after your accounting year ends.
  3. Submit Monthly Returns:
    • Some businesses, like those reclaiming VAT often, can file returns monthly to speed up repayments.

VAT Deadlines in Ireland

In Ireland, the taxable period is two months (bi-monthly), commencing on January 1, March, May, July, September, and November. However, the Collector-General may authorise taxable periods as follows:

  1. Bi-Monthly Returns:
    • Filed every two months starting January, March, May, July, September, and November.
  2. Annual Returns:
    • One annual return is enough for businesses paying VAT in instalments via direct debit.
  3. Four-Monthly Returns:
    • If your annual VAT bill is between €3,001 and €14,400, you can file every four months.
  4. Six-Monthly Returns:
    • Returns can be filed every six months for smaller businesses with an annual VAT bill of €3,000 or less.

Double-check with your local tax office to ensure you meet the correct deadlines for your situation.

Income Tax, Personal Tax, Self-assessment, Partnership

The deadlines for these taxes in the UK are similar and easy to follow:

  1. Register for Self-Assessment:
    • Register by October 5 after the tax year when you earned untaxed income.
  2. Submit Your Tax Return:
    • If using paper forms, file by October 31.
    • For online returns, the deadline is January 31.
  3. Payment Due Date:
    • Full payment is due by January 31 after the tax year.
    • If you make advance payments (‘payments on account’), the second instalment is due by July 31.

For partnerships, the deadlines are the same. The partnership files a return, and each partner submits their own individual return.

However, if the tax due in your first year of business is £1,000 or more, you must also pay 50% of the estimated taxes for the coming year.

In the UK, the tax year finishes on April 5 every year, and all of these payments are due on April 5. 

Pay As You Earn (PAYE) and National Insurance Contributions (NICs) Deadlines

If you’re managing Pay As You Earn (PAYE) and National Insurance Contributions (NICs), here’s what you need to know:

As employers, you usually have to operate PAYE as part of your payroll and include everyone you pay, even if they get less than £123 a week.

Submission Deadlines:

  • Send the FPS on or before your employees’ payday.

Monthly or Quarterly Payments:

  • Monthly Payments: This is the standard option.
  • Quarterly Payments: Allowed if your total liability is less than £1,500 monthly.
  • Necessary: If your liability exceeds £1,500 per month, you must pay monthly.
  • The PAYE payment deadline, if paid online, is the 22nd of the following month. The deadline for payment via post is the 19th of the following month. 

NICs Contribution Threshold:

  • Employees:
    • Start paying after earning £12,570 per year.
    • Contributions are 8% on earnings above this amount, depending on the NI category.
  • Employers:
    • Start paying after employees earn £9,100 per year.
    • Contributions are currently 13.8% but will increase to 15% from April 25.

Payroll and PAYE Tips:

  • RTIs must be submitted to HMRC on time; a penalty might apply if they are late or missed. 
  • Employers can set up their pay schedule however they like, depending upon the nature of the work and the cash flow position. It can be weekly, Bi-weekly, Fortnightly, Monthly, or annually. 
  • Ensure you pay your employees less than the National Minimum wage. 

Employment Allowance: 

  • Employment Allowance allows eligible employers to reduce their annual Class 1 National Insurance liability by up to £5,000.

Pension Deadlines:

  • In the UK, to be eligible for a workplace pension, you must be aged between 22 and State Pension age and earn at least £10,000 per year.  
  • An employer needs to complete his declarations with TPR to stay compliant.  

Capital Gains Tax (CGT)

Capital Gains Tax (CGT) is a tax on the profit you earn when you sell or dispose of something that has increased in value. Here’s a breakdown:

When Do You Pay Capital Gains Tax?

You need to pay CGT on the profits you make (not the total amount) when you sell or dispose of:

  1. Most personal possessions are worth over £6,000 (excluding cars).
  2. Property that is not your main home.
  3. Your main home, if you:
    • Let it out.
    • Used it for business.
    • It’s enormous.
  4. Shares not held in an ISA or PEP.
  5. Business assets.

Deadlines for Submission and Payment:

  • If you are selling a residential property in the UK:
    • Sixty days to report and pay CGT if the completion date is on or after October 27, 2021.
    • For sales before this date, the period was 30 days.

Tax-Free Allowance:

  • You only pay CGT if your total gains exceed the annual tax-free allowance.

When You Don’t Pay CGT:

You don’t pay CGT on:

  • Gifts to your spouse, civil partner, or charity.
  • Certain assets, including:
    • ISAs or PEPs.
    • UK government gilts and Premium Bonds.
    • Winnings from betting, lotteries, or pools.

NOTE: For crypto assets, assess any capital gains tax due when selling or giving away crypto assets (like Bitcoin), such as an exchange-traded fund (ETF).

Reductions In Your Tax Bill

Relief could apply depending on the asset and its type, lowering the tax bill you owe. Jointly Owned Assets (JOAs) may qualify for relief as well.

If you dispose of assets jointly owned with another individual, CGT must be paid on each profit share sold. 

Knowing the crucial deadlines helps you manage tax obligations while taking advantage of available allowances and reliefs. 

Keeping up with all these tax deadlines can overwhelm anyone. Get a quote for interrupted, hassle-free business accounts. 


Categories
Accountancy Software Business Practice

Tax Software vs. Accountant: Which Is Right for You?

Tax software vs accountant
  • Post author By James Duffy
  • Post date October 3, 2024
  • No Comments on Tax Software vs. Accountant: Which Is Right for You?

As soon as New Year’s celebrations wind down, UK taxpayers begin their annual hassle to track invoices/bills and P60 forms to start the arduous task of filing tax returns for the annual January 31 deadline. 

For some taxpayers, it is convenient to receive a nice little refund with the help of an accountant. However, for others, the season evokes a great amount of anxiety and confusion. 

For millions of Britons, tax season demands a big decision. Ultimately, paying a professional to prepare your taxes is wiser, or you may pay the excess.

According to a YouGov annual report, approximately 58% of self-employed UK small businesses hire an accountant to help with their tax returns.

Nonetheless, look at both and see what works best for you.

What is Tax Software?

Tax software takes a do-it-yourself approach and is somewhat insufficient in managing tax obligations. It has an unfriendly interface and features that barely help file tax returns.

However, software like Xero and QuickBooks allow you to put financial information, calculate taxes, and submit them online. 

That being the case, tax Software has gained popularity recently. Here are some pros and cons of using tax software.

Tax software pros n cons

Pros

  • Accessibility: You can file your taxes anywhere and anytime. Most tax software has step-by-step guides to help you complete basic tasks. 
  • Agility: For straightforward tax situations, software can help you complete the process faster, maybe in a few hours. 
  • Automaticity: Tax software can apply relevant tax rules. However, a user must input data correctly to avail of appropriate tax benefits, ultimately making an Accountant more suitable in this situation.

Cons

  • Limited Guidance: While tax software is helpful for basic tax filing, a non-expert can not handle complex tax scenarios.
  • Potential for Errors: Without the expertise of a professional, it’s easier to make errors or miss deductions, which can lead to higher taxes or penalties.
  • Limited Customisation: Accounting software has fixed templates and processes, which may only partially adapt to a business’s exceptional financial needs or complexities. For example, an R&D Tax Credit can not be claimed without additional forms with calculated values, which is only suited for professionals.

What Does an Accountant Do?

Accountants specialise in tax planning, financial analysis, and regulatory compliance. They offer personalised insights and accurate reporting, ensure accurate records, and help optimise Xero/QuickBooks setups. 

An accountant’s expertise is vital for complex financial scenarios like multiple currencies/entities or international operations. 

They provide continuous monitoring, exceptional handling, and customised support, ensuring that your business complies with regulations and your financials remain accurate and up-to-date.

Pros 

  • Personalised Expertise: An accountant can give you valuable insight into the best solution if you have multiple income streams or encounter complex financial scenarios. 
  • Improved business processes: Accountants can help you get loan approvals by liaising with professionals like mortgage advisors and financial institutions.  
  • Save time: An accountant will help you save money and time, but you’ll also be able to concentrate on important work for your company. 
  • Data Protection: All accounting procedures are GDPR-compliant and use cloud-based software such as Xero and QuickBooks. Data security is an important element of working with a skilled accounting firm. 
  • Claiming Everything Right: A well-qualified accountant can help you avoid the problems that businesses deal with. Accounting professionals are taught to recognise tax credits, tax allowances, and deductions that you aren’t aware of.

Cons

  • Limited Availability: An accountant may only be available during business hours due to limited working hours. 
  • Slower processing: An accountant requires more time for back-and-forth communication, whereas Tax software can provide instant calculations if the input is correct.  

Cost Comparison Tax Software Vs. Accountant 

How Much an Accountant Charged for Tax Return?

In 2023-24, accountant fees charged to individuals for personal tax returns in the UK varied significantly due to multiple factors, such as the complexity of the return filing process and service type required; as well as the expertise of an accountant. Here’s an idea:

  • Individual Tax Return: Annual costs range from £75 to over £500 for filing an individual tax return.
  • Tax Return and Accounts Services for Self-Employed: Annual fees typically range from £250 to £1000+ VAT per annum.
  • Accountant Services for Limited Companies: Accountants typically charge between £60 and £250+ VAT monthly for accounting services for limited companies, including accounts management, tax returns filing, and payroll processing services.

Note: The variance in price is due to the way Accounting Firms charge their customers. Some charge as a percentage of Annual Turnover, and some emphasize the Nature and Volume of transactions or other metrics to quote price. 

Tax Software Pricing

Here is a quick overview of the popular tax software options in the UK and their pricing for 2024:

1. QuickBooks
  • Self-employed: £10/month
  • Simple Start: £15/month
  • Essentials: £32/month
  • Plus: £44/month
  • Advanced: £98/month 
2. Xero
  • Ignite: £16/month
  • Grow: £33/month
  • Comprehensive: £47/month
  • Ultimate: £59/month 

Which One is Right for You?

  • Use Tax Software if:
    • You have a straightforward tax return without technical advantage.
    • You’re comfortable handling HMRC notices and queries.
    • You have ample time to put in information without any professional oversight.
  • Hire an Accountant if:
    • Your tax situation is complex and requires an easy and quick solution.
    • You want personalised advice on technical taxation issues.
    • You’re concerned about potential audits, and making costly mistakes and want to avoid them.

The choice between tax software and hiring an accountant depends on your tax situation, comfort level with financial details, and willingness to avoid any confrontation with HMRC. 

Tax software may be the most accessible option for those with straightforward tax returns without technical advantages. On the other hand, individuals with complex taxes or who want more personalised service will benefit from hiring a professional accountant.

Can you Use Both Accountant and Tax Software?

Just relying on tax software can leave you unattended with financial complexities. A combination of both an accountant and tax software will give you an edge with the following:

  • Receipts Handling: An accountant can help you with receipt handling that most businesses overlook and cannot claim due to the unavailability of expense evidence. 
  • Handle Reports: Software like QuickBooks doesn’t have a friendly interface for reports. 
  • Review Tax: Though you have successfully managed your taxes, a professional must review your documents. 
  • HMRC Submission: The tax software combined with the professional competence of the Accountant can result in a well-drafted Tax return, ensuring all complex and voluminous transactions are reconciled and accounted for. This would save you a lot of time researching several HMRC Rules and Regulations and understanding their application. 

Ready to make the right choice for your tax needs? 

Take control of your finances today and ensure a smooth tax season. Reach us for a free consultation quote and explore the latest tax software solutions.

Get a quote now and choose the best option for your financial journey!


Categories
Business Practice

How to Hire an Accountant For Tax Return?

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  • Post author By James Duffy
  • Post date October 3, 2024
  • No Comments on How to Hire an Accountant For Tax Return?

Are you putting yourself through the yearly nightmare of doing your Tax Returns? 

Except you are willing to put yourself through all the stress and desperate to learn how to become a tax accountant, you have better things to do. 

Data released by Tax Policy Associates (TPA) showed 92,000 businesses among the lowest paid 10% were fined by HMRC for late filing of their tax returns. 

In this article, we’ll go through every corner of hiring an accountant for Tax Returns. 

What Does a Tax Accountant Do?

When you hire a tax accountant for your self-assessment tax return, you benefit from many other accounting services. A tax accountant can assist you in creating an adequate accounting system to precisely and conveniently perform accounting tasks like: 

  • Bookkeeping
  • Tax Consultation
  • Accurate Auditing Reports
  • Management Reports
  • Assess Profits
  • Monitor expense
  • Manage budgets
  • Payroll Services

Needless to say, a tax accountant consults on tax-related problems like:

  • Tax compliance
  • Regulations
  • VAT Returns
  • Tax Reduction Methods

Can an Authorised Tax Agent Help With Tax Return?

Hiring a tax agent can start a profitable relationship with a financial consultant. They can give helpful advice and personal tax reduction and answer critical questions at any time of the year.

You can permanently authorise an agent to handle your tax returns.

A paid tax agent can be your professional accountant and a tax adviser. However, they must meet some criteria before starting work on your business. 

  • Tax agents must meet HMRC’s standards for agents.
  • You must authorise your agent before they can deal with HMRC on your behalf. 
  • An agent must find out how to get authorisation from a client.

Depending on what you’ve authorised your agent to do on your behalf, they can deal with your tax affairs, for example, submitting your Self Assessment tax return.

A legal adviser can help with issues like Inheritance Tax and taxes on buying and selling property.

Type of Accountant for Tax Returns

Type of accountants for tax return

Here’s a quick rundown of the different types of accountants in the UK who can help with your tax returns:

Chartered Accountants (ACA/CA)

  • Highly qualified and versatile
  • Offer tax returns and broader financial advice
  • Ideal for both individuals and businesses

Certified Accountants (ACCA)

  • Practical and reliable
  • Handle tax returns and general financial advice
  • Great for self-employed individuals and small businesses

Tax Advisors

  • Experts in tax law and planning
  • Focus on minimising tax liabilities legally
  • Perfect for complex tax situations

Enrolled Agents

  • Certified by HMRC to handle tax-related issues
  • Help with tax returns, disputes, and representation
  • Best for dealing with HMRC directly

Forensic Accountants

  • Specialise in investigating financial discrepancies
  • Helpful in legal disputes or complex financial situations
  • Not typically for regular tax returns

Management Accountants (CIMA)

  • Focus on long-term business strategy and planning
  • Can assist with tax planning and internal financial management
  • Ideal for businesses looking at the bigger financial picture

Can Tax Software Help with a Tax Return?

Tax software for Tax Return

Yes, tax software can definitely help with filing your tax return, and for many people, it’s a great alternative to hiring a tax accountant. Here’s how tax software can make the process easier:

Guided Process

Most tax software walks you through the tax return process step-by-step, making it easier to understand what information you need to provide.

Cost-Effective

Using tax software is often much cheaper than hiring an accountant. If your tax situation is straightforward, it can be a very affordable option.

Accuracy

Tax software automatically checks for errors and calculates everything for you, reducing the chances of mistakes that could lead to penalties.

Built-In Tax Laws

The software is updated regularly to include the latest tax laws and changes, so you’re working with up-to-date information.

HMRC Integration

Many tax software programs are integrated with HMRC, allowing you to submit your tax return directly online, making the filing process faster and easier.

Tax Tips

Some programs offer advice or tips on deductions you might be eligible for, helping you save money on your taxes.

That said, if your tax situation is complicated or involves business taxes, consulting with an accountant or tax advisor may still be a good idea.

Where to Find a Reputable Tax Accountant in the UK

How to find a tax accountant?

Finding a good tax accountant for tax returns that fits your budget is difficult. These are a few tested methods for locating a tax accountant.

Use Internet 

Finding a tax accountant that fit your goals and budget can be done in a variety of methods, including through social media groups, targeted ads, and freelance platforms.

  • Social Media (Comments & Evaluations)
  • Platforms for Advertising
  • Platforms for Outsourcing

Inquire Your Network

You can expand your network with the aid of your professional network. Consider taking recommendations from:

  • Mortgage Consultants
  • Attorneys
  • Brokers
  • Financial Advisors

Professional Industry Bodies 

These associations list certified accountants, so you may be sure they have the skills, background, and morality to help you.

  • ICAEW
  • ICAS
  • ACCA
  • IFA

Publications in Finance and Accounting

Search for publications or bulletins published by the Association of Chartered Certified Accountants (ACCA) or the Chartered Institute of Management Accountants (CIMA). 

Think of periodicals tailored to your sector, such as:

  • Taxation Magazine
  • Public Finance Magazine (CIPFA)
  • Accounting Age

Conferences & Events 

Attend conferences and seminars on accounting, finance, and company management that are tailored to your sector. The following conferences and events are suggested:

  • CIMA AND AICPA PARTNERSHIP
  • London Accountex 
  • The Summit on Alternative Accounting and Management
  • Taxation Conference

Conclusion

Hiring an accountant for your tax return is a smart move that can save you time, stress, and potentially costly mistakes. 

Whether you’re a business owner or an individual, professional accountants offer invaluable expertise in navigating tax regulations, maximizing deductions, and ensuring compliance. 

Don’t wait until the last minute—find the right accountant today and take control of your financial future!

Ready to simplify your tax season? Get a quote now and make tax time worry-free!


Categories
Accountancy Software

Do I Need an Accountant if I Use QuickBooks?

Accountant or QuickBooks
  • Post author By James Duffy
  • Post date October 3, 2024
  • No Comments on Do I Need an Accountant if I Use QuickBooks?

Yes, you do need an accountant if you are already using QuickBooks. Relying on software can cause losses, even for a small business. 

In Q4 of 2023, the ‘critical’ financial distress levels rose over 25% compared to Q3 2023. This exponential rise caused 47,000 UK businesses to experience a near collapse in Q1 2024. The core cause behind such distress is mismanaged and prone to error financials.

This article revolves around why you need an accountant using QuickBooks. Why relying only on accounting software is not a good idea, and how combining both can help your business thrive. 

The Power of QuickBooks

QuickBooks is an all-in-one solution for businesses lacking accounting solutions. In addition to its numerous features, its invoicing and expense tracking capabilities stand out. 

QuickBooks offers you valuable insight into your financial health and operating performance. Here are some of the most potent tools of QuickBooks:

  • Profit and Loss Report
  • Balance Sheet Report
  • Sales Report
  • Accounts Receivable Aging Report
  • Accounts Payable Aging Report
  • Cash Flow Statement
  • Project Profitability Report
  • Inventory Valuation Report
  • Customer Transaction Detail Report
  • Vendor Transaction Detail Report

Why You Need an Accountant Beside QuickBooks

QuickBooks is an excellent tool with exceptional features but no replacement for an accountant. 

QuickBooks vs Accountant

Here are some highlights on why you need an accountant besides QuickBooks. 

Specialised Knowledge

Successful accounting professionals can offer specialised skills and knowledge despite varying accountant duties. 

  • Tax planning, financial analysis, and regulatory compliance. 
  • Optimise your QuickBooks setup, insights on financial data, and accurate reporting. 
  • An accountant can retain accurate transactional records, evidence, and business strategy advice. 
  • Compliance with regulations.
  • Guidance on processing general entries. 

All accountants, in one way or another, have natural aptitudes in these and other areas. Exploring such resources to uncover the accounting benchmarks you will need in the future. 

Tackle Complex Financial Scenarios

Building and maintaining finances with just QuickBooks can be challenging when dealing with complex financial scenarios involving uncertainty, variability, and interdependence. Scenarios like:

  • Multiple entities or locations
  • International operations
  • Build modular and flexible models
  • Sound financial advice on the latest tax legislation
  • Seek feedback and validate
  • Payroll processing with many employees
  • Identify key drivers and assumptions
  • Incorporate uncertainty and probability

A Human Touch

While QuickBooks handles most of your basic bookkeeping and reconciliation automatically, an accountant monitors the automated processes and gives them a human touch. 

Here’s how our expert accounting insights can add value to your experience with QuickBooks: 

  • Exception Handling: An accountant identifies and addresses exceptions that may occur in your financial data. From reconciling discrepancies to resolving payment issues, an accountant is dedicated to ensuring that your records are accurate and up-to-date. 
  • Continuous Monitoring: Continuously monitor transactions and financials, proactively identifying any anomalies or discrepancies that may require attention. By being vigilant and responsive, an accountant can help you mitigate risks and maintain the integrity of your financial records. 
  • Customised Support: Every business is unique, so an accountant’s customised support tailored to your needs is vital. Whether you require assistance with complex transactions or specialised reporting requirements, you need an accountant’s support and guidance. 
  • Timely Resolution: With an accountant by your side, you can trust that any issues or concerns will be addressed promptly and effectively. An accountant ensures that you have confidence in the accuracy and reliability of your financial data. 

Why Using Just QuickBooks is Not Recommended

Of course, you can go through some excellent QuickBooks guides to learn more. However, what happens when you get stuck? How frequently can you contact the QuickBooks support team with your accounting software problem? 

Here are some of the areas where QuickBooks is not that good:

  • Handle Receipts: You may need more time to upload expense receipts. You risk failing HMRC compliance checks, and once the HMRC gets a check back, you don’t have time to gather evidence.
  • Reports Interface: If you use QuickBooks, you may notice the unfriendly interface for reports. If you need customer sales with addresses on them, you cannot pull them out of QuickBooks Online Accountant, which was much easier with the Desktop app. 
  • Review QuickBooks: Though you have successfully managed your bookkeeping, you must have your accounts reviewed by a professional. 
  • HMRC Submission: Using QuickBooks for HMRC self-assessment can help the process, but having an accountant can provide additional benefits. Here’s why you might still need one:
    • Maximise deductions or manage tax implications of various financial decisions.
    • An accountant can handle the self-assessment process for you, allowing you to save time.

When HMRC has questions or disputes, an accountant can represent you and handle communications with the tax authorities.

If you have enough time at the cost of running the business, it may be a viable option only to use QuickBooks.

Conclusion

While QuickBooks is a powerful accounting tool, there may be better decisions for your business than relying solely on it.

For a more comprehensive approach to managing your finances, consider partnering with a professional accountant who can provide expert advice and ensure your books are always accurate and compliant.

Ready to advance your financial management? Connect with our experienced team today to get a quote, and let us handle the complexities so you can focus on growing your business. 

Get Started Now!


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Business Practice

Hiring an Accountant – A Small Business Guide

Hiring an accountant for small business
  • Post author By James Duffy
  • Post date October 2, 2024
  • No Comments on Hiring an Accountant – A Small Business Guide

Running a small business is not everyone’s cup of tea. Making a business profitable takes everything from your social life to the far end of your multi-tasking skills. While handling products, markets, and people, accounts are just one less thing you should worry about. 

The 2022-23 Tax Gap figures show an all-time high crash, highlighting growing challenges in tax compliance, especially among small businesses. 

Accounting is a sensitive, full-day job that can jeopardise your small business if you are not in capable hands. This small business guide to hiring an accountant will explain what an accountant does for your small business and when and how to find one. 

What an Accountant Does For Your Business?

An accountant does more than you expect. With strategic advice, they devise clever ways to save you money. They help you automate administrative tasks that distract from your core business. Here are some go-to functions that an accountant will handle for you:

What an Accountant Does

  • Kickstart your business
  • Keep a steady flow of cash
  • Manage your debt
  • Help you stay Compliant
  • Handle Payroll
  • Deal with invoices
  • Optimise Taxes
  • Pass loan applications
  • Budget 
  • Setup cloud accounting software

When Should You Hire an Accountant?

So, we know what an accountant can do for your business, but how do you know when to hire one? Your business will tell you. 

When to hire an accountant

For example, you notice discrepancies in your financials, but your business isn’t losing money. This is a sign that your books need to be reviewed. 

If you find yourself in any of the pivotal business points mentioned below, you know you need to hire an accountant. 

1. When You Want to Grow a Business

Growing your small business comes with unimaginable challenges. If you hire an accountant to take care of tasks that consume time, like taxes, you’ll have extra time to free you up to generate revenue.

2. Get Advice on Business Plans

If you get an accountant while preparing your business plan, they can use accounting software to add financial projections and other reports.

3. When You Need Company’s Legal Structure

Every business has a different legal structure. When you must structure your business as a sole trader, limited company, or a limited liability partnership, you must hire an accountant. 

4. When You Are Ready to Delegate

Delegating your small business’ financials is good practice. This is the time to hire an accountant you can trust with sensitive business information and let someone experienced handle the work. 

Not delegating crucial tasks means you’re left overburdened and stressed.

5. When Need to Deal with HMRC

When HMRC calls for self-assessment and or compliance check, you know you need an accountant to:

  • File the required legal and compliance documents 
  • Keep your business up to date with the latest tax laws
  • Prepare annual statements of accounts
  • Maintain director records 
  • Record and organise share allocation
  • Handle your payroll 
  • Ensure employees’ tax codes are recorded correctly

6. When You Need Advice on a Franchise

It gets tricky for new small businesses to tell whether it’s worth getting on a specific franchise. 

This is where an accountant steps in. They look through pesky franchise contracts for fees and percentage charges and help you estimate the likely income for the cost you will spend. 

7. During Year-End Accounts 

For Accurate and timely year-end accounts, you need to make informed decisions and meet regulatory requirements with the help of an accountant.

How to Find an Accountant

Finding a suitable accountant within your budget is a challenging task. However, there are hidden gems beyond the reach of your local chamber. Here are some unconventional ways to find an accountant.

1. Through Online Search

Look beyond traditional directories. Social media groups targeted advertisements, and freelance platforms offer unique ways to find accountants who suit your needs and budget.

  • Social Media (Reviews & Feedback)
  • Advertisement Platforms
  • Outsourcing Platforms

2. Referrals: Ask People Around You (Expand Network)

Find an accountant through referrals

Your professional network can help you extend your network. Try considering referrals from:

  • Mortgage Advisors
  • Solicitors
  • Brokers
  • Financial Advisors

3. Find Accountants Through Professional Industry Bodies

Certified accountants can be found through these organisations, ensuring they possess the knowledge, experience, and ethics to guide you effectively.

  1. ICAEW
  2. ICAS
  3. ACCA
  4. IFA

4. Finance & Accounting Publications

Look for magazines or newsletters from CIMA (Chartered Institute of Management Accountants) or ACCA (Association of Chartered Certified Accountants). 

Consider industry-specific publications like:

  • ACCA Advance e-magazine
  • ICAEW Accountancy Magazine
  • CIPFA Public Finance Magazine
  • Tax Journal 
  • Accountancy Age

5. Leverage Events & Conferences 

Visit industry-specific seminars and conferences on accounting, finance, or business management. Here are some of the recommended conferences and events:

  1. AICPA & CIMA ENGAGE
  2. Accountex London
  3. The Alternative Accountancy Management Summit
  4. Festival of Accounting & Bookkeeping

Get Prepared for Your First Meeting With an Accountant

In your first accountant meeting, consider the scope of your business. Know the number of people in your business, the services you require, etc. 

Ask questions about:

  • Fee and charges
  • Compliance deadlines 
  • Frequency of communications

To get you onboard, your accountant will require some information, such as key documents, National Insurance numbers, and HMRC letters. 

Talk to us, confine what you need to provide, and prepare it as soon as possible.


Categories
Business Practice

How to Choose an Accountant

How to Choose an accountant
Businesswoman Working Laptop Technology Connection Concept
  • Post author By James Duffy
  • Post date September 18, 2024
  • No Comments on How to Choose an Accountant

Is your small business caught up in tax filings and financial reports? Or is the tax year confining you to reach financial goals for the next quarter?

If these questions are in your head, it’s time to start working with professionals. A small business accountant has all the expertise to steer you through hidden deductions and pesky forms and give you sound advice on projections and planning. 

A study from Zippia indicates that 82% of businesses in the UK fail. This crash is caused by poor cash flow management, emphasising professional financial guidance’s importance. 

But how do you choose the right accountant for your small business? This article is your go-to guide to choosing an accountant.

1. Understanding Your Accounting Needs 

Accounting Needs

You must know what you are looking for. To narrow down your accounting requirements, assess your business’s size and complexity. 

For example, if you are a medium-sized business, just bookkeeping and tax preparation won’t cut it. You need accounting integrations, tax preparation and much more. Your  accounting needs can consist of:

  • Basic bookkeeping
  • Tax Preparation
  • Financial reporting
  • Compliance regulations

Also, determine if you prefer outsourced, part-time, or dedicated accounting services.

2. Is Accountant Affiliations Important?

An accountant with the correct affiliation can enhance credibility and trust, adhering your accounts to high professional standards. While also providing a network of resources, benefiting with up-to-date knowledge.

Once you know the accounting needs of your business, you can determine which affiliation you need for the chosen service. For example:

  • HMRC Agent
  • CA (Chartered Accountant)
  • CMA (Certified Management Accountant)
  • ICAEW (Institute of Chartered Accountants in England and Wales)
  • CIPFA (Chartered Institute of Public Finance and Accountancy)
  • CIMA (Chartered Institute of Management Accountants)

Each affiliation fits its objective in business accounting. For example, the HMRC agent is suited for tax-related services, while a CMA is for strategic and organised financial data.

3. Does The Accountant’s Location Matter To You?

There were times when location was considered an important factor in choosing an accountant. But now, companies use cloud accounting for collaborations and to view real-time changes. 

Still, it all comes down to what suits your company the best. If you’re happy to connect via video conference, emails, and phone calls, you could be sitting in Sydney while your accounts are being handled in the UK. 

4. Look For Testimonials/Client reviews

Accountant's Reviews

A good accountant leaves a trail for positive client reviews and testimonials. Research your potential accountant’s track record and reputation through reviews and client testimonials. Sites like Trustpilot, Reddit, and Facebook are good sources. Or the accountant can provide you with references for client reviews. 

Look for any legal actions or complaints filed against your candidate. A reputable background and feedback show an accountant’s reliability and trustworthiness.

5. Inquire About Accounting Fee Structure

Before choosing an account, know that fees can vary depending on the services, experience, and location. Here is a generalised hourly flat rate for different accounting services in the UK.

Accounting Fee

Hourly Rates: This is common for smaller, more sporadic tasks.

Flat Fees are for services like annual tax preparation or monthly bookkeeping. Flat fees vary based on the size of your company, type of company, services, annual turnover, and monthly transactions. 

Ask your chosen accountants to provide a detailed fee structure that outlines the fees associated with their services. This could have details about:

  • Scope of Services
  • Additional Costs
  • Payment Terms

6. Advanced implementation of Accounting Software

This is the age of digitised accounting, and your chosen accountant should know innovative ways to utilise accounting software. Ask about:

  • Reduced manual resources
  • Real-time data integration and automation
  • Offer encrypted and secure backups.
  • Automatically handle region-specific tax calculations and VAT/GST filings
  • Offers remote access to manage accounts

7. See If You Get a Dedicated Accountant

When choosing an accountant, you must know who will handle your finances. Will it be a one-dedicated or a rotating team? 

A dedicated accountant will give your business a personalised attention and consistent advice. While a rotating team will have knowledge gaps, leading to conflicting financial strategies. Here’s what you should expect:

  • Personal Point of Contact
  • Availability for regular consultation and urgent queries
  • Consistency for working long-term 
  • Proactive communication with regular updates and tax deadlines

Securing a dedicated accountant ensures consistency in your financial management and allows you to gain tailored advice suited to your business’s unique needs.

8. Inquire About Response Time

Once you are in contact with an accountant, you don’t want to wait for hours to resolve a query, especially when pressing matters like tax season. Timely communication can make a big difference; ask your accountant about the following:

  • Preferred Communication Channels
  • Working Hours
  • Expected Response Time
  • Urgency Protocols
  • Frequency of Check-ins

8. Service Level Agreement (SLA)

Service Level Agreement

 

A Service Level Agreement, or SLA, is a written commitment between the client and the service provider. The agreement addresses critical parts of the service. Your Service-Based SLA should have components like these:

  • Scope of services
  • Availability
  • Performance metrics
  • Pricing structure
  • Dispute resolution
  • Goals

When signing an SLA, ensure your accountant is not in any binding contract with another client. 

Choose An Accountant

Once you have narrowed your needs, discuss them with your potential accountant. This discussion ensures you have the same business goals and work styles. 

How does your chosen accountant support your goals, or what will she bring to the business? While discussing, clear all your thoughts about the following:

  • Experience working with businesses in your industry
  • Proactive Financial Strategy 
  • Compatibility with Accounting Software
  • Discuss how often you’ll be in touch and through what channels
  • Go over the fee structure again in detail
  • Talk about their vision for your business’s financial future

We at More Than Accountants encourage detailed discussions with our clients and gather as much information as possible to provide a sound accounting plan and quote for accounting.

 


Categories
Business Practice

12 Types of Businesses That Benefit Most from a Small Business Accountant

Accountants analyzing financial information at workplace
  • Post author By James Duffy
  • Post date September 12, 2024
  • No Comments on 12 Types of Businesses That Benefit Most from a Small Business Accountant

Is managing your business’s finances overwhelming you?

Running a small business is a rewarding challenge but comes with much responsibility and managing finances is one of the most crucial ones.

According to APQC, 29% of company owners need to know which area of their business has the highest expenses due to the need for daily insight.

One of the most important aspects of any small business is its finances. Finding a small business accountant can help you stay on top of your finances, save money on taxes, and make better financial decisions.

Here are 12 types of businesses that can benefit from a small business accountant.

Business Type Requirements Solutions
Retail Businesses Inaccurate POS integration 

Payroll Accuracy

Maintain Accurate Inventory

Daily audits of high-volume transactions

Integration of POS and accounting software

Accurate payroll processing

Restaurants & Motels Real-time financial analytics

Digital transaction management

Nightly auditing

Overnight auditing 

Online invoices

Digitise daily transactions

Continuous revenue flow for financial obligations

Health & Wellness Services Separating NHS and private income

GDPR compliance

Insurance management

Finance medical care 

Working with insurance companies to ensure cash flow

Construction Business Project cost estimation

Payroll processing

Tax strategies

Increase cost-efficiency

Deploy tax savings strategies

Assist with payroll processing

Real Estate Agencies Property management complexities

Tax compliance

financial reporting

Assist in company succession planning

Improve cash flow

Provide virtual CFO services

Creative Industry Revenue recognition for contracts

Grants and royalty management

Compliance with industry-specific tax regulations

Managing revenue recognition for long-term contracts

Handling grants and funding

Managing royalty payments and compliance with tax regulations

Solicitors & Lawyers Client trust account management

VAT Compliance

Partnership tax Implications

Accurately recognize revenue for unbilled work

Integrate accounting with legal practice tools

Develop reports to track profitability by case or client

Consulting and Counselling Irregular income management

Invoicing disputes

Compliance with data protection laws

Generating detailed financial reports

Ensuring compliance with data protection laws

Scaling accounting processes as the business grows

Freelancers Invoicing accuracy

Expense tracking

Tax planning

Compliance with self-assessment

Tracking and separating personal and business expenses

Providing tailored tax planning strategies

Deploying budgeting and forecasting tools

Online Business Revenue recognition across multiple streams

Tax compliance

Inventory management

Track cost allocation and variable costs

Facilitate inventory management with real-time tracking

Reconcile multiple payment gateways and handle chargebacks

Government Agencies Fund management complexities

Budget constraints

Compliance with accounting standards

Financial risk management

Upgrading accounting systems

Compliance with regulatory frameworks

Manufacturers Raw materials cost management

VAT compliance

Logistics tracking

Environmental cost tracking

VAT compliance strategies

Efficient logistics management

1. Retail businesses

Challenges

Retail businesses often need help maintaining accurate inventory counts due to shrinkage, theft, and spillage.

Concurrently, inaccurate data transfer between POS systems and accounting software leads to errors in financial records. 

Solution

  • Daily audits of high-volume transactions.
  • Balanced expenses and revenue throughout the year. 
  • On-hand accounts to collect financial records when tax time rolls around. 
  • Accurate employee payroll.

2. Health & Wellness Services

Challenges

UK health and wellness businesses have a tricky balancing act. They need an accurate separation of NHS and private income for compliance and keeping client data secure (especially health information) to avoid GDPR penalties.

Solution

  • Financing medical care for patients.
  • Optimising finances for enough revenue.
  • Working with insurance companies to ensure cash flow.

3. Restaurants & Motels

Challenges

Even today, restaurants and motels rely on manual entry, leading to real-time analytics gaps. 

This blurs your business’ financial health and forces uninformed decisions, decisions that allow for the identification of cost-saving opportunities with quick price adjustments. 

Solution

  • Overnight auditing and financial reports.
  • Ensure all expenses have online invoices.
  • Digitise hundreds of transactions every day.
  • Ensure continuous revenue into the business for financial obligations.

4. Construction Business

Accounting for Construction Business

Challenges

Most architecture firms require a percentage of completion strategy to maintain their business records. Also, most construction businesses depend on sureties. They need reliable information about the project and secure a business line of credit to progress in the next phase.

Solution

  • Detailed Look at Cash Flow
  • Deploy Tax Savings Strategies.
  • Present Compelling Case to Secure Financing

5. Real-estate Agencies 

Accountant for Real estate business

Challenges

Real estate agents deal with the complexities of property management, like rental income, expenses, and security deposits, while navigating real estate-specific taxation and regulatory compliance.

Also, accurate financial reporting, technology integration, cash flow management, and adapting to regulatory changes further complicate accounting. Your real-estate business requires a skilled accounting professional and robust systems for accuracy and compliance.

Solution

  • Company succession planning.
  • Strategies to improve cash flow.
  • Virtual CFO services.

6. Creative Industry

Accountant for creative industry

Challenges

The creative industry in the UK faces unique accounting challenges. It must navigate issues like revenue recognition for long-term contracts, handling grants and funding, and managing royalty payments. 

Additionally, staying compliant with industry-specific tax regulations, such as R&D tax credits and VAT on digital services, adds complexity. 

Solution

  • Automated Revenue Recognition Systems.
  • Assists in managing growth sustainably.
  • Getting your business started.
  • IP Valuation Models.
  • Intellectual Property Valuation.

7. Solicitors & Lawyers

Accountant for Solicitors and lawyers

Challenges

Accounting for solicitors and lawyers involves complex challenges such as maintaining separate client trust accounts and complying with stringent regulatory requirements, including the Solicitors Regulation Authority (SRA) rules.

Proper handling of tax compliance, including VAT on legal services and tax implications of partnership distributions, further complicates accounting for legal practices.

Solution

  • Use systems to recognise revenue for unbilled work and complex fees accurately.
  • Integrate accounting with legal practice tools for streamlined operations.
  • Develop reports to track profitability by case, client, or practice area.
  • Provide guidance on VAT and partnership tax for optimised planning and compliance.

8. Consulting and Counselling

Accountant for consultants and counseling

Challenges

Consultants and counselling businesses often face irregular income and delayed payments, which complicate cash flow management. 

Imprecise invoicing, billing, and time tracking for billable hours lead to disputes and ensure profitability. 

Solution

  • Generate detailed financial reports.
  • Ensure adherence with the UK Corporate Government Code.
  • Scale accounting processes as the business grows. 
  • Adhere to data protection laws and GDPR compliance with The Information Commissioner’s Office (ICO).
  • Maintain financial health and operational efficiency.

9. Freelancers 

Accountant for freelancers

Challenges

Freelancers worldwide adore flexibility and independence, which aids them in pursuing diverse projects and tailored schedules. 

However, this freedom comes with complexities regarding timely invoicing, late payments, and logging billable hours. 

Solution

  • Accurately track and separate personal and business expenses.
  • Provide tailored tax planning strategies.
  • Deploy budgeting and forecasting tools.
  • Handle tax compliance, including self-assessment.

10. Online Business

Accountant for Online Businesses

Challenges

Online businesses and e-commerce stores must deal with revenue recognition across multiple streams and manage deferred revenue. 

They need to navigate multi-jurisdictional laws and determine the taxability of digital goods for Sales tax compliance. 

Solution

  • Track cost allocation and manage variable costs like advertising. 
  • Facilitate inventory management with real-time tracking and precise COGS calculation. 
  • Reconcile multiple gateways and handle chargebacks. 
  • Deploy customisable financial reporting tools.

11. Public Sectors

Accountant for Public Sector

Challenges

We see public sectors grappling with technical challenges in accounting, like complex transactions involving multiple funds and grants, each subject to different accounting rules like GAAP or IPSAS. 

Also, strict budgetary constraints require precise expenditure and revenue alignment while meeting operational mandates. 

Solution

  • Managing financial risks
  • Upgrading outdated accounting systems. 
  • Ensuring robust data management and security. 
  • Compliance with evolving regulatory frameworks and standards.
  • Audit and oversight requirements. 
  • Adept financial management practices and skilled personnel.
  • Assists in staying ahead of developments and regulations.

12. Manufacturers

Accountant for manufacturers

Challenges

Manufacturers in the UK require precise cost management involving raw materials, labour, and overheads. 

Moreover, compliance with VAT regulations, especially post-Brexit for transactions within and outside the EU, requires meticulous handling. 

Solution

  • Tracking and reporting of environmental costs and adherence to regulatory standards. 
  • Efficient payment processing for suppliers and meticulous monitoring of logistics costs. 
  • Accounting for quality-related expenses and accrued liabilities for warranties. 
  • Managing currency exchange fluctuations 
  • Navigating customs duties and import taxes. 

All in all, a skilled small business accountant is essential for managing complex inventories, navigating industry-specific tax regulations, or optimising cash flow. 

For businesses looking to streamline operations and make informed financial decisions, get a quote to partner with some of the most accomplished small business accountants.

  • Tags Small Business Accountant
  • Tags Small Business Accountant

Categories
Business Practice

VAT Guide for Small Businesses

VAT Guide
  • Post author By James Duffy
  • Post date August 15, 2024
  • No Comments on VAT Guide for Small Businesses

Have you ever wondered if your small business is draining money due to VAT mismanagement? 

Can optimised VAT submissions pull more profit and scalability to your business? 

A study from BM Magazine show that small businesses lose up to 12% of their revenue due to incorrect calculations, late filings, and failure to reclaim VAT.

This VAT guide will answer all your questions so you can turn VAT from a burden into a tool for success.

What is VAT (Value Added Tax)

VAT is a consumption tax applied to most goods and services. It is charged at each stage of production and distribution. Businesses collect VAT on sales and pay it on purchases, with the end consumer bearing the cost. 

Yet, there is a specific taxable turnover threshold of £90,000, after which you must register VAT. Still, you can voluntarily register your business VAT through a small business accountant.

And while there is an appreciative bright side to volunteer VAT registration, there are also some downsides.

Pros and Cons of VAT Registration

Pros Cons
Reclaim VAT on Vatable expenses Won’t be Competitive Anymore. 
Better Financial Insights Market Share will Become Lower. 
Expand the Scope of Business Will impact your Cash Flow 
Attract VAT registered Clients  Increase the Administrative Burden

How to Register VAT?

You can register for VAT online in a few easy steps. 

  1. Create a Government Gateway Account at the HMRC website and log into your account.
  2. Access the VAT registration service to VAT form with automation for small business details.
  3. Review and submit the completed VAT registration form through the HMRC portal.
  4. Wait for HMRC to process your application and send you your VAT number.
  5. Use your VAT registration number to set up an online account
  6. Use an online account to submit VAT returns and manage VAT-related activities.

What If a Business Fails to Register VAT When Required?

Failing to register for VAT when required can seriously affect small business audits. The outcomes can range from financial penalties to legal actions disrupting operations. 

  • Firstly, fines for VAT registration non-compliance from the Federal Board of Revenue (FBR).
  • Secondly, your business may need to pay VAT on all sales from the date they should have registered, along with interest charges.
  • Moreover, persistent neglect can lead to court proceedings and potential criminal charges.
  • Unable to claim input tax (VAT you have paid on purchases), increasing overall costs.
  • Non-registered small businesses can not show VAT separately on invoices. This limits transparency and competitiveness.
  • Many government tenders require VAT registration, limiting your bidding opportunities.

VAT Rates and Exemptions

VAT rates can vary depending on the type of goods or services provided. 

The following table details the primary VAT rates and examples of the goods and services that fall under each category. 

VAT Rate Percentage Applicable Goods and Services
Standard Rate 20% Most goods and services
Reduced Rate 5% Children’s car seat, home energy
Zero Rate 0% Most food items, books, newspapers
Exempt Rate N/A Education, Healthcare Services

In addition to these rates, some items, like statutory fees and fines, fall outside the scope of VAT and are not subject to VAT. 

How to Calculate VAT?

You can calculate the standard rate of VAT on a product or service by using the  following formula:

Amount of VAT = Price × (VAT Rate / 100)

Here:

  • VAT Amount is the amount of VAT added to the price.
  • Price is the original price of the goods or services.
  • VAT Rate is the applicable VAT rate (e.g., 20%, 5%).

VAT Schemes and Charges

Understanding VAT charges and cash accounting schemes can simplify your business’s tax obligations. Additionally, these schemes can also cater to specific business needs and transactions:

Flat Rate Scheme:

This allows businesses with a certain turnover to pay a fixed percentage as VAT.

Marginal Rate Scheme:

Often used for second-hand goods, antiques, and art. As a result, it allows businesses to pay VAT only on the difference (or margin).

Cash Accounting Scheme:

This allows businesses to account VAT on actual payments instead of invoice dates. This improves cash flow management.

Commingling VAT (for online retailers):

It is a practice of mixing VAT from different sources within a business. By:

  • Combining VAT from different products or services
  • Mixing VAT from different jurisdictions
  • Integrating VAT from multiple business units

Reverse Charge: It shifts charging VAT from the seller to the buyer. Specifically, it is commonly used in cross-border transactions and high-risk domestic industries in the UK. Moreover, it helps prevent fraud and simplify compliance.

Penalties for Late or Inaccurate VAT Returns

Late submission penalties operate on a points-based system.

Each late return incurs a penalty point, accumulating until you hit the threshold of 4 points. 

Once you reach the threshold, a £200 penalty applies. Then late submissions while at the threshold will each incur an extra £200 penalty.

Are You Selling to Businesses or Consumers?

HMRC has different VAT rules for Business-to-Business (B2B) and Business-to-Consumer (B2C) sales. Contact us, and we will ensure you’re following the right ones.

  • Tags Small Business, VAT, VAT Guide
  • Tags Small Business, VAT, VAT Guide

Categories
Business Practice

Do You Have to Use an Accountant For a Limited Company

  • Post author By James Duffy
  • Post date June 28, 2024
  • No Comments on Do You Have to Use an Accountant For a Limited Company

If 15 hours of self accounting doesn’t damages your business, you are not legally required to hire an accountant.

According to a 2023 survey, 37% of small businesses outsource one or more accounting tasks. 

Business owners presume that having an accountant is a legal obligation. While some think they don’t need accounting services entirely. The actuality lies somewhere between. 

A small business accountant does much more than prepare profit and loss reports. He handles legal requirements, business strategies, and frequent audits, to name a few. 

Are you Compliant with Companies House and HMRC?

Compliance with Companies House and HMRC

You don’t want to lose yourself in the compliance maze while running a limited company. Otherwise, a non-compliant business can face a few issues.

  • Hold up crucial business approvals or licences.
  • Cash shortages and hindering business operations
  • Ineffective identification of financial problems leading to losses.
  • Avoid legal implications.

To Reduce Corporation Tax liabilities

We often see businesses paying increased cooperation taxes for years. Analysing your financial health, an accountant will minimise your tax burdens. Moreover, you also get a map of strategic partners like:

  • Capital Gains Tax on disposal of assets
  • Claim business expenses
    • Business insurance expenses
    • Material purchases
    • Material purchases
    • Professional subscription expenses and more
  • Tax relief for depreciation of assets and equipment
  • Tax-Efficient Profit Extraction

To Cut Payroll Responsibilities

Why You need accountant

Small companies often give extensive attention to payroll, especially for even a few employees. Consequently, deal with complex calculations and ever-changing regulations. With an accountant:

  • You save money on training and payroll software.

  • You can free up time to focus on core business activities.

For Stress-Free VAT Submissions

When preparing your VAT submissions, you must ensure:

  • Accurately Allocate Tax Codes
    • Standard rates, 
    • Exempt, 
    • Zero-rated, 
    • No VAT. 
  • Determine the Relevant Period
  • VAT claim of back-dated expenses

With an accountant, you streamline this process, while eliminate costly mistakes.

To Comply With Legal Requirements of Record-keeping & Financial Reporting

To comply with record-keeping and financial reporting, there are a a few legal requirements. For example:

  • Balance sheets & P&L statements (detailed)
  • Submit corporate tax returns to HMRC
  • Companies House data must match HMRC submission
  • Segregate business and personal expenses
  • Keep track of direct and indirect expenses

The right navigation and placement of expenses in the right perspective not only make you eligible to report your finances, but also ensure accurate financial management.

For Accurate Financial Forecasts

Analyses of your financial data can identify trends and predict future performance.0

An accountant provides a roadmap for informed business decisions by:

  • Recording financial transactions as per IFRS. 
  • Setting parameters for staff counting
  • Realistic variable of the forecasting model. 
  • Accurate budgeting for marketing and other expenses.
  • Keep demand perimeters set. 
  • Technical Management accountant 

Why Should You Outsource an Accountant?

Outsource an Accountant

We free up your time and give financial clarity with outsourced accounting. In doing so, we combine the proven qualifications and strong ethics of ACCA/CA-certified professionals. Our team ensures clear communication, and furthermore:

  • Certified professionals with proven qualifications and ethics ensure you’re in good hands. As a result, you can trust that your accounting needs are well-managed.

  • Virtual collaboration helps save you money on travel and office space. Moreover, it allows for greater flexibility and efficiency in managing your accounts.

  • Rigorous security protocols safeguard your financial information, minimizing fraud risk. Consequently, you can have peace of mind knowing that your data is well-protected.

With top-tier professionals handling your accounting, you can focus on running your business with peace of mind. Get a quote today to get an accountant for your limited company.

  • Tags Why Hire an Accountant
  • Tags Why Hire an Accountant

Categories
Business Practice

How To Find A Small Business Accountant

Find a small Business Accountant
  • Post author By James Duffy
  • Post date June 27, 2024
  • No Comments on How To Find A Small Business Accountant

Are you struggling to manage your cash flow? You are not alone. 

According to The Financial Challenges of UK Businesses, over half (55%) of UK SMEs have outstanding invoices. Consequently, this suggests potential cash flow issues and the need for financial guidance.

55% of UK businesses have outstanding invoices

Finding a suitable accountant within your budget can become a headache. But what if there were hidden gems beyond the reach of your local chamber?

In this article, you will find some of the best ways to find the perfect small business accountant. An accountant who helps you avoid common mistakes with small business accounts UK.

1. Online Search

Look beyond traditional directories. Additionally, use social media tools, groups, and freelance platforms to find suitable accountants.

Social Media (Reviews & Feedback)

  • Look for Facebook Groups or LinkedIn communities for local small businesses
  • Visit business profiles like yours
  • Find recommendations they share for accountants and pick the best one

Advertisement Platforms

  • Target potential accountants on platforms like LinkedIn based on location.
  • Filter out accountants with the required expertise and software they use
  • Find accounting services that work with businesses like yours and.

Outsourcing Platforms

  • Explore Upwork, PeoplePerHour, or Fiverr for freelance accounting services.
  • It is the best way to find cost-effective options for occasional help with specific tasks.

Note: If you are tight on a budget, find an accountant just to fulfil your legal requirements.

2. Referrals: Ask People Around You (Expand Network)

Find an accountant through referrals

Your professional network can help you expand your network. Therefore, consider referrals from:

  • Mortgage Advisors: They deal with financial documents and can recommend small business accountants.

  • Solicitors: Since they handle property transactions, they have connections with experienced accountants.

  • Brokers: Brokers can recommend accountants familiar with your financial needs. 
  • Financial Advisors: With a holistic view of finances, they know accountants who can organise your financial plan.

3. Find Accountant Through Professional Industry Bodies

You can find certified accountants through professional organisations. Moreover, these accountants have the knowledge and experience to guide your business.

  • Membership signifies a commitment to ongoing skill development.
  • Complaint procedures and professional indemnity insurance offer additional peace of mind.

Visit professional accountancy bodies. Also, search through membership list and find a suitable accountant for your small business.

  1. ICAEW
  2. ICAS
  3. ACCA
  4. IFA

4. Finance & Accounting Publications

Without a doubt, finance magazines and accounting news are a treasure trove for finding qualified accountants. Additionally, look for newsletters from CIMA or ACCA. These publications often:

  • Feature articles written by or showcasing qualified accountants.
  • Offer insights from accountants with specialised knowledge.

Also, general financial publications like “Financial Times” are very informative. But for a more targeted search, consider industry-specific publications like:

  • ACCA Advance e-magazine
  • ICAEW Accountancy Magazine
  • CIPFA Public Finance Magazine
  • Tax Journal (for UK tax law and practice)
  • Accountancy Age

5. Leverage Events & Conferences 

Attend industry-specific seminars and conferences on accounting, finance, or business management.

Furthermore, these events offer opportunities to network with professionals, gain insights from experts.

  • Network with potential clients and referral partners.
  • Learn about the latest trends and regulations impacting your industry.
  • Gain insights into effective communication strategies for client relations.

Look for workshops offered by accounting software companies like QuickBooks or Xero. Also, here are some of the recommendations for conferences and events:

  1. AICPA & CIMA ENGAGE
  2. Accountex London 
  3. The Alternative Accountancy Management Summit
  4. Festival of Accounting & Bookkeeping

Don’t lose yourself in the maze of company accounts submission. Instead, integrate a streamlined process, so you can put more time into what matters – running your business.

Contact us today at 01618040808 or Get a Quote online to learn more about how we can help you save time and money.

 

  • Tags Find an accountant, Small Business
  • Tags Find an accountant, Small Business

Categories
Business Practice

7 Mistakes New UK Businesses Make with Small Business Accounts (and How to Fix Them)

Mistakes New UK Businesses Make with Small Business Accounts
  • Post author By James Duffy
  • Post date June 26, 2024
  • No Comments on 7 Mistakes New UK Businesses Make with Small Business Accounts (and How to Fix Them)

Are you submitting your statutory accounts to Companies House on time? Missing deadlines like these can cause penalties to your UK business. And as an accountant, I see this happen often. 

A UK business accounting costs survey said companies managing their payroll, VAT returns, inventory invoices, and bookkeeping lose at least £15,000 yearly. 

With an understanding of basic accounting principles, you can manage some of your business finances effectively, including:

  1. Enter data
  2. Align bank statements
  3. Categories expenses
  4. Generate basic reports  
  5. Bill payments and invoices

The infographic below breaks down the bright and risky sides of handling your business accounts. 

Pros and Cons of doing accounts yourself

Let’s explore new UK businesses’ mistakes with their finances and how to avoid them. 

Mistakes New UK Businesses Make with Their Small Business Accounts 

1. No Track of Petty Cash Expense. 

Petty cash expenses refer to any business-related petty purchases made with cash. This could include: 

  • Inventory purchases 
  • Printer cartridges 
  • Sticky Notes 
  • Mileage allowance 
  • Even pens, pencils, and staples  

Note: For mileage allowance, you must closely track your official travels. The mileage allowance pays 0.45 pence per mile for up to 10,000 miles and 0.25 pence after 10,000 miles.  

Not tracking these expenses means no record of where the money went, creating a blind spot in your financial records. These blind spots can lead to taxation issues, inaccurate P&L statements, cash flow problems, and a risk of fraud.  

You must manage the petty cash log to be submitted to HMRC. You need to note the purchase’s date and purchase in your petty cash log. You can also try some other options like: 

  • Use a Designated Credit Card 
  • Use Expense tracking Mobile Apps 
  • Collect regular receipts 

2. Neglecting Tax Advantages for Limited Company Formation Costs 

Founding a company puts a lot of financial burden on your shoulders. Many overlook that some of these expenses are claimable as per pre-trading expenditures.  

Even so, you can reclaim a few expenses up to 7 years into your company inauguration. Some of the regular expenses you can reclaim are: 

  • Accounting and Legal advice fees for up to six months 
  • Your domain name fee and web hosting  
  • Your amount of IT and office supplies, including laptops, stationery, and more 
  • If you are travelling or accommodating for business purposes 
  • Advertising, marketing, or anything related to the promotion of your business  

You can read more about the pre-trading expenses in the S57 Income Act 2005 and S61 Corporation Tax Act 2009 (CTA 2009). 

3. Oblivious About Tax-efficient Drawing  

Some company owners withdraw money from the company account whenever needed without considering tax implications. There are smarter ways (tax-efficient drawings) to withdraw money. Some of the ways are.

Salary and Bonuses 

Instead of just withdrawing money from your limited company account, you can pay yourself with a regular pay check like an employee. The first £12,570 is your tax-free personal allowance.  

Dividends 

Once you pay the cooperation tax, which is currently 19%, the remaining amount can be distributed among shareholders, including yourself, as dividends. The first dividends of £1,000 are tax-free and considered a dividend allowance. 

Even after a year, the dividends tax rate is lower than the income tax on salary.

4. Overdrawn Director’s Loan Account  

A director’s financial transactions with their company are recorded, excluding salary, dividends, and approved expenses. The record tracks the director’s money in the company and what they take out as loans and withdrawals. 

People often withdraw money from their limited accounts, and eventually, the balance becomes negative. Once the withdrawal crashes to negative, it implies the tax implications of section 455, i.e., recoverable tax.  

Depending on the director’s financial situation, ways exist to address this situation. 

Overdrawn Directors Loan

Note: Formally writing off a portion of your debt requires proper accounting procedures, justification, and exceptional circumstances due to potential tax implications.  

5. Not Claiming Allowable Expenses when using the Home as Office 

There is an allowance expense that you can claim against your tax bill when you are working from home.  

But there is a catch: it is only claimable when proper facilities are not available to perform the job at the employer’s premises, or the employer requires you to live far from the office premises.  

If you qualify for the allowable home expense allowance, you get advantages against expenses like: 

  • A Portion of utility bills (electricity, gas, water) 
  • Phone and internet bills 
  • Council tax 
  • Rent of mortgage interest 
  • Buy or Lease office equipment 
  • Repairs to the home office 
  • Running cost of home office 

6. Not Submitting Statutory Accounts 

When small businesses are dormant, they think they are no longer eligible to submit statutory accounts and cooperation tax with returns to Companies House and HMRC. 

In case of not submitting the statutory accounts, new small business account owners in the UK face the following implications: 

  • Companies House imposes automatic penalties for late filing of statutory returns. The penalty amount increases the longer the accounts are overdue.  
  • Late filings become a matter of public record, damaging your company’s reputation and company’s making it difficult to obtain credit or attract investors.  
  • In extreme cases, Companies House can strike the company off the register and dissolve it.  

To avoid such implications, your company should establish a system to ensure timely filing of statutory accounts.

7. Missing out on Confirmation Statement Submission  

For smooth business operations in the UK, your company must deliver a confirmation statement to Companies House at least once a year, even if the company is dormant.  

Missing confirmation statement submission can have some severe repercussions. 

The registrar might consider your company is not carrying on business and take steps to strike from the register. If the registrar strikes a company off the register, it ceases to exist, and all its assets become Crown property.  

Failing to do so is a criminal offence.

The Bottom Line 

Following these tips allows new UK business owners to avoid common mistakes and effectively manage their small business accounts. 

If you are new to small business accounting, it can be daunting to navigate the tax maze. More Than Accountants provides accountancy services for small business accounts. We provide small business accounting services to businesses throughout the United Kingdom. 

  • Tags Small Business
  • Tags Small Business

Categories
Business Tools and Process Automation

How to Submit Company Accounts for a Small Business

Submit Small Business Accounts
  • Post author By James Duffy
  • Post date June 6, 2024
  • No Comments on How to Submit Company Accounts for a Small Business

Are you worried about handling bank statements? Or do you not know the recommended way to file your small business accounts?

Owning a small business in the UK is an exciting adventure. However, submitting the annual company accounts can quickly make the excitement a headache.

More than 223,640 companies missed the accounts deadline 2018 and suffered a late filing penalty. Moreover, an additional 634 narrowly avoided penalties.

Understanding the filing requirements, including maintaining accurate financial records and properly classifying expenses, can be stressful for small business owners. 

This step-by-step guide helps you file micro-entity accounts for your small business. 

Steps To Submit Company Accounts for a Small Business (The Stressful Way)

For a small business, you get a break with a simplified micro-entity filling process. If your company meets the two criteria below, it will be classified as a small business.

  • Turnover: Not more than £632,000
  • Balance sheet total: Not more than £316,000
  • Employees: Not more than 10

Follow the step-by-step guide to submit your micro-entity accounts. 

Step 1: Gather Your Financial Records

What are financial records

Get organised and collect all your business’s financial records for the accounting period. Here’s a checklist to help you stay on track:

  • Bank Statements: Gather statements for all your business accounts.
  • Sales Invoices: Record all your income from sales of products or services.
  • Purchase Receipts: Track your business expenses with receipts 
  • Other Supporting Documents: Consider additional documents like payroll records or loan agreements.

The more organised you are here, the smoother the filing process.

Step 2: Prepare Your Balance Sheet

The balance sheet is the snapshot of your business at a specific date, typically the last day of your accounting period. Therefore, your balance sheet should clearly show three things.

What is Balance Sheet?

  • Assets: Everything your business owns
    • Current Assets: Cash readily available, inventory, prepaid expenses like rent or insurance
    • Non-current assets: Fixed assets like equipment, property, or investments
  • Liabilities: What your business owes. Make a list that includes:
    • Current Liabilities: Short-term debts like accounts payable, money owed to suppliers, or taxes payable. 
    • Long-Term Liabilities: Long-term debts like loans or mortgages. 
  • Capital: The difference between your assets and liabilities, essentially your net worth.

Step 3: File Your Accounts Online

With all the paperwork prepared, you can submit your accounts electronically. If you are filing for the first time, you need to create an account with Companies House WebFiling. Before getting started, you need to make sure of a few things. 

For Companies House
  • Get a Company Registration number
  • A 6-digit Authentication Code you receive via post.
For HMRC
  • Get registered with HMRC for Government Gateway ID.
  • Link your corporation tax account with the created login. 

Step 4: Select “Micro Entity Accounts” During Filing

Once you’ve logged in to the WebFiling service, look for a section or option labelled:

  • Type of Accounts
  • Choose Micro Entity Accounts

Upon selecting the option, the filing process will be ensured to be tailored to the specific requirements for micro-entity submissions.

Step 5: Review and Submit 

Don’t get intrigued by the “submit” button; carefully review it and ensure smooth and error-free filing. 

Don’t let the “submit” button intimidate you! Use the checklist below to ensure a smooth and error-free filing process.

  • Double-check your entries
  • Focus on accuracy
  • Pay attention to formatting (Number & Date formats)
  • Save your work regularly

Filing your annual accounts doesn’t have to be a stressful experience. Following the steps in this guide and staying organised can ensure a smooth and error-free submission.

Mistakes Businesses Make with Their Small Business Accounts 

  1. Unable to Submit Statutory Accounts: Dormant companies think they are no longer bound to submit statutory accounts, which eventually results in deadlines and penalties. 
  2. Overdrawn Loan Account: Habitual withdrawal of money from limited accounts leads to tax implications of section 455.
  3. Neglecting Tax Advantages: Businesses overlook that expenses like company formation are claimable as per pre-trading expenditures, saving them money.

33% of businesses lose money by making accounting mistakes. See how to avoid common pitfalls and save your company tons of money. 

How to Submit Your Company Account The Easy Way (and Keep More Profits)

Submitting your limited company accounts has never been easier. Also, you can put more profit back into your business by contacting 01618040808 or Get a Quote online.

