How to get response from your website

Posted by & filed under Members.

Accountancy can be a competitive field and your website is likely to be the first place that prospective clients come across you if you are marketing it correctly.

It needs to act as your shop window. It needs to be welcoming, give a sense of what you’re like to work with, plainly present the information they want and entice action.

Web designer, Dave Smyth, is one half of Scruples Studio and made the stand out and best practice accountancy website for Gold Stag Accounts. We asked Dave what you should be doing to get a response from your website.

Why is having a good website important for accountants?

There are lots of accountancy websites out there so it can be confusing for prospective customers. Often clients won’t necessarily know what they need or the ins and outs of services. A good website will help them by presenting the relevant information in a clear way. If you can do this well it could be the difference between getting an enquiry or not. 

People might be a bit nervous about getting in touch. They are unsure what’s involved in the process, they have no idea of costs, they don’t want to look stupid or might’ve had a previous bad experience. A good website will speak to the audience’s concerns, reducing the number of people that don’t end up getting in touch for arbitrary reasons.

How can you ensure your website entices a response?

The clearer you can make the messaging, the better. If your website is full of loads of text and jargon it’s going to put people off. If you can simply explain things in a way that’s instantly understandable then you will build rapport. This also demonstrates that you care enough to communicate in language that’s easy for the customer to comprehend. Make your navigation as straightforward as possible. Don’t have hundreds of different pages and options – give them a clear journey to take.

Define your services – don’t just have a contact form that says “get in touch if you need an accountant”. Have specific pages for different service packages and give exactly what’s included with really clear prices and calls to action to tell people what to do next. This will remove a lot of barriers to people enquiring. Clients may feel nervous about getting in touch if they have no idea what the costs might be, so at least give an indication.

Know what your core offering is and don’t try to be everything to everybody. Demonstrate that you know your target demographic whether that’s by industry, location, the service you offer or the size of business you’re serving. This will encourage people to get in touch. If they can see themselves in what you’re talking about on your website and think that you understand the nuances of their business then they are more likely to want to use you as their accountant.

What are the top things to consider when creating a brief for your website designer?

It’s ideal if you can answer these questions when building or updating your website.

  1. What is the purpose of the website and what are its goals?
  2. Who is your audience?
  3. How does your audience find you?
  4. How do you service their needs?
  5. How can you refine your offer for the web with streamlined services and price points?
  6. What does success look like for the website? What does failure look like?
  7. Who are your competitors and what do they do well?
  8. What questions are you asked all the time by prospects and clients?
  9. What are your brand guidelines?
  10.  Do you have a copywriter or someone who can write great readable content with short sentences and no jargon?

Why are scruples important when designing a website?

Having scruples when designing a website means taking into consideration how users want to be treated. It will be better for your company’s reputation in the long term, better for customer experience and will probably even be better for the short term performance of your website.

You can choose to make a website that’s fast, inclusive, privacy focused, clear and sustainable which customers will really appreciate. It will be another point of differentiation for people to tell others about and there are direct business benefits, too. For instance, a fast site makes it easier for clients to get in touch and will perform better in search engine results.

In summary

A poor website can turn people off for so many different reasons. Make sure it’s well-designed and has great user experience. Design it for a specific target audience and make sure all your content is appropriate for that niche. You want to make sure you’re attracting the right people. We care about our experiences with other company websites so we need to make sure we’re treating our users with the same degree of care.

Further reading

3 great reasons that demonstrate why university isn’t the only route

Posted by & filed under Career, Students.

In spite of rising levels of debt, university appears to be the destination of choice among parents and teachers of school leavers who are soon set to embark on their next life journey.

Each year thousands of 17 and 18 year olds complete their UCAS applications, which will most likely take them down the path towards whichever university they end up at the following year.

And according to previous research conducted by AAT, school leavers say that two thirds of their teachers were most likely to push them towards the university route, along with 59 per cent of their parents.

How to build a great career with an AAT apprenticeship

Have you considered an apprenticeship as a route to gaining your qualification and getting the skills needed to progress your career? Do you have unanswered questions about how they work, who they are for and what roles that can lead to? Look no further, hear from us, along with Network Rail and Whyfield Accounting Services, to find out the answer to these and many more questions.

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But while university is entirely correct as a post-schooling option for many, it remains just that – an option, among many alternatives that can set you on track for a successful career in your industry of choice.

At AAT we hear about thousands of stories every year of school leavers who have turned down UCAS applications and higher education in favour of apprenticeships or trainee scheme routes – and still getting off to a fantastic start in an accountancy role. Here’s three of them:

There was a belief that you need to go to university to succeed

Ryehan Amir left full time education in 2016, having completed his first year in sixth form college studying A-Levels. Instead, he took up an apprenticeship in the finance team at water treatment firm ESC Global Ltd, based in Doncaster, Yorkshire, studying AAT Accountancy Qualifications. He gets time off to study and his course fees are fully funded by his employer.

“Taking the AAT route meant that I could gain valuable experience from professional people in accountancy,” said Ryehan, now 20.

“The apprenticeship offered me a debt-free way to get qualified, as well as earning a salary whilst learning.

