Advice Needed
husmaz12
Registered Posts: 5 New contributor 🐸
Hi all, i just have a few questions with reference to starting a book-keeping/accounting business.
-Do you have to register the business for tax etc immediately?
-Is it better to be a sole trader or ltd company?
-And what should i expect from any clients? will they just give me some invoices/ orders and expect me to do their accounts up to Profit and Loss/ Balance sheet?
-What is meant by "month end reporting"?
-How much should i charge?
Obviously it is just a developing idea for now so i would be greatful for any advice.
Kind regards
-Do you have to register the business for tax etc immediately?
-Is it better to be a sole trader or ltd company?
-And what should i expect from any clients? will they just give me some invoices/ orders and expect me to do their accounts up to Profit and Loss/ Balance sheet?
-What is meant by "month end reporting"?
-How much should i charge?
Obviously it is just a developing idea for now so i would be greatful for any advice.
Kind regards
0
Comments
-
In response to your questions -
Yes you have to register with HMR&C within 3 months of commencing in business failing which there are penalties
It's entirely up to you if you are a sole trader or a limited company - you still have responsibilities as a director but you may have some degree of protection if you're a limited company. Initially it may be unnecessary if your business is fairly small but if you start to get bigger there may be a case for going the limited route.
What you get from your clients should hopefully be exactly what you ask for - they are required to keep accounting information / documentation in accordance with Revenue requirements - it's up to you as a bookkeeper to guide them as to the information you need to prepare an accurate record of their business transactions and ensure that that meet requirements for HMR&C. In reality clients often do not have all the documentation you require - part of your role is to educate them if you can!
If you're a bookkeeper there may not be a requirement to produce accounts to TB or produce P&L or BS - but if you're providing accountancy services obviously there is a requirement.
Month end reporting are the reports that you print off from your computer or other accounting records and would quite possibly be a TB or P&L / BS to produce management figures or accounts.
Charges depend on the level of your service bookkeeping is approximately £15.00 - £25.00 per hour accounting will be dependant upon the level of your skills.
Remember even for bookkeeping services you need to register with AAT as a MIP and obtain a licence as well as meeting the MIP CPD requirements. Additionally you need to be registered with AAT or HMR&C under the Money Laundering Regulations, have liability insurance and be registered with the Information Commissioner for data protection.
I hope you achieve what you are hoping - good luck for the future.0
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