 

  • Tags Company Accounts, Small Business
  • Tags Company Accounts, Small Business

Categories
Entrepreneurship

203 Social Media Marketing Tips For Small Businesses

  • Post author By James Duffy
  • Post date September 24, 2020
  • No Comments on 203 Social Media Marketing Tips For Small Businesses

Social media networking sites such as Facebook and Twitter are the latest trends on the internet today. It offers new opportunities to communicate and improve how people connect and share. It is similar to an online ground where people get the chance to meet and socialise electronically.

Continue reading “203 Social Media Marketing Tips For Small Businesses”

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Entrepreneurship

20 Reasons to Start Your Own Business

  • Post author By James Duffy
  • Post date September 19, 2020
  • No Comments on 20 Reasons to Start Your Own Business

Nowadays, becoming an entrepreneur is easier than ever before. Technology has been responsible for opening markets, narrowing the world, making it possible for a lot of people to strike out on their own in the industry that they want.

Continue reading “20 Reasons to Start Your Own Business”

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Entrepreneurship

10 Technologies Entrepreneurs Say They Can’t Live Without

  • Post author By James Duffy
  • Post date September 18, 2020
  • No Comments on 10 Technologies Entrepreneurs Say They Can’t Live Without

Nowadays, there are a variety of technologies that we can find online. Which among these technologies you can’t live without? Also, if you are an entrepreneur, what technologies do you need? We have interviewed ten entrepreneurs in order to know which of these tools they rely on when it comes to running their business each day.

Continue reading “10 Technologies Entrepreneurs Say They Can’t Live Without”

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Entrepreneurship

The Pros and Cons of Buying vs. Leasing Office Equipment

  • Post author By James Duffy
  • Post date September 7, 2020
  • No Comments on The Pros and Cons of Buying vs. Leasing Office Equipment

For business owners who require some equipment such as computers, machinery, and other types of equipment in order to operate their business, there are a lot of things to consider. Aside from simply contemplating the overall costs of buying or leasing the equipment, you should also think about the tax deductions, maintenance, flexibility and more.

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Marketing

Over 40 Word of Mouth Marketing Statistics

Ten Ways to Build a brand for Your Business
  • Post author By James Duffy
  • Post date September 3, 2020
  • No Comments on Over 40 Word of Mouth Marketing Statistics

We compiled over 40 word of mouth marketing statistics you can use as a jumping off point for your analysis of how to use WOMM in your own marketing efforts.

We discovered people talk about shopping a lot. For all age groups, shopping ranks as a Top 10 conversation topic. In fact, more than half of our daily conversations involve shopping. It’s no wonder that scrutiny of word-of-mouth marketing (WOM or WOMM), what it is, how it works, what’s its impact, is climbing.

Continue reading “Over 40 Word of Mouth Marketing Statistics”

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Marketing

4 Ways to Market Your Business for Free

  • Post author By James Duffy
  • Post date August 17, 2020
  • No Comments on 4 Ways to Market Your Business for Free

You can ask any entrepreneur that is just starting out what’s the most challenging part of their business. Most probably, they will tell you that it is the difficulty of reaching and retaining customers. Obviously, marketing a new business or product will require more time, effort, and money which a lot of entrepreneurs don’t have.

Continue reading “4 Ways to Market Your Business for Free”

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Entrepreneurship

7 Ways to Protect Your Small Business from Fraud and Cybercrime

  • Post author By James Duffy
  • Post date August 7, 2020
  • No Comments on 7 Ways to Protect Your Small Business from Fraud and Cybercrime

Nowadays, companies are more afraid of cybercriminals than thieves and thugs. While burglars will steal your merchandise or destroy your property, cybercriminals are more treacherous and the harm that they cause can be tremendous. When financial data are hacked or sensitive information are stolen, then the losses can be very overwhelming. This is even incomparable to the most spectacular robbery.

Most people think that these cybercriminals will only target large global corporations. However, they will also go after small businesses. The fact is, in 2017 at least 79% of companies revealed that they were hit by breaches. Oftentimes, smaller businesses have put little effort into protecting their sensitive information and financial data because they believe that cyberattacks will not happen to them. While the potential earnings that the attackers can get from small companies may be less, but the job is typically less difficult and more dangerous.

Is your small business protected from identity theft, fraud, and other types of cybercrimes? Based on the study from the Association of Certified Fraud Examiners (ACFE), businesses which only have one hundred workers or less could likely lose nearly $155,000 every year due to fraud. Also, small businesses are likely the ones which have a bigger fraud rate compared to larger companies and regular individuals. Most fraud cases come from credit card mishandling. The reason behind this is that some business owners would mix their business and personal accounts. While others would take some time to go through each item on the bill.

Sometimes fraud occurs due to lack of security all over the business. For instance, some business owners will not conduct background checks on their employees or their network and computer security are insufficient.

Why Do Cybercriminals Target Small Businesses?

A lot of small business owners and managers are not so much concerned about data security. This is because they believe that hackers will not care about them since they are too small. But the fact is, every year, one in two small businesses are having security breach each year.

There are good reasons why these cybercriminals attack small businesses. Most likely, these small businesses are using poor security, making them easier to break into their customer data. Also, hackers will use automated methods in attacking these businesses. Hence, they can easily access several small businesses within a short period of time. As you can see, it does not matter if your business is small, there is still a possibility that you can become a victim of cybercrime.

Companies that lack interest in data security are often the ones that are not aware of the risk. This is because they do not have the time or expertise needed in ensuring proper security. If you are an owner of a small business, then you have to make sure that you can prevent a data breach in your company.

How Do Small Companies Prevent Data Breach?

Have you done something to prevent these cybercriminals from targeting you? Avoid being a victim! Here are some valuable tips that can help you in protecting your business against any forms of fraud and cybercrime.

Protect Your Credit Cards and Bank Accounts

Credit cards and bank accounts are common areas for fraud. Whether you are a sole proprietor or you have an employee-based company, you should consider this as your main priority. The best thing that you can do is to separate your business accounts from your personal accounts. This includes everything from credit cards to bank accounts. This can ensure that fraudsters will not get any chance of stealing your money. Aside from this, if you separate your accounts, then it will be easier for you to monitor your business expenses and record your deductions on your tax return.

Also, as much as possible, try to use your card wisely. Avoid giving your card or your card number to anyone, including your employees or companies which you are not familiar with. Use online bill payment and protect your paper bills securely. Additionally, when receiving and sending bills, be sure to use a secured mailbox. In case you don’t have any, then you can deposit your mail straight to the post office. This also applies to any type of mail that consists of sensitive information. Obviously, you don’t want to see them sprawling around in an unsecured mailbox.

Finally, try to check your online banking each day and be cautious for any suspicious activities.

Secure Your IT Infrastructure

One of the first defence is to install a firewall. According to the FCC, this is very helpful in fighting against cybercrime. Aside from an external firewall, it is also advisable that businesses should get an internal one. Also, employees who are working from home should also install firewalls on their computers.

As a business owner, investing in anti-virus, malware, firewall, and spyware detection software is definitely worthwhile. It is also a must to make a back-up so you can continue working in case there is a cyber attack.

You must keep all your software updated all the time and be sure that they are regularly patched. One of the most popular methods that hackers will use in gaining access to your computer system is through code defects, also referred to as the exploits. Sometimes these exploits will remain undetected for years before they are patched. Hence, if you do not update your computer system regularly, then your networks could be vulnerable to those people who have some technical knowledge. Exploits can likely cause damage to all types of software including browsers, operating systems, specific software and others.

Investing in a reliable VPN can also be a great help. A Virtual Private Network or VPN can provide you with a secure connection between the internet and your computer. This is very valuable to people who are using less secure networks. Essentially, with a VPN you can be invisible to hackers. This means that they will not be able to steal your passwords, financial information, and other sensitive data. Also, they cannot track down your activities.

There are a lot of VPN options that are available out there. However, before making a decision, you have to figure out the needs of your company. Then try to do some research in order to find out which one will fit your business.

Today, data from businesses are considered as one of the most critical assets. That is why protecting them must be a top priority. As much as possible, you have to layer them with enormous security. Try to avoid storing them in a single source but separate them into segments. Although this method may not be very convenient, however, if there is a security breach, then hackers will not be able to access all of your data. Use the most advanced encryption strategies in order to make sure that even if your data is stolen cybercriminals will not be able to use it. Also, always ensure that the encryption software that you use has the latest update.

Lastly, it is a must that you should back up your data frequently. Cloud solutions are greatly recommended, for instance, Disaster Recovery as a Service (DRaaS) and Backup as a Service (BaaS). These are the most efficient ways to ensure that your data is protected when a breach happens.

Use a Separate Computer for Banking

You should use a separate computer for all your online financial transactions. Ideally, you should not use this computer for web surfing, email, social media, and other online activities since this can make the machine more vulnerable to threats. If possible, try to avoid using mobile banking.

Be sure to set up strict restrictions on company computers. Ensure that your employees won’t be able to install any unauthorized software on these company computers without the permission of the system administrator. This can help in preventing malware from infecting your network and limit any wasted time.

Create a Password Policy

Another essential step in securing your IT systems is to establish a password policy. A good rule is to change your password every 60 to 90 days. Be sure to implement this on your employees too. One of your rules should be to ensure that all passwords are complicated. For instance, it should consist of a minimum of eight characters which includes one number and one upper case letter. Use separate passwords for every online and system accounts.

Most often, cybersecurity policies at companies are just instinctive knowledge, instead of having a documented policy. Cybersecurity is very important in any business, hence formal rules should be implemented. If you want to create documented cybersecurity rules, then you can refer to the Small Business Administration’s website and go to the cybersecurity portal. There are a lot of resources that you can find here. You can also make use of the online training that they provide. You can also take advantage of the checklists that they offer. To get started with your cybersecurity document, you can use the Cyberplanner 2.0 resource that is provided by the FCC.

Most small businesses permit their employees to bring their mobile devices to work. Hence, it is important that these businesses should make an accurately documented security system for these mobile devices. Additionally, it is also important for businesses to implement the company password policy on all the personal devices brought in by their employees.

Keep Your Staff Educated

Perhaps your employees are your greatest point of vulnerability with regards to fraud. However, they can also be considered as your first line of defence. Keep your employees updated by frequently holding regular training courses on fundamental security threats and prevention measures, both for online and offline transactions. Whether your staff is new or seasoned, they should attend these training sessions. You must also establish policies that will guide employees on properly using and handling company confidential information, such as employees and client’s sensitive information as well as financial data.

If you need some ideas on what you can include in your training, then you can refer to several resources that are provided by small business groups such as your local Small Business Development Center or Women’s Business Center. For sure you can find one of these organizations near your place. You could also search for free online webinars from different sources that concern security among organizations and businesses.

Even if you are using the latest firewall and antivirus software, it is still possible that you are not completely protected in case your employees will not follow the rules for computer security. That is why it is very import that you should educate and train your staff. Do you know that more than 90% of security breaches occur not because of hackers overcoming the network’s security but because of employees who are unconsciously opening doors? For instance, these employees became victims of phishing emails or using weak passwords. Investing in the most innovative security software will be useless if you do not educate your employees about cybercrime prevention. This is just the same as boarding up your windows at home but leaving the front door wide open.

Try To Conduct Employee Background Checks

By making the right hiring decision, you can help in preventing any fraudulent employee behaviour. This step is very important in any type of businesses and organizations. Fundamental pre-employment background checks are one of the most important practices that should be implemented by all employers. This is crucial for employees who will be managing cash or highly valuable merchandise as well as for your staff who have access to sensitive client information and financial data.

Be Sure To Insure Your Business

Most likely, there are chances that fraud and cybercrime can occur. Nevertheless, you can purchase an insurance policy that can cover the damages. This can protect you against any losses that may result after fraud and cybercrime were committed. At the same time, you can inquire from your bank if there is anything that they can do in case your credit card or bank account is compromised.

How do you protect your company against fraud and cybercrime? Nowadays, cybersecurity should be given more reconsideration. A security breach can be disastrous to any type of business, even if you don’t have a strong digital presence. The best way of protecting yourself is to be prepared and follow the tips that we mentioned above.


Categories
Entrepreneurship

Want to Get More Done at Work? Eat Better

  • Post author By James Duffy
  • Post date June 20, 2020
  • No Comments on Want to Get More Done at Work? Eat Better

According to new research, lack of exercise, smoking, and unhealthy diets can likely affect the performance of employees each day. The researchers from Brigham Young University, who were assigned in the Health Enhancement Research Organization and the Center for Health Research at Healthways, discovered that people who have unhealthy lifestyles are likely the ones who have higher levels of unproductive work time.

Factors That Can Affect Employees’ Productivity

Furthermore, the study revealed that employees who have specifically unhealthy diets were 66% more likely to encounter a loss in productivity compared to those who frequently ate fruits, vegetables, and whole grains. Additionally, those employees who seldom exercise were 50% more likely to have lower levels of productivity compared to the ones who do regular exercises. Furthermore, smokers were 28% more likely to experience a decline in productivity compared to those who are nonsmokers.

Based on the research, employees who are having a hard time exercising during workdays have a 96% chance that they will have a decline in their productivity. While those employees who do not believe that the environment in their workplace can support them in being physically and emotionally healthier were likely the ones who will suffer from productivity decline.

According to the vice president and chief science officer for Healthways, Dr James Pope, the research they’ve conducted revealed that loss in employee productivity is generally associated with poor well-being, bad health habits, increased health risks, as well as the existence of the chronic disease. This information is important since a great number of employees are now having poor diets, excessive body fats, sedentary lifestyles, and diabetes.

Other Factors Associated To The Decrease In Productivity

The research also revealed that there are other factors both personal and work-related that have contributed to the decrease in productivity. This includes lack of technological support, insufficient time in performing their job duties, as well as financial stress.

Based on the study, productivity loss was greatly experienced by people who are between 30 and 39 years old and less experienced by those who are 60 years old and older. It is also seen to be more prevailing among women than men. Additionally, it is more common for those who are divorced, separated or widowed than those who are married.

According to the report, the highest levels of productivity loss can be found in clerical or office workers who are involved in the service and transportation industries. While the lowest levels can be seen on those who are in the mining, fishing, farming, construction, and forestry industries.

According to the CEO of the Health Enhancement Research Organization, Jerry Noyce, it is vital that firms should look deeper into productivity loss and measure them in order to understand its impact on the bottom line.

Furthermore, Noyce revealed that business leaders have the capability to lessen the factors that greatly impact productivity loss. This includes implementing the best wellness programs in your workplace. It should focus more on the employees’ well-being improvement. As a result, this can help in improving employee’s productivity and satisfaction as well as the employer’s profitability.

These results were based on the survey conducted on 19,803 employees who were working at three geographically separated companies. The outcome of this study can also be seen in the Population Health Management journal.

The Productivity Diet

What you eat can directly impact your performance at work. Do you want your body and mind to function at its optimum? Then the best solution is to practice good nutrition. Actually, this concept is not new, but why is it that most people are not implementing it. One of the biggest hindrances is people are getting confused with what good nutrition really means. Also, there are various conflicting ideas out there making us wonder more and more. For instance, should you follow the food pyramid, are whole grains actually heart-healthy, should you do a juice cleanse, etc.

If you want to nourish your brain and body in order to achieve optimal performance, then you should practice good nutrition which includes choosing what you eat and when to eat them. For instance, having 25 grams of glucose in our bloodstream can make our brains work at its best.  This amount can be found in a banana. Hence, eating a banana between meals can actually help in boosting your brainpower. On the other hand, if you choose to eat something that is high in sugar during snack time, such as a handful of M&Ms, then you are risking yourself with a blood sugar spike followed by a collision. The outcome would be low productivity and low energy.

If you are actually serious in performing your best at work, then it is vital that you have to make wise decisions about your food. Here are some foods that can help you in keeping up your energy and productivity throughout the day.

Good nutrition is critical in maximizing our productivity and effectiveness at work. By nourishing our bodies and brains with the right foods, it can create a positive effect on how we feel, think, create, and reminisce.

According to the study conducted by the Health Enhancement Research Organization, employees who ate healthy foods throughout the day were 25% more likely to have a higher level of job performance. While those who ate five or more servings of fruits and vegetables at least four times a week were 20% more likely to be more productive. Finally, those employees who ate healthy foods and do exercises regularly performed 11% better and have 27% fewer absences from work.

If you are serious about achieving optimal performance at work, then it is important that you should make intelligent decisions when it comes to the food that you put in your body. Although our brains only comprise 2% of our body weight, it can consume 20% calories each day. If you want your brain to function at its best, then you should supply it with a constant amount of glucose and fat. That is why it is essential that we know where we can get this glucose and fat.

Do you know that our bodies do not process all foods at the same time? When we ate foods that can release glucose instantly, such as white bread, cereal, sweets, and pasta, we encounter a blood sugar spike that provides us with an instant burst of energy. Afterwards, it is then followed by a sudden decline in blood sugar that results in a slump. Hence, you will experience low productivity and low energy levels.

When we eat foods that give us more sustained energy, such as low glycemic carbohydrates found in vegetables, fruits, and whole grains, as well as foods rich in proteins and healthy fats, we are providing our brain with a steadier supply of energy.

What To Eat At Breakfast

Eggs are comprised of fat-like B Vitamin known as choline which can improve memory and reaction time.
Bananas can help the brain works at its best since it contains 25 grams of glucose.
Yoghurt contains probiotics, protein, and minerals which are valuable to the digestive system.
Blueberries include a potent combination of antioxidants which can enhance the memory and motor coordination.

What To Eat At Lunch

Sometimes it is easy to get tempted with unhealthy options at lunchtime. This is because they are quicker and cheaper compare to healthy alternatives. The key is you have to make your eating decisions before you get hungry. Or you could pack your lunch the night before.

Dark, leafy greens are rich in vitamins, minerals, and phytonutrients. It contains iron that can help in bringing more oxygen to the body and brain. It can also enhance cognitive control.
Spinach is rich in antioxidant power. According to researchers, it can help in improving your learning capacity and motor skills.

Avocados are comprised of monounsaturated fats which can help in contributing to healthy blood flow and makes your brain healthier.
Almonds are comprised of phenylalanine which is valuable to your mental and neurological health. In addition, almonds are also rich in riboflavin which can help in boosting your memory.

Olive oil is the best source of monosaturated fat and it is best known for slow brain ageing.
Whole wheat bread is rich in fibre and causes less blood sugar spike. However, when other protein is added to the bread, its glucose absorption rate will become gentler.

What To Eat At Dinner

Salmon is rich in protein, iron, omega-3s, and B-vitamins which can improve reasoning, memory, focus, and recall.
Broccoli is known as a superfood since it has a high overall nutrient content. It is also the best source of Vitamin K which can help in improving cognitive function and enhances brainpower.
Eating eggplant can help in keeping your brain sharp.

What To Eat During Snacks

Fruits and veggies contain essential nutrients that can help in the production of dopamine, a neurotransmitter that is vital in the experience of motivation, curiosity, and engagement. They also include antioxidants that can help in reducing body inflammation.
Raw carrots can provide your brain with a steady level of blood sugar so it can function optimally.
Walnuts are comprised of vitamin B6, vitamin E, omega-6 and omega-3 fatty acids, as well as 15% to 20% protein.

Cashews are rich in magnesium which can help in opening up the blood vessels in your body. With more oxygen in the blood, your brain can function better.
Dark chocolate includes antioxidant properties which can increase the production of endorphins and improves focus and concentration.

Other Ways Of Boosting Your Productivity

Business experts claim that there are certain productivity hacks that can help you in getting things done quickly. There’s no doubt that there are some common-sense tools that can help you in becoming more productive. For instance, avoiding social media, taking short breaks, as well as creating efficient to-do lists.

Here, we will provide you with some of the best strategies that can help you to become more productive. It is essential that you should not view them as hacks but rather some tips. Actually, there are no hacks in becoming more productive, although there are a few habits which you can implement to help you become a much better and more efficient worker. By building these habits, you are taking the right steps in becoming more productive.

Streamline Your Space

Before you start doing anything else, take some time to begin each day by cleaning and organizing your workspace. According to Kristoph Matthews, who founded Boxbee, a clutter-free environment can help you in thinking more clearly and producing better results. Cleaning up and organizing your space can greatly help in increasing your productivity and spending less time searching for items.

Add Some Colour Or Live Plants

According to Jenny Gauld, Turnstone’s interior designer, colour can have a strong influence on your productivity and mood throughout the day. Blue provides a calm feeling, making you focus more. Red is an excellent colour for work that requires precision and attention to detail. Plants can also help people in concentrating more on their work. Based on the study from Washington State University, employees become more productive and feel less stress when they are exposed to plants, most especially if their workplace does not have any windows.

Put Some Decorations On Your Workspace

Aside from adding some colour and plants to your workspace, putting some decorations on your cubicle or desk can greatly help in making your feel more relaxed, most especially if it includes some personal touch. Consequently, this can also help in boosting your productivity. Gauld even recommended that employees can feel more appreciated if they display their meaningful career memorabilia, like awards, diplomas, and other embellishments,  in their workspace. This can also help in motivating employees.

Stay Away From Your Most-Dreaded Task

Most often, employees have at least one task on their to-do list that they hate doing. As a result, they keep on pushing it back since the thought of doing it seems dreadful. However, according to Matthews, this task should be the one that you will finish first. Rather than waiting until the last minute to accomplish it, you should get it off your plate as soon as you can. After you have finished this task, you won’t get stressed by it anymore. In addition, you will find your other tasks less daunting. As a result, you will become more productive.


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Entrepreneurship

10 Tips to Help You Build and Grow a Stand-Out Small Business Brand

  • Post author By James Duffy
  • Post date June 1, 2020
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It is official! The United States adores small businesses. Based on the survey conducted by the Pew Foundation,  71% of Americans are more favourable with small businesses compared to any other institutions including religious organizations.

What is the reason behind this? Well, this is because small businesses are considered a positive influence when it comes to the way things are happening in this country. But in reality, it’s more than that.

Small businesses have all the power to build valuable customer experiences. Most often, their products and services are niches and they have a specific group of target customers. Furthermore, they provide fast and flexible service; this is possible because the business operations of small businesses are not restricted by corporate rules and processes. Also, small businesses are well trusted for their community engagement, integrity, and customer service. Have you ever recalled an instance wherein you were calling a small business and you were put through in an automated call centre? Apparently, these are just small things; however, when they are combined together, they can give you a competitive edge. These are considered as the lynchpin of your brand.

But what are the things that you can do so you can leverage these occurrences and make your brand more appealing without breaking the bank?

A brand pertains to the overall encounters that your clients and potential clients have with your company. A solid brand will be able to convey effectively what your company does and how it accomplishes this while establishing credibility and trust.

Your brand exists in your daily interactions with your customers including your posts on social media, the content of your marketing materials, the messages you post on your website as well as the images that you share. What if you only have a small budget, how can you develop your brand to make it stronger? Here are 10 tips that can help you in getting started:

10 Tips To Help You Grow Your Brand

1. What Is Your Brand?

First of all, you need to understand that your brand is more than your products, marketing strategies, or logo. As we have mentioned above, it is the overall experiences clients have with your business. This includes everything from what you do, how you are going to do it, the visual elements of your business, the reactions of your customers, the kind of information that you provide on social media and in your marketing. All of these elements can help in establishing trust and credibility in your business.

2. You Should Stand Out

Standing out simply means that you have to be different. If you are confident that your brand is going to be solid, then you must be able to determine the things that makes what you do unique. What separates you from the others in your industry? Don’t forget to mention these unique qualities in your company’s marketing and messaging.

As much as possible try to be unique. In today’s time, Apple is considered as one of the most iconic brands. It was introduced in 1997 with the most innovative campaign which invites its customers to “Think Different.” Apple products are considered to be more reliable, more fun, and have better designs compared to their competitors. How about you, what is your story? What makes your business unique? What have you done that your competitors in the industry have not done yet?

3. Have Excellent Products And Services

One of the greatest sources of leads for small businesses is the word of mouth. Hence, it is important to provide your customers with excellent products and services which they will talk about. This is one of the most vital components of your brand and also the reason why you are in business. Even if the small business owner is very charming and outgoing, they won’t be able to bring their customers back unless they offer products or services that deliver and exceed their customer’s expectations.

Never lose sight of your product. As much as possible, keep on refining it and always make sure that you are always giving your priority to your product and not the money it brings in.

One of the reasons why people love to write brands is because they want to share their experiences. That is why it is not surprising that Apple is on top of the ranking because people love Apple’s products.

Some companies choose to stop focusing on developing excellent products and services once they have succeeded. However, this is totally wrong. In 2008, Nokia was ranked as the 9th most valuable brand in the whole world. In 2011, Nokia’s rank fell to 81st and this year, it continues to go down even further. Even how strong a brand is, it will still suffer if they continue to create average or below average products or services.

4. Let Your Customers Know The Face Behind The Product

One of the most prominent reasons why small business won’t succeed is the consistent absence of the business owner. If you are wondering what could go wrong if the owner lets the business run itself, then you can watch some episodes of business makeover TV shows such as Tabatha Takes Over and Ramsay’s Kitchen Nightmares.

If the owner is not actively engaged in his business, then most likely its employees will lose their structure and motivation. Apparently, this can lead to a poor product, sloppy service, and customer churn. Can your business still function without your constant presence? Absolutely, the most important thing is you should be able to strike a balance. Search for ways to let your customers know you by connecting a face behind the business. If the business owner will always be there then their business will really thrive.

5. Get The Right Name and Logo For Your Business

This is crucial to brand recognition and you have to make sure that you get it right the first time. Remember that it can be very costly down the road if you’ve decided to change your name and logo. Be sure that your name and logo can be easily recognised. Also, it is important that it must reflect the nature of your business and look very appealing to your target market. Two of the great examples are Doggone Natural, which is a store for healthy pet food and Woofies, a company which provides dog walking services. Both of these businesses use names and logos that reflect the nature of their brands and what they stand for as well as the products and services that they offer. It also represents their market, which are the pet owners and their pets. Make sure that your name and logo signify the overall tone of your business so that it can make you feel good and develop a natural attraction with them. This is something that you need to aim for.

Keep in mind that a strong brand can be easily recognised. And recognition begins by having a good name of your business. Remember that this name will be displayed on your website, promotional materials, letterhead, business cards, products, social networks, and everywhere whether in print or online. This will be used to identify your company or the products and services of your company.

Having a recognizable name is not enough. Most often, people will relate brands with the brand’s logo. As you are about to create your logo, you need to consider your audience as well as your products and services since you want your logo to reflect your company. A good logo can help in building trust while a strong logo can help in pulling your brand together. Take a good look at the logos of some of the world’s most-liked brands such as Google, Apple, Amazon, etc. How do you feel upon seeing their logos?

6. Create a Distinct Voice

One of the best ways to guarantee that your distinct brand message is conveyed in a consistent way across your business is to concentrate on how you and your employees interact and converse with your clients, either on the phone, in person, or on social media.

If you are having some doubts on what your distinct voice should be, then you can have a look at other brands. Try to observe what they do and identify what are the things that you would like to emulate. As a customer, how do they interact with you? What have they done that makes you feel good? Why do you like doing business with them?

7. Organise A Community Around What You Do

A brand can be deemed successful if it is trusted and respected by customers. This can be achieved by organizing a strong community both online and offline.

In fact, you don’t have to spend too much money in order to accomplish this. There are a lot of successful brands that focus more on building both online and offline communities rather than using traditional advertising. For building an online community, you can use Facebook, Instagram, Twitter, and other social networks as well as your own blog. Keep in mind that you can’t be in all places at one time. Therefore, you need to choose one or two places where you can concentrate on developing your community, and spend your time and resources there.

On the other hand, for building an offline community, you can participate in different community activities like charities, fundraisers, and other local events. Or you could choose to host your own events including loyal customer events and workshops. Aside from helping you build a community, you can also extend the trust you’ve gained to your brand.

Try to expand your community. Most of the world’s best brands such as Amazon, Virgin, Skype, Facebook, and Google did not spend a lot on advertising, rather they concentrate on creating and developing their communities. These companies believe that if people trust a brand’s community, then most probably they will also trust their brand.

8. Rather Than Just Being A Salesman, Try To Be an Advocate for Your Business

You don’t need to be the best salesman if you want to succeed in your business. In fact, there are a lot of forms of selling and being an advocate combined them all together. For instance, there are a lot of small business owners who aspire to be the greatest cheerleader, salesman, or fan of their own business. If you want your customers to feel excited about your business, then you must also get yourself excited about it too! If you are very passionate about your business, then you should be an advocate for it.

You can use the tips that are found here in making sure that your customers understand what you do. Make sure that they learn the story behind your products as well as what your products have done for the people. Let them know about your mission, strategies, and all that good stuff. In other words, you need to invite them!

9. Show Them That You Are Reliable

As much as possible never let your customers down. For instance, you fail to live up to your brand standards and you did not comply with your promises. This can be very harmful to any type of businesses, most especially for small businesses which rely mostly on referrals. Take note that the basis for brand loyalty is great service. Whenever a customer is loyal, then you can expect that he is loyal to your brand. Hence, you have to make sure that you are not making promises that you can’t keep. For instance, if you are a painting contractor who guarantees that you can begin the job on Monday or you have a pizza business and you promise to deliver within 30 minutes. Be sure to always stand by your promises.

10. Obtain A Value Proposition

When it comes to value, it does not necessarily mean that this is related to the price. Value can help in defining your brand and sets you apart from your competitors. What is your niche? What are the things that you did well in that niche which makes you unique from everyone else? What are the emotional gains of what you do? Be sure to answer these questions since this can help in defining what your value is to your customers. It could either be innovation, product quality, customer service, or any combination of these.


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Entrepreneurship

15 Signs You’re an Entrepreneur

  • Post author By James Duffy
  • Post date May 11, 2020
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If you were asked to describe a stereotype entrepreneur,  what accurate words would you use? Devoted? Passionate? Confident? Surely, all of these can be applied. However, troublemaker and insecure would be more precise, based on the opinion of entrepreneurs who understand success when they perceived one. Check the following qualities, traits, and characteristics and see if they describe you. Well, you could be considered an entrepreneur at heart, although not in application.

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Marketing

Content Marketing Guide 2020

  • Post author By James Duffy
  • Post date April 22, 2020
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This guide for content marketing can greatly help teams as well as individuals. Here, you will understand the essential principles of content marketing strategies. It can provide you the most advanced ways of researching and improving the output of your content marketing team.

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Marketing

The Importance of Repeat Customers

  • Post author By James Duffy
  • Post date April 22, 2020
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build There are a lot of things that we want to do just to make sure that our business will grow. However, have you considered thinking about the importance of your best customers? Most often, we focus more on acquiring new customers rather than giving more attention to our returning customers. Keep in mind that these are actually the people who have helped you build profits for your business. As a marketer, we are always looking for ways to grow our customer base and our business. To help you increase your conversion rates, there are different resources that you can find on the internet.

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Customer Success Breeds Business Success

  • Post author By James Duffy
  • Post date April 18, 2020
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If you want to achieve long-term success for your business, then it is essential to ensure that your customers are satisfied (also see reataining customers). After all, unhappy customers will probably share their displeasure with others. Potentially, this can hurt your revenue from upsells as well as your chances of acquiring new customers. In order to keep your churn rates low, you need to provide customer support and customer service. However, most companies are now becoming proactive by focusing more on customer success.

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Why Scrum?

  • Post author By James Duffy
  • Post date April 18, 2020
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What is Scrum? The Scrum is an approach that uses Agile framework in accomplishing complicated projects. Originally, Scrum was designed for software development projects, however, they found out that it can also work perfectly on any complicated, innovative scope of work. It seems that there is no limit on its possibilities. You might think that the Scrum framework is complicated, however, it is actually very simple.

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Entrepreneurship

Why A Mentor is Key to Small Business Growth and Survival

  • Post author By James Duffy
  • Post date February 20, 2020
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November is proclaimed as the National Entrepreneurship Month. This is the time when U.S. entrepreneurs and small business owners are highly recognized for their great contribution to the country’s economy. This would not be possible if these companies don’t have the courage, determination, and innovation.

