When you’re running a business, you’ll face loads of financial decisions that aren’t always easy, which is why an accountant can be really helpful. These six frequently asked questions explain some of the key areas in which an accountant may be able to help.
Should the business become a limited company?
A limited company can protect personal assets because it’s legally separate from its owners, but it does bring some additional reporting duties and administrative costs. The right structure depends on things like risk, income and your future plans.
Is VAT registration necessary?
You’ll have to register once your taxable turnover goes above the threshold. Voluntary registration could benefit you if you’re selling mainly to VAT-registered customers.
Is accounting software required?
Some businesses must use compatible software under Making Tax Digital rules. Even if it’s optional, software can really help to improve your record keeping.
Should business and personal banking be separate?
Limited companies must keep their finances distinct, but sole traders aren’t subject to the same rule.
How much does an accountant charge?
Check out some local accountants to see what their fees are. When comparing Swindon accountants, for example, companies like https://www.randall-payne.co.uk/services/accountancy/swindon-accountants can give you an accurate quote for services.
Can bookkeeping be handled without help?
You can maintain your own records, provided you’ve got the time and confidence, but outsourcing could reduce errors and free up working hours.
So, accountants can’t make every decision, but they can definitely help you stay on top of your finances and concentrate on running your business.
