HELP NEEDED RE INSURANCE/LICENCES

alimvpcalimvpc Just JoinedPosts: 12Registered
Hi everyone,

I have a couple questions regarding some self employed work I am soon to be undertaking. I currently do the bookkeeping, accounts, advertising, admin etc for my husband's painting and decorating business. I also do the monthly bookkeeping and annual accounts and gift aid reclaims for a local charity (minimal work - 1 hour a month). I am currently on maternity leave from my job but will be resigning from my position and returning there on a self employed basis. I will be undertaking all of the accounts and payroll function from late October. I am AAT qualified having completed my studies in 2014. I have not paid for any licence or membership since.

My question is what licences/insurances do I need to obtain ready for when I start the self employed work in Oct, or should already have in place? I know I will need to adhere to money laundering regulations and I'm assuming I need to take out professional indemnity insurance, but I am unsure what is compulsory and what is considered just good practice? I will be going back to work for my previous employer on their premises for 12 hours a week and all I've been told is their employers' liability insurance will not cover me. Does this mean I will need to take out public liability insurance as well? I am also wondering if it is compulsory for me to purchase a licence from AAT or if this is only so that I can use the initials after my name. I am not looking to take on any further self employed work for the foreseeable future so I only want to purchase what is actually essential for my current circumstances as they stand from October.

Any help and advice anyone can give would be very much appreciated as I seem to be going round in circles with my google searches :)

Many thanks.

Ali

Comments

  • alimvpcalimvpc Just Joined Posts: 12Registered
    I should probably add to the above that I am not currently an AAT member. I have not paid for any membership since I was a student.
  • hal978hal978 LondonPosts: 182MAAT, AAT Licensed Accountant
    edited August 2018
    When you apply for MAAT, one of the questions are if you are supplying self-employed accountancy services to the public. If you answer yes, your application won't be determined until you obtain a practising licence. The AAT glossary provides the definition for this.

    You also need to register with the ICO under the Data Protection Act.

    Registration for Anti-Money Laundering Supervision should be done as soon as possible. It should take up to 45 days for this to be approved. Some have waited much longer (months!) It also involves a criminal record check.

    As for Professional Indeminty Insurance, this is a must (i.e. AAT require this) for obtaining a practising licence. AAT have a publication on their website which shows their policy (i.e. the minimum cover required).
  • douglasstrouddouglasstroud Posts: 146Registered
    Hi, you do not need a practising licence to offer bookkeeping/accounting services you do though as mentioned above by hal978 need to have AML supervision and be registered with the ICO, as for PII this is not a legal requirement but you would be foolish not to have it in place just in case of a future claim against you.

    Are you sure that when you go back to work for your previous employer you will be classed as S/E and not as a part-time employee?
    Maybe worth doing the HMRC employment status checker just to see and save any problems down the line for both you and the employer
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