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Entrepreneurship

101 Inspirational Startup Quotes

  • Post author By James Duffy
  • Post date February 5, 2020
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If you are just starting your business and you need some inspiration to keep you going, then we’ve got you covered. Here are 101 startup quotes for entrepreneurs. Keep in mind that starting your own business is not simply a sprint, but it’s a marathon!

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Entrepreneurship

How to Create an Empowering Vision Book

  • Post author By James Duffy
  • Post date February 2, 2020
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You have your own unique goals in life. In fact, your brain tries to draw images about the statements that you provide to your subconscious mind. When these statements and images matched your goals, then there is a possibility that you can accomplish them!

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Entrepreneurship

25 Great Statistics on Employee Recognition

  • Post author By James Duffy
  • Post date February 2, 2020
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In today’s world, where there is constant competition for talents, companies are looking for ways to entice and retain their best employees while improving their growth and productivity. They could offer perks or improve their workplace. Organizations keep on finding new concepts and strategies, however, they failed to notice that the easiest approach is employee recognition.

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Entrepreneurship

53 million Americans are freelancing, new survey finds

  • Post author By James Duffy
  • Post date January 10, 2020
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Nowadays, it seems that most people are turning into freelancing. according to the latest survey administered by Edelman Berland, there are over 53 million Americans who are working as freelancers. The survey of “Freelancing in America: A National Survey of the New Workforce,” approved by Freelancers Union and Elance-oDesk, only proves that freelancing is the new standard. The number of freelancers accounts for 34% of the whole workforce.

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Entrepreneurship

10 Big Companies That Promote Employee Meditation

  • Post author By James Duffy
  • Post date January 2, 2020
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It is undeniable that work can sometimes be stressful. Nowadays, companies are not only concentrating on their tax returns bottom line but also on improving their productivity. This is why workers are now having a lot of responsibilities.

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Entrepreneurship

Workplace Strategies That Enhance Human Performance, Health and Wellness

  • Post author By James Duffy
  • Post date January 2, 2020
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Improving the performance of employees is the main goal of clever organizations. In companies where most of the work involves knowledge, the employees are the driving force that keeps the organization growing, transforming, developing and innovating.

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Entrepreneurship

Color Psychology – How Does Colour Affect Us

  • Post author By James Duffy
  • Post date December 26, 2019
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Sometimes the way we look at colors will greatly depend on our personal and cultural connections. Colors can either be warm or cool based on our constant associations. Every color has its own distinct association. For instance, red, yellow, and orange are commonly linked to the warmth of fire and sunlight. While green, blue, and violet represent the calmness of the sea, leaves, and sky. It seems that people are more drawn to warm colors rather than cool colors. However, vibrant cool colors have the tendency to overpower light and subtle warm colors. Using cool colors for the background and warm colors for the foreground can greatly help in improving the perception of depth.

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Entrepreneurship

10 Things to Outsource to a Virtual Assistant

  • Post author By James Duffy
  • Post date October 29, 2019
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If you are running a business, then you have several tasks that need to be done. But the sad thing is, you don’t have enough time to do everything by yourself. As an entrepreneur, you have to market your products, grow your sales, be competitive, pay your taxes, create an effective internal system, etc. But you should not put all the weight on your shoulders.

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Entrepreneurship

How to Start a Business With (Almost) No Money

  • Post author By James Duffy
  • Post date October 21, 2019
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If you want to improve your finances, then why not start your own business. This can provide you additional income in case you are having difficulty paying your bills. You are planning to start your own business. The fact is you already have an idea of what type of business you want to get into. You are also aware of the potential risks that you will be facing. It is important to understand that it will take some time before your business can generate revenue. There might be a need for you to quit your current job if you go fulltime on your business.

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Marketing

The Psychology of Color in Marketing and Branding

  • Post author By James Duffy
  • Post date June 22, 2019
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Most retailers and marketers (and us online accountant team) must have known by now that marketing is an art of persuasion. There are various factors that can influence people’s purchasing decision. But the most obvious one is the visual appearance. When shoppers walk into a store, they will immediately notice the placement or arrangement of the products as well as the coordination of the colors. If you are trying to market new products, then it is important to consider the influence of colors on people’s buying decision.

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Entrepreneurship

Study Backs Up Strategy for Achieving Goals

  • Post author By James Duffy
  • Post date June 2, 2019
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Each one of us has our own set of goals. It can be pertaining to your work, studies, or life in general. Most people have straightforward goals. Since they are inspired by these goals, they want to start out right away. But after several weeks, they started to wonder what made them got off the track? What went wrong?

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Marketing

Free Social Media Tools 2019

  • Post author By James Duffy
  • Post date June 2, 2019
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In today’s modern world, your marketing plan would not be a success if you don’t incorporate a reliable social media strategy. You need to recognize the best course of action so you will be able to achieve your marketing goals. There are a lot of social media platforms that you can use, such as Facebook, Instagram, LinkedIn, Twitter, and others. However, it is not necessary that you should have an account on every single one of them.

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Entrepreneurship

10 Ways to Grow Your Business

  • Post author By James Duffy
  • Post date May 27, 2019
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Before you started your business, you did a lot of research to make sure that it can be successful. You obtain some important information from different sources such as magazines and books. You also ask for help from the experts. Aside from investing your money on your business, you also invested most of your time and sweat equity on it. Now, it is finally operating, so what’s next?

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Entrepreneurship

Ten Ways to Build a brand for Your Business

Ten Ways to Build a brand for Your Business
  • Post author By James Duffy
  • Post date May 18, 2019
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Brands matter to consumers. They prefer to buy from a brand with high reputation. Let me give you an example. Imagine you are in the market for a new smartphone. Which do you prefer better, specification and pricing aside, an unknown brand or Apple or Samsung? Of course, there’s no way you are going to choose that unknown brand. Consumers are more compelled to buy from well-built brands than others. Due to this reason, brand building is important and is critical. It can make consumers buy your products or buy it elsewhere. However, brand building is a very complex task. Don’t worry, we got your back! Here are ten helpful ways to build a brand for your business.

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Entrepreneurship

The Power of The Tipping Point

The Power of The Tipping Point
  • Post author By James Duffy
  • Post date May 15, 2019
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How did an out-of-fashion shoes sell more than 430,000 pairs from 30,000 pairs in just 2 years? Why did crime rates in New York suddenly plummet in the 90’s? Why do some ideas go viral, while others don’t? How come some movies become box office hits, and others don’t? Malcolm Gladwell’s The Tipping Point tries to answer all of that.

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Marketing

30 Mobile Marketing Stats You Need to Know

  • Post author By James Duffy
  • Post date May 5, 2019
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Have you seen any ads on your social media or YouTube video on your phone? Obviously, we all do.  Mobile ads can be seen anywhere and most of all, you can earn some money from them! The growth in the smartphone industry has provided more opportunities for digital marketing.

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Customer Relationship Management (CRM)

Ultimate Customer Loyalty Statistics 2022

Ultimate Customer Loyalty Statistics 2019
  • Post author By James Duffy
  • Post date April 27, 2019
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Customer loyalty is important in today’s business model. Companies are spending more money on customer loyalty than ever before. Loyal customers is the lifeblood of today’s businesses (particularly small businesses.) Not only loyal customers stick to your business and buy more of your products and services, they can also refer your business to peers and generate more leads.

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Marketing

The 4 Key Content Metrics

The 4 Key Content Metrics
  • Post author By James Duffy
  • Post date April 1, 2019
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What is ‘content?’ Content is anything users consume and can take many forms. A decade ago, written articles or blog posts are the content of the internet. However, it has already changed. Nowadays, contents take the form of Facebook posts, Twitter tweets, Instagram photos or videos, YouTube videos etc. Don’t get me wrong, incredibly written articles and blog posts continue to be popular. But, I would rather watch a 10-minute smartphone review than reading a review about it.

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Business Tools and Process Automation

Mobile Cart Abandonment Study

Mobile Cart Abandonment Study
  • Post author By James Duffy
  • Post date March 27, 2019
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The E-commerce sector, including mobile shopping, has been growing rapidly in an unprecedented rate across the globe. Mobile shopping, or the purchase of goods or services using a mobile device, is very popular among online shoppers. Online consumer spending is amounted at a 2.3 TRILLION US DOLLARS in the year 2017 alone. Statistics also project that it will double to 4.8 trillion US dollars by 2021.

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Marketing

Customers Attention Getting More Difficult to Grab

  • Post author By James Duffy
  • Post date March 7, 2019
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As a business owner, you must learn how to attract potential customers. Even if you already have customers, you must continue to attract more. Perhaps you might think that this is just an easy job. However, it takes more efforts. You need to sell your product or service by attracting customers. Unfortunately, this is difficult to achieve since consumers are exposed to numerous advertisements each day.

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Marketing

Top Ten Tips for Digital Fitness Marketing

  • Post author By James Duffy
  • Post date March 5, 2019
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The digital age we live in provides such a wealth of options for keeping your business connected, and there are many options for marketing your gym that utilise these digital opportunities.

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Accountancy Software

Invoicing with Xero

  • Post author By James Duffy
  • Post date March 4, 2019
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When it comes it issuing customer invoices, Xero have done the hard work to make your life easier. From your Xero account, you can quickly and efficiently issue invoices, saving you valuable time and getting your paperwork digitalised and in meticulous order.

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Entrepreneurship

Body languages secrets to put you on the road to success

  • Post author By James Duffy
  • Post date February 26, 2019
  • No Comments on Body languages secrets to put you on the road to success

So you want to get your feet under the table in the room where it all happens? The right kind of body language can help you achieve this goal. Whether you have your sights set on a pay rise, promotion, or a new business deal, there are a number of body language tips that can help you project yourself and achieve your goals.

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Marketing

25 Easy & Effective Real Estate Marketing Ideas

  • Post author By James Duffy
  • Post date February 19, 2019
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The housing market has experienced some ups and downs over the last decade, and estate agents have had to endure fierce competition throughout the market peaks and troughs.

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Marketing

Why Your Business Needs to Use Instagram Infographics 2019

Why Your Business Needs to Use Instagram Infographics 2019
  • Post author By James Duffy
  • Post date February 17, 2019
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Instagram’s user base is massive and has been increasing since. Most businesses are already integrating Instagram with their marketing strategy. Whether you are already using Instagram or not, this infographics will help you better understand the social media platform. The time to jump into the ‘gram is now!

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Marketing

Instagram Best For Social Engagement

  • Post author By James Duffy
  • Post date February 2, 2019
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Oftentimes, there is lesser engagement from users when it comes to branded social content. This conclusion is based on a study of over 3 million interactions from people who have viewed over 2,500 brand posts on different social networks.

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Marketing

4 Ways to Build a Foundation for Marketing

  • Post author By James Duffy
  • Post date February 1, 2019
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There is no single way to market a business. A company can utilise mainly traditional marketing methods like print advertising, radio and television, and direct mail. Likewise, a company’s priorities could lean more toward online marketing. This would involve things like social media and content marketing. Combination strategies are also possible.

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Accountancy Software

How to Use Xero’s Cash Coding Tool

  • Post author By James Duffy
  • Post date January 25, 2019
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Accountants and bookkeepers using the Xero platform have access to an invaluable tool for managing and categorising bank transactions. It is called ‘cash coding’. The cash coding tool is a streamlined, easy-to-use tool that combines a number of useful functions in a single space that is both intuitive and efficient.

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Business Funding

SME Business Funding: Perception vs Reality

  • Post author By James Duffy
  • Post date January 17, 2019
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A decade after the global financial crisis shook SMEs to their core, businesses are finally emerging from a more conservative approach to business funding. They are embracing the risks associated with debt in order to grow and expand. Tens of billions of pounds are now being lent annually as financial institutions are approving eight out of every 10 applications.

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Company News

Undergraduate Competition

undergraduate competition
  • Post author By James Duffy
  • Post date January 12, 2019
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At More Than Accountants, an online accountants, our new approach to growth within accounting is helping businesses throughout the UK  reach their full potential by taking many of the mundane tasks of accountancy off them. We are the only online accountant to offer monthly bookkeeping and monthly management accounts as standard and this would not be possible without the use of online software such as Xero and our custom built systems that run alongside.

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Marketing

Why 8% of Sales People Get 80% of the Sales

  • Post author By James Duffy
  • Post date January 11, 2019
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As a online accountantancy company, we had to dig into this one. Understanding and studying consumer behavior can eventually convert to sales. However, most salespersons cannot convert sales, only just a few can. You scratch your head and ask yourself why. This is because there is an idea that ONLY 8% of sales people get 80% of the sales. Written in this article are the reasons why this is true, mistakes you should prevent to commit, and things you can do to make it in that 8% bracket.

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Business Tools and Process Automation

The $300 Million Button

  • Post author By James Duffy
  • Post date January 7, 2019
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One of the most trending topics in product development is knowing the best methods for user experience (UX). However, despite the fact that most industries have already recognized the importance of user experience, there are still some businesses which are having some budget issues. Some people think that there is no connection between UX and profit. They disregard the importance of user experience, most especially if they have a limited budget for development. But what if your customers have to go through a lot of things before they can complete their purchase? You could have made some sales if only the process is much simpler. Right?

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Marketing

7 Ways to Market a Car Dealership

  • Post author By James Duffy
  • Post date January 6, 2019
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You run a car dealership in a city with plenty of competition. All of the marketing experts you talk to tell you the same things: get on social media, send out e-mails, do a monthly newsletter, and make your website responsive. But is that all there is? Not by a long shot.

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Marketing

Marketing and Tracking Your Retail Business in 5 Easy Steps

  • Post author By James Duffy
  • Post date December 21, 2018
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Traditional retail has not died under the shadow of e-commerce, it has merely shifted gears. If you need evidence that retail is still alive, pay a visit to London and walk down any busy commercial street. You will not find a shortage of retail stores advertising everything from consumer goods to cheap meals.

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Entrepreneurship

Top 12 Tips for New Entrepreneurs

  • Post author By James Duffy
  • Post date December 18, 2018
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Entrepreneurship is not for the faint of heart. If you are new to the entrepreneurial world, be prepared for a road that will not always be easy. Be willing to learn from others who have gone before you, too. Their examples and advice could prove invaluable on your journey.

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Entrepreneurship

Malcolm Gladwell’s 10000 Hours Rule Explained

Malcolm Gladwell’s 10000 Hours Rule
  • Post author By James Duffy
  • Post date December 15, 2018
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As a team of online accountants, we thought we would explain this! The 10,000-hour rule is a popular ideology that when you put 10,000 hours practising deliberately on an activity you can master it. It is a magical number introduced by K. Anders Ericsson, a psychologist (and later on, popularized by Malcolm Gladwell in his book entitled ‘Outliers’), the 10,000-hour rule argues that anyone can be an expert of various fields by allotting thousands of hours to become successful in it.

Gladwell called successful individuals, whose achievements are out of the normal, as the “Outliers’.

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Marketing

Why Referral Marketing Works

Referral Marketing
  • Post author By James Duffy
  • Post date November 5, 2018
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Any form of marketing can be expensive and even time-consuming. However, it doesn’t need to be that way – enter Referral Marketing. Referral Marketing is simply an advertising through the word of mouths of satisfied customers. These satisfied customers will give their seal of recommendation after availing a product/service to friends, family members, colleagues etc. Why and how does it work?

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Entrepreneurship

Top 10 Qualities That Make A Great Leader

  • Post author By James Duffy
  • Post date October 25, 2018
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Every business starts with a business idea. We all know it.

However, not every business idea out there gets properly executed and eventually transforms into a sustainable business. When not executed in the right manner even the best of business ideas is likely to be doomed to failure.

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Marketing

18 Great Ways to Market a Restaurant without Going Broke

  • Post author By James Duffy
  • Post date September 17, 2018
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The restaurant business is one of the most competitive around. You really have to be on your toes to stay ahead of the competition while at the same time trying to attract new people to sit in your tables. As such, marketing is critical. Effective marketing will bring new customers in the door. Then it is up to the staff to create a memorable experience that will keep those customers coming back.

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Entrepreneurship

Secrets to Business Success: Less Magic and More Attitude

  • Post author By James Duffy
  • Post date September 10, 2018
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So, you really feel driven to launch your own start-up. You think you have this great idea you can turn into a successful business that could set you up for a lifetime of success. That’s great. The only question is whether you are willing to do whatever it takes to succeed. You see, the secrets to business success are not magic. Your success will depend more on your attitude than anything else you might encounter along the way.

