FEES CHARGED

System
System Posts: 100,537 🤖 Admin 🤖
edited June 9 in General accounting discussion
Hi All,

Just a quicky :lol:

After I have taken my resit :cry: in December for the PTC exam I will be setting up my own Accountancy Business early next year.

Does anyone have any guidance on how to set up a fees structure for clients? Just a bit confused due to different accountacy providers charge different fees.

Has anyone set up on their own recently and had to put a fee structure together?

Comments

  • System
    System Posts: 100,537 🤖 Admin 🤖
    Re:FEES CHARGED

    Hi Ian

    It is very, very difficult to put a set fee structure in place - clients who show you last years accounts are fab - then you can see how much their previous accountant charged and then charge accordingly :lol::lol:

    When you are starting out, it is often very easy to undercharge as you are desparate for the business. As you get more clients it becomes easier - you have a feel for what is/is not acceptable in your locality ie what the local market will bear. You will always get people that complain about your fees - you are better off without them.

    I know this doesnt help you particularly - but it is really a mixture of gut feeling and brass balls :wink:

    Claudia

  • System
    System Posts: 100,537 🤖 Admin 🤖
    Re:FEES CHARGED

    If you want some pounds and pence - I set up just over a year ago and originally worked out a fixed rate based on £15 per hour but for the year. It was then up to me to try and work efficiently to increase the actual rate per hour in reality which helps to edge it up to £20 per hour. Sometimes. Other times it can end up at £10 per hour.

    Now that I am making ends meet I use the same principle basing it on £20 per hour and edging up to £25 (yet still coming down to £10!)

    I am not sure how this compares with others - I tend to look for long term arrangements rather than short term hits. ie I am happy to ride the swings and round abouts rather than wait in the queue.

    Hope this helps
  • System
    System Posts: 100,537 🤖 Admin 🤖
    Re:FEES CHARGED

    Adding to what other people have said..

    I found setting clients up with a monthly standing order from the start to be a good way to get money coming in straight away and also give you the flexibility to charge the right amount when it comes to billing time.

    If the fee goes up above the original quote then at least payments will already have been made and there is only a need to increase the standing order slightly.

    As a guide, I generally get sole-traders set up on £30 per month, partnerships £50 and companies £100.

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