Am I mad?

Eljay

You all sound very experienced and I would be grateful for any advice.
I am thinking of becoming a member in practice.
I have been a member of the AAT since 1999. Since then I have had three children and now work part time doing book-keeping, management accounts, payroll & VAT, for a small ltd co. I have also done the same, voluntarily, for a local charity and school PTA.
I am thinking of becoming self employed, as a few people have asked me to "do their books" , but am lacking in confidence due to only working part time, and feeling that my knowledge is out of date (especially in tax).
In your experience, do you think I should try to gain experience first, by working in a practice?
Also, do you need to register as a MIP before you take on clients, or when you actually have them?
Thanks for any thoughts:001_rolleyes:

sheelagh

Doing th Books

If you're not sure about the tax, you could offer all the other aspects - bookkeeping, management accounts, payroll, VAT, then consider each client on an individaul basis with regard to whether you are experienced enough to do tax return.
If business owners are asking you to "do the books" they might already have an accountant appointed to complete tax returns.
There are lots of self employed people offering only bookkeeping (me included), and lots of accountants who do final accounts and tax work, but don't take bookkeeping.

There are some very experienced people on this forum, but they are all friendly and helpful so please don't feel intimidated - we can all learn from reading other people's posts.

I have never worked in practice and I sometimes wonder if I would have benefitted from doing so, as much for learning systems as for gaining taxation experience. However, if you do the same for your clients as you do for your employer, you won't go far wrong.

You should register as an MIP when you start self employment. If you have a prospective client it would be worth registering so you have access to the MIP tool kit (including a sample letter of engagement) and PI cover. There is a group scheme for MIPs whose self employed income is less that £5000.

Eljay

Sheelagh, thanks for taking the time to give me your advice, it was very helpful.

mc25

Just try

Eljay, I know how it feels but like Sheelagh you can only offer book keeping services and build it up from there. You will learn as you go along and it sounds as if you have got a good experience. I am just starting and the confidence has been holding me back too but i have decided i will go out there and give it my best shot, there is alot of helpfully people on this forum and if you get stuck I am sure they will be willing to help you where they can. We all have to start somewhere. Good luck

Eljay

Thanks for the support. I am hoping to get the application sent off this week. Good luck to you too! :thumbup: