Traditionally accountancy has worked in a very reactive fashion where the client would bring the paperwork into the accounts 8 months after the year end and then a month later, just before the submission deadlines that accountant would present the client with their accounts, the tax bill and finally their bill for the time it has taken to produce this information.
Let’s take a minute to look at what you are paying for there, of course, you are covering what is required for HMRC and Companies House but what use is this information to you and your business? I will give you a hint, at the point of submission this information could be as much as 21 months out of date, ie the start of your accounting year (12 months) plus the allowed time for submission (9 months). Can you really run a business using information that is nearly 2 years old? Essentially the information that is provided by traditional accountants is not worth the paper that it is printed on. Yes, they will save you from receiving penalties for late submission but they will not help you move your business forward or plan for the future.
Of course, there is a better way! More forward-thinking accountants are jumping on the cloud accounting revolution, they aren’t afraid of the technology but rather they are embracing it and the advantages that it brings! Real-time information on how your business is working, the business that you run to put food on your table. There is no waiting 9 months after your yearend to be told how well or in some cases how badly your business is doing. You can have up to the minute information on debtors, creditors, bank balances, cashflow and more. All you have to do is embrace it or rather find an accountant that embraces it.
With Making Tax Digitial just around the corner there will be a large number of businesses that will be forced into acting. As of April 2019, VAT registered businesses with a turnover of more than £83k will have to keep their receipts and submit their VAT returns using MTD compliant software or using a third party app to make Excel compliant (bridging software). These changes are not something to be scared of but business owners have a tendency to procrastinate when it comes to anything to do with their accountants, as it is just too difficult, or they are expecting a bill from their accountant, etc………
We want to help you save money on your accounts and want to help you save time on your bookkeeping by making small changes we can ensure that you are MTD compliant whilst enjoying the time saving and the peace of mind that you have the most up to date information at your fingertips. To enable us to do this we have spent time investing in our knowledge of the major cloud accounting packages, we are Platinum Advance Online Quickbooks ProAdvisors and Xero certified agents. We have linked up with ReceiptBank to ensure that your receipts can be stored online and no longer in that plastic bag! Doing your bookkeeping a little and often is what we are working towards.
If you are currently waiting 9 months after the yearend for your tax bill whilst also receiving an accountancy bill at the same time, if you are not enjoying the benefits that cloud accounting can bring you and your business or if you just want a chat to see how we are striving to do things differently, why not book a free consultation at our new Bawtry office?
The work we are doing today is better than the work we did 6 months ago and the work we will be doing in 6 months is better than the work we are doing today!