As a new business owner, you'll often find yourself juggling numerous roles and tasks-from growing your business, to managing your operations and finances. In addition, you're now required to meet your legal obligations as a limited company director-such as filing the necessary paperwork and accounts on time-or you'll risk being penalised.
Staying on top of all of these tasks can feel overwhelming, and here's where a limited company accountant comes into the picture.
Below, we'll look into:
- What you can expect to pay for limited accounting packages
- Services that are included in the cost
- FAQs relating to choosing a limited company accounting provider
What are accountancy fees for a new limited company?
Accountancy fees for a new limited company can vary to a great extent, depending on the types of services you need, the size of your company and the scale of your activities.
Limited company accountants typically charge a monthly fee; the fees will vary based on what's included in the package, but will likely fall between the range of £65 - £200. Aside from a monthly fee structure, there may be accounting providers that charge an ad-hoc fee or on a service-by-service basis. At Forma, we offer limited company accounting packages that start from £65 per month.
What's included in the monthly fee?
When you're selecting an accounting package, you should check if it contains essential features you'll need. While what's considered essential will vary across businesses, the core services that most limited companies will require are:
- Use of an online accounting software
- Access to a dedicated accountant
- Processing your payroll
- Completing your year-end accounts
- Submitting your corporation tax return
Additional services that you may require include:
- Completing your VAT return
- Filing your confirmation statement
- Completing your self-assessment tax return
- Company formation services
- Providing a business address
- Bookkeeping services
- Personalised advice, such as business reviews or financial health checks
At Forma, we offer three accounting packages to cater to limited companies of varying sizes and needs. Our standard package offers basic features that microbusinesses need, such as access to an accounting software and dedicated accountant.
Our advanced package offers a wider range of services for small business owners who want to spend less time managing their accounts, and require additional help with tasks such as filing their tax return or confirmation statement. And if you're looking for a package that offers a more comprehensive range of features-including quarterly financial health checks and annual business reviews-our premium package may be a good fit for your needs.
FAQs: Choosing a limited company accounting provider
How do I pay my accounting provider?
Depending on your provider, you may be charged on a monthly, quarterly or yearly basis. If you sign up with Forma, you'll be charged on a monthly basis. Once you've confirmed your purchase on our website, we'll send a secure link via email so you can set up a monthly direct debit.
What should my accountant expect from me?
As with any professional you work with, your accountant would expect you to be timely, responsive and transparent-particularly when you're asked to provide information near key tax deadlines. By being timely and responsive, you're giving your accountant everything they need to ensure that you'll meet your tax payments and deadlines.
How do I select the right accounting provider for my limited company?
Ask the right questions
Interviewing prospective accounting providers is an important step in evaluating whether they are a good fit with your company. Here are some questions that can help you make your decision:
- Can you share your thoughts regarding a certain tax deduction?
- Can you provide feedback about my current accounting system and processes?
- What are specific steps you would take to prepare me for the tax season?
- What steps would you take to improve my bottom line?
- Have you worked with businesses in my industry? Are you familiar with the challenges particular to my sector?
- Will I work with multiple accountants, or will I be assigned a dedicated accountant?
- How will you ensure that I don't miss a deadline?
- How do you manage negative customer experiences or complaints? Can you share about a challenging customer incident that you've helped to resolve?
- How accessible will my accountant be? How often will we communicate about tax issues?
Check for hidden charges
Are there hidden fees or extra costs that you might be unaware of? For example, certain providers may impose fees for completing your self assessment or VAT return, or an additional charge if you decide to terminate your plan before a minimum term is up. As such, it's key that you clarify questions you may have before you purchase an accounting package.
Do your research
Make sure you do a thorough check for reviews across different review platforms and social media channels. Beyond online reviews, speak to other business owners within your industry to hear what they have to say about the prospective providers you're evaluating.
Price isn't everything; customer support is key
Bear in mind that price is just one of the factors of consideration when you're assessing potential accounting providers. And given that the pricing charged by leading providers typically do not differ by a large extent, other factors-such as customer service-hold greater importance.
There are several steps you can take to ascertain if an accounting provider offers reliable customer support. Read online reviews across different review platforms, and check the support team can be contacted via a variety of channels, including online forms, email, phone and social media channels. Try sending through a couple of questions to assess the responsiveness of their customer service team, and steer clear from providers that don't indicate their contact details clearly online.
If you need further details on our limited company accounting packages, feel free to reach out to our support team.
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