Accountants For Freelancers & Contractors - More Than Accountants

Freelancer and Contractor Accountants Services Online

Accountancy Services for Contractors

We offer fixed monthly fee online accountancy services for contractors who operate as a sole trader or limited company.

We provide online accountancy services provided for a fixed monthly fee, including services such as company accounts, tax returns, VAT returns, bookkeeping services, payroll services and self assessments with a fresh approach, focussed on service levels and proactive advice.

Spending your time chasing invoices and updating spreadsheets is time consuming. With Xero software and a variety of accountancy solutions, we’ll make keeping track of your accounts and business finances simple so you can focus on your business.
contractor accountants
contractor accountants

Contractor accounting and client service that is among the best in the market

Contractor Accountancy Services we Provide

contractor accountants

Company Accounts

Our expert accountants prepare tax-efficient company accounts for businesses.

contractor accountants

Bookkeeping

Fully managed bookkeeping service allowing you to run your business

contractor accountants

Tax Returns

Accurate, on time corporation tax to Companies House and HMRC.

contractor accountants

Financial Reports

Informative financial reports that help make better business decisions and help us provide proactive tax adivice.

contractor accountants

VAT Returns

Accurate, on time VAT filing to companies house and HMRC

contractor accountants

Payroll

Fully managed end to end payroll service

To get started generate a live and accurate quote online based on your turnover and transactions – quote now.

Frequently Asked Questions

Do contractors need accountants?
Contractors are not required to utilise an accountant, just as clients are not required to use contractors. And for most contractors, paying their accountants is more cost effective than losing a couple of days’ worth of fees per month by doing the accounts themselves.
What are the advantages and disadvantages of contracting through a limited company?
Many contractors work through limited businesses since it is the most tax-efficient way to do business, especially if you are not subject to the IR35 regulations.

Others who don’t want to deal with paperwork, are contracting for a short length of time, or are subject to IR35 may prefer to contract through an umbrella business because it is a “hassle-free” option.

So, what are the benefits and drawbacks of forming a corporation?

Benefits of Limited Liability Companies

  • Working as a contractor for a limited company is more tax effective than working as a contractor for an umbrella company. Limited business contractors generally take a minimal wage (to reduce PAYE and NIC obligations) and withdraw the rest of their earnings as dividends. On corporate dividends, no NICs are due.
  • If you are subject to IR35, the benefits of incorporation are much diminished, although you may still be able to profit from the flat rate VAT scheme and the 5% costs allowance. You’ll need to check with your accountant to see if you’re eligible.
    If you have other business interests and want to project a ‘professional’ image for your company, having a company will be beneficial.
  • If something goes wrong, your personal culpability as a director is restricted, as the name implies. One exception is if the corporation asks you to personally guarantee a bank loan.
  • As a director, you have complete responsibility over the company’s financial and administrative issues.
  • You can divide ownership among a number of people by creating multiple share classes, which can be handy for tax planning, attracting investors (if you diversify your firm), or dividing ownership among a lot of people.
  • Owners of limited companies have more control over their remuneration. You can decide on the best pay and dividend split, as well as when to take money from the corporation.
  • A limited business can be easily sold or handed on to future generations because it is a legal entity in its own right.
    If you sell your firm and have accumulated capital within it (which is rare for the normal contractor), you may be eligible for the Entrepreneurs’ Relief scheme, which allows you to pay only 10% CGT on share sale proceeds if you have owned the shares for a year or longer.

Limited companies have a number of drawbacks.

  • Working through an umbrella company requires less administration than running a business (although typically your accountant will take most of this burden away from you).
  • Company filing fees, accountancy fees, stationery, and one-time legal and administration expenditures are some of the costs connected with starting a business.
  • Your business must file Annual Accounts with HMRC and Companies House each year, as well as a Confirmation Statement (formerly known as the ‘Annual Return’).
  • Even if your accountant does these tasks, as a company director, you are ultimately responsible for ensuring that your accounts are completed appropriately and presented on time.
  • If you provide contract services through a ‘intermediary’ (your limited business), the IR35 legislation may apply to relevant assignments if you have not taken the necessary steps to ensure compliance. Being caught up in IR35 has serious financial ramifications.
  • Someone wanting to take on a short-term contract may not want to go the limited company way.