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Marketing

5 Unorthodox Ways to Market Your Niche Business

  • Post author By James Duffy
  • Post date September 7, 2018
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Have you heard the old phrase, “there’s more than one way to skin a cat?” Whether you have or not, the principal certainly applies to marketing. There aren’t just one or two ways to effectively market. There are hundreds of ways to do it. You are limited only by your imagination and budget.

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Marketing

20 Hot Marketing Ideas Proven to Work

  • Post author By James Duffy
  • Post date August 31, 2018
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It’s a given that marketing is a big part of business success. The more frequently and effectively a company markets, the better it is going to do over the long haul. But what if a company doesn’t have an unlimited marketing budget? No worries. There are plenty of affordable and productive marketing strategies out there. Some of the hottest among them are listed below, divided into three categories: local marketing, content marketing, and online strategies.

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Business Funding

6 Ways to Fund Your New Start-Up

  • Post author By James Duffy
  • Post date August 27, 2018
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A great idea is a must-have for any new start-up. But an idea alone isn’t going to cut it. You need funding. Unfortunately, funding is one of the biggest hindrances to people with great start-up ideas. The good news is that there are options. In fact, there are six options that make up the bulk of the funding that goes to new start-ups.

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Entrepreneurship

Startup Failure Rates: 3 out of every 4 Venture-Backed Startups (75%) Eventually Fail

  • Post author By James Duffy
  • Post date August 10, 2018
  • 14 Comments on Startup Failure Rates: 3 out of every 4 Venture-Backed Startups (7514) Eventually Fail

When we see different startups regularly popping up here and there and disrupting their niches or even the whole industries, we rarely think about those that do not make it even close to this point.

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Accountancy Software

Early / Prompt Payment Discount Invoice for Xero (Free Download)

  • Post author By James Duffy
  • Post date May 15, 2018
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Xero are currently implementing a early / prompt payment discount as a feature however until this time we have created a free template you can use via the custom branding themes. This does not help with the accounting it instead provides an invoice that clearly shows the discounted amounts if paid within 7 days.

You can download the template here.

Here are a few points to go with the template:

  • This was initially built for a contractor so only works with 1 line invoices.
  • It is currently setup for the UK however you can easilly switch currency.
  • It is currently set to 7 days early payment discount however you can change this to whatever is needed.
  • The prompt / early discount rate is currently 4.5%. You can change this by right clicking the £0.00 items -> selecting edit field -> selecting formula then editing the 0.045 part of the formula with whatever rate you need. This will need completing for all the discount related fields.
  • VAT is 20% hard coded also so change this where relevant.

Use this as a basis to build your invoice out. Create a custom branding theme and then upload this invoice to the branding theme then test the branding theme on an invoice making changes and reuploading until you are happy. Note that previewing and invoice does not work with custom branding themes so you will have to download a pdf each time you test.


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Entrepreneurship

Why Big Corporations Are Moving Into Coworking Spaces

  • Post author By James Duffy
  • Post date March 29, 2018
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Around 10 years ago coworking spaces began opening up to offer affordable office space solutions to startups and freelancers, but recently much larger tech firms have been jumping in. Over the past year, larger companies are now looking for the benefits of locating in these shared office environments. As a result, big media conglomerates and newly crowned tech giants have been moving employees to coworking and incubator spaces. These spaces are set up so that Fortune 500 tech companies now have better access to innovators, innovations, talent, and reduced real estate costs.

Large corporations are partnering with coworking spaces to support innovation and idea exchanges. Tech giants such as Verizon, IBM and Microsoft are now testing coworking spaces to be near innovative startups. If you are an up-and-coming startup or small business looking to get noticed, there is no better place to make those connections happen.

One trend coming out of coworking spaces, like Galvanize, The Alley and Rise in NYC is integrating incubators into their business development strategies. By offering space and an environment with resources, they are able to cater and retain members who are launching startups. Corporations are forming partnerships with coworking spaces, thereby making it easier for them to stay on top of technological innovations and top talent. They want to keep an ear to the ground when it comes to potential disruptions in their industry, and they need to closely monitor potential acquisition targets. Renting space in coworking spaces can help them check all of the boxes: Attract top talent, monitor competition, and find acquisition targets. Here are a few examples of partnerships in the past couple of years.

In 2016, Barclays, the multinational bank, launched a fintech-focused accelerator space in New York called Rise that partnered with TechStars, which offers three floors of membership coworking space, a 100-seat auditorium and meeting rooms with video and podcast recording facilities.

IBM partnered with coworking operator Galvanize at their recently launched New York office space in West Soho. Furthermore, in March 2017, IBM announced a new curriculum that furthers innovation by tapping into Galvanize’s immersive learning environment called IBM Cognitive Course, which brings AI cognitive skills and data science curriculum to the next generation of machine learning scientists and developers. Then on April 19th, 2017, IBM announced a landmark deal to take an entire WeWork building to house at least 600 employees.

Microsoft also made headlines at the end of 2016 with their decision to give 30 percent of their employees (their sales departments) in New York City access to WeWork locations. Microsoft cited their desire to tap into the startup culture in a more flexible coworking office arrangement. There is a trend happening here. Wework just announced a major acquisition of a New York coding bootcamp called Flatiron School for themselves, which is aimed at helping to facilitate junior developers getting hired by Wework’s corporate members.

Coworking spaces have been moving away from catering only to the startup and small business sector. Thus, companies like Microsoft or IBM have been renting WeWork spaces for their employees and testing more involved partnerships. WeWork now manages the entire building for IBM in Greenwich Village, and it runs Airbnb’s Berlin office as well as Amazon’s Boston office.

These new trends have been fueling Wework’s new aggressive focus toward partnering with enterprise tenants. A spokesperson from WeWork cites a 90 percent growth rate in the number of enterprise corporation clients between June 2016 and June 2017, with a 360 percent increase of remote worker members from enterprise companies.  According to Entrepreneur, WeWork is now valued at $20 billion.

Even though Wework is the biggest player in New York City, Jason Saltzman, the founder of collaborative space Alley, projects confidence.

In June 2017, Alley announced a new and unprecedented partnership with Verizon, the world’s leading telecommunications company, which has allowed for Alley to open new locations in New York, Cambridge and Washington, D.C. The deal, dubbed “Alley powered by Verizon”, is more than a just a revenue sharing real estate deal, Verizon executives hope to benefit from a different kind of networking.

“To us, the real value is what we get by bringing entrepreneurs into the building and having them meet our folks,” said John Vazquez, senior vice president and head of global real estate at Verizon. “We realize that things will be invented outside of Verizon and we want to be a part of that.”

With this partnership, Alley is attracting a growing number of corporations in addition to earlier stage startups. “A few years ago, many multinational corporations would not consider renting part of a coworking space, but what a difference a couple of years make,” Saltzman said. “As I see it on the ground, coworking is the fastest growing asset class and it is here to stay.”

Many companies “put a premium on the flexibility and pay-as-you-grow nature of coworking,” he added.

Saltzman attributed three growth drivers behind the coworking sector’s fast expansion: continued growth of start-up culture, a more flexible globalized workforce being fueled by technology, and the millennial generation. That cohort, Saltzman said, is embracing and demanding facets of the sharing and experience economy.

The growth is likely to continue to change the landscape of office real estate.

“There will be different offerings and brands to suit the various segments in the markets,” he said. “Similarly, commercial building owners will become more educated and conscientious about which coworking brand to align their building with.”

Corporate use of flexible offices is massive and growing.  

A recent Q3 Occupier Survey by the commercial brokerage firm CBRE indicates that 44 percent of corporations are already using some type of flexible open platform office solution. Data from the survey, which tracks and covers leaders of corporate real estate departments for major corporations, found that they expect their usage and demand for flexible office space will continue to increase over the next few years.

Sixty-five percent of the companies expect to use coworking as part of their office portfolio in the Americas by 2020. JLL,  a major brokerage firm, predicts that by 2030 up to 30 percent of all office space will be, in some form, flexible or have an open layout design. The report cited a wide variety of factors for switching to the coworking office space approach, from financial incentives to a need to spur collaboration and innovation.

Over the last several years there has been a steady stream of announcements for new corporate headquarters. In order to improve productivity among millennial employees, Pricewaterhouse Cooper (PwC) recently converted all of their US offices into open layout coworking spaces with no assigned desks. Apple, Google, Facebook, Linkedin, GE, SalesForce, American Airlines and Workday all completed or unveiled plans for new offices.

While the announcement of a new Amazon  headquarters garners much of the attention, the growth of these companies and their appetite for space is also happening far from their home offices. The motivations for creating a widespread workforce range from a desire to be close to key partners, as well as the need to tap into additional talent pools. Fueling company growth in different market locations makes using flexible office space as a useful expansion tool.

Even big companies trying to enter into new markets usually start with relatively small and agile teams. In these scenarios, shared workspaces make sense in order to keep costs under control and the logistics easier. Even as the office scales, a rapid team expansion favors adding space on-demand. Uncertainty around team growth rates can sometimes push companies, such as American Express, Merck and Business Insider, to look for semi-permanent spaces. This would allow them to give their employees the same feel of a fully-stocked, traditional office environment, but without the traditional five to 10-year commercial office leasing commitments.

According to Zoltan Szalas, who is the head partnerships at the coworking app Croissant, “Corporations are recognizing coworking as a viable option for their employees. There are a lot of benefits for a corporation to divest real estate and use a complete end-to-end turnkey solution like WeWork or Knotel.”

Croissant has been seeing demand and building a new product that caters to a different type of corporate worker. They have been targeting the remote and traveling employee segments. Consulting firms like McKinsey & Company have thousands of consultants who travel three or four days a week to client offices. They are essentially building an end to end solution for the remote and traveling employees.

“Croissant helps these traveling consultants on the days when they are not working onsite to replace the lackluster coffee shop experience with flexible curated workspaces, where they hop into private meetings with clients and book a conference room through the app,” Szalas said.

The demand for shared office coworking spaces is surging in the US and around the world, with several mega corporates over this past year deciding to jump into the game.

A number of factors drive the demand for co-working. Telecommuting work keeps growing, and independent workers — contractors, developers, freelancers and the like — make up a bigger part of the of the growing labor force. Corporations are able to see opportunities in the growing coworking space trend. They are able to tap into the local innovation and recruit top talent by partnering with coworking spaces and forming partnerships to provide startups with resources; while at the same time keeping their eyes open to new and potentially disruptive technologies that could either be competitive or useful as an acquisition target.


Categories
Marketing

50+ Ideas to Market Your Hairdressers / Salon

Hairdresser and Salon Marketing
  • Post author By James Duffy
  • Post date August 20, 2017
  • No Comments on 50+ Ideas to Market Your Hairdressers / Salon

Small business success does not rely exclusively on marketing alone, but a strong marketing plan certainly helps attract new customers. It keeps current customers in the loop, too. Marketing is essentially conveying a message to your target audience, a message that invites that audience to do business with you.

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Entrepreneurship

6 Keys to Success in the Modern Business World

Entrepreneur
  • Post author By James Duffy
  • Post date July 25, 2017
  • No Comments on 6 Keys to Success in the Modern Business World

Some of the most basic components of business success have not changed over hundreds of years. Others have. For entrepreneurs, the hardest part is deciding when to embrace an old business principle and when to replace it with something new. An entrepreneur who does it well is one poised for success.

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Business Funding

Things to Know about SME Funding Before Applying

More Than Accountants Business Funding
  • Post author By James Duffy
  • Post date July 25, 2017
  • No Comments on Things to Know about SME Funding Before Applying

UK SMEs rely heavily on financing to address ongoing business development and expansion. Unfortunately, traditional financing has been harder to come by since the start of the financial crash a decade ago. This has given rise to a new stream of alternative financing solutions including peer-to-peer and revenue-based financing.

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Entrepreneurship

Boost Productivity at Work a Study By Texas A&M University Health Science Center School for Public Health

  • Post author By James Duffy
  • Post date January 29, 2017
  • No Comments on Boost Productivity at Work a Study By Texas A&M University Health Science Center School for Public Health

Research shows 46 percent increase in workplace productivity with use of standing desks

Most people have heard the argument that standing desks are good for the body. They can help burn more calories and fight obesity. Standing can even help improve students’ attention and cognitive functioning. Now, new research from the Texas A&M Health Science Center School of Public Health indicates that they may boost productivity in adults as well.

The researchers examined the productivity differences between two groups of call center employees over the course of six months and found that those with stand-capable workstations—those in which the worker could raise or lower the desk to stand or sit as they wished throughout the day—were about 46 percent more productive than those with traditional, seated desk configurations. Productivity was measured by how many successful calls workers completed per hour at work. Based on work related to this study in a previous publication, workers in the stand-capable desks sat for about 1.6 hours less per day than the seated desk workers.

The study was published yesterday in the journal IIE Transactions on Occupational Ergonomics and Human Factors.

“We hope this work will show companies that although there might be some costs involved in providing stand-capable workstations, increased employee productivity over time will more than offset these initial expenses,” said Mark Benden, Ph.D., C.P.E., associate professor at the Texas A&M School of Public Health, director of the Texas A&M Ergonomics Center and member of the Center for Remote Health Technologies and Systems, and one of the authors of the study.

“One interesting result of the study is that the productivity differences between the stand-capable and seated groups were not as large during the first month,” said Gregory Garrett, M.A., a public health doctoral student and a lead author of the study. “Starting with the second month, we began to see larger increases in productivity with the stand-capable groups as they became habituated to their standing desks.”

Thanks for reading, from the More Than Online Accountants Team.

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Kandice Morris
2025-01-30
I cannot recommend More than Accountants highly enough! From the first meeting, I was impressed by their professionalism, knowledge, and dedication to helping clients succeed. They took the time to understand my financial situation and goals, and they provided tailored advice that has significantly impacted my financial health. Their attention to detail is truly commendable. I have always felt confident knowing that my accounts are managed with the utmost precision. Not only did my accountant (Hasrat ) do my taxes promptly, but he also got me a refund!! More than accountants are always available to answer questions and respond quickly, making what could be a stressful process quite manageable. I’m incredibly grateful for their guidance and support, and I look forward to many years of continued collaboration!
Misha Cunningham
Misha Cunningham
2025-01-30
After a bit of a rocky start with this accountants, they now deal with all 4 of my active companies. And, the major contributing factor in this is the excellent care and attention that I receive from Arshiya. I actually insisted that she be kept as my main point of contact in my dealings with More than Accountants and I feel extremely looked after. On another note, their unlimited package is quite expensive, but in my eyes it's worth it as they handle everything, meaning I don't have to worry about anything. Plus, I know if I need anything in the interim it's simply covered in the fees already without needing to fork out extra here and there.
Brian Roache
Brian Roache
2025-01-20
More than accountants have provided an affordable accountancy service to my limited company Reveldrive Limited and dealt with all the formal tax returns and my personal tax. Hasrat has been my contact during the years with them and knows his subject very well.
Henry Dean
Henry Dean
2025-01-13
Wonderful, friendly and talented accountants. They make running my limited company a breeze. I can always rely on them to respond straight away. My accountant Aqsa is a star!
James Brennan
James Brennan
2025-01-13
Waleed, Arshiya and the rest of the team at More Than have been handling our accounts & carrying out payroll duties since March 2024. Since then they have provided the very best service possible, every task they have carried out for the company has been totally faultless and stress free. The attention to detail in assisting the company in the best way possible is highly appreciated and we would recommend them to all companies seeking a professional accountant company
Jade Moon
Jade Moon
2025-01-03
Great accountancy firm. The team are super responsive, nothing is too much trouble and they support small business owners really well.
Cedric PISTOL
Cedric PISTOL
2024-12-31
Very pleased with the support provided by Atif Mahmood & Abdul Moiz, thank you for your patience and your prompt actions!
Stephen Bond
Stephen Bond
2024-12-24
Highly recommended, Waleed is so personal and helpful in all questions asked we started 2 years ago with MTA and together improving year on year.

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