“At the end of my studies I will have a highly respected qualification behind me, teaching me all the qualities needed to be a successful accountant.”

While Amir, who lives in Scunthorpe, was at sixth form he was on the lookout for an apprenticeship position, but found that not everyone was so keen.“My college weren’t able to offer me much support when it came to me searching and applying for an apprenticeship.

“I felt that, in some quarters, there was a belief that to succeed, you need to go to university.”

My learning is immediately put into practice

Ceara Stephenson was studying for AS-Levels in Finance, PE, Maths and Applied Science and considering what she wanted to do next, when she found out about the AAT apprenticeship route into accountancy.

“I realised that I needed AAT qualifications to become an accountant, which is what I wanted to be,” says Stephenson, now 19.

“I took a job at TaxAssist Accountants in June 2017 at the end of my AS-Levels. I am now an Accounts Assistant, earning a salary and talking to different clients, helping them on their individual financial issues and guiding them to the best solution.”

As part of her training, Stephenson, from Batley, Yorkshire, attends college one day every week, studying for AAT’s Professional Diploma in Accounting.

“My employer is great with supporting my training,” she adds.

“Not only do I attend college each week, but I am encouraged onto other training courses throughout the year so I am kept up to date with new developments in accountancy. Other members of staff also offer helpful advice as they all have their AAT qualifications.

“AAT has massively aided my career as I can understand accounting processes more clearly. After learning it at college then it is immediately put into practice, which really helps me to understand.”

How to build a great career with an AAT apprenticeship

Have you considered an apprenticeship as a route to gaining your qualification and getting the skills needed to progress your career? Do you have unanswered questions about how they work, who they are for and what roles that can lead to? Look no further, hear from us, along with Network Rail and Whyfield Accounting Services, to find out the answer to these and many more questions.

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I got some good careers advice at 14 – and never looked back

Tyler Bowers, 22, travels into London each day from his Essex home to Moore Stephens’ office near Barbican, where he works as a trainee accountant in their outsourcing department.

“I always liked the idea of learning and earning,” says Bowers, who is studying AAT’s Advanced and Professional Diplomas in Accounting as part of his apprenticeship programme.

“When I was 14 years old, I attended a careers fair, and an advisor there suggested accountancy. I knew I wanted to avoid the possibility of getting into debt by going into University, and realised I could instead train while being employed by a finance firm.”

“I enjoy the studying and the accessibility of my tutors, who are available whenever I need them,” he adds.

“As an apprentice, I like the opportunity to work in different departments, and I feel like a valuable asset as I can apply my studies directly into my work.”

Pushed down the uni route – in numbers

  • One in five school leavers believe their parents pushed too hard to get them to make a specific decision as to what they should do after school
  • Only one in eight followed the advice of their parents on what they would do next
  • 33% asked their friends for advice; 24% asked their favourite teacher; 22% spoke to a careers adviser
  • 56% of parents told their children they should carry on to university, while one in seven thought they would benefit from taking part in an apprenticeship
  • 58% thought university might cost more than it was worth to their child, with one in four saying a university degree wouldn’t help them get into their career of choice

Business bodies react to AAT’s Accountable campaign for consumer protection

Posted by & filed under Accountable.

Business and professional bodies express their support for AAT’s campaign to require all accountants to be qualified and accountable.

AAT has challenged the Government to go beyond compulsory Private Indemnity Insurance PII as a way to raise standards in accountancy and tax advice.

The root problems of poor performance lie with the one third of unregulated accountants associated with two thirds of problems. AAT advocates that consumers should be protected by requiring all accountants to be subject to an appropriate professional body.

AAT has been shortlisted for the Tolley’s Taxation Awards 2022

AAT has been shortlisted for its “Accountable” campaign to raise standards across the accountancy profession by dealing with the problem of unregulated accountants and tax advisers.

Vote here

This would stop anyone being able to call themselves an accountant without a qualifications. Compulsory membership would mean accountants are:

  • appropriately qualified,
  • undertake regular CPD,
  • hold PII,
  • are subject to the bodies’ disciplinary procedures and
  • sign up to PCRT (professional conduct in relation to tax).

A number of business and professional bodies have reacting to AAT’s Accountable campaign. Here’s what they told us:

The public is unaware accountants may lack a qualification

Gary Ashford, partner, Harbottle & Lewis, vice president, Chartered Institute of Taxation

“If I go see a doctor, I need to know that the doctor is, in fact, a doctor. If you speak to most people in the general public, they have absolutely no knowledge that the accountant down the street is completely unqualified and has now professional indemnity insurance.

“We’ve had the consultation documents that came out last year about raising standards, and one would argue that there’s no doubt one way to raise standards is to make sure everyone’s qualified and operating at least to a minimum standard.”

Consumers need oversight to protect them

George Bull, partner, RSM UK

“The lack of regulation in the tax profession means there is limited or no consumer protection.

“I strongly support the idea that the practice of tax should be regulated.”

Business founders should seek certified accountants

Emma Jones CBE, Founder, Enterprise Nation

“We have seen from supporting over half a million small businesses each year that businesses who access advice grow better and faster than those that don’t. There needs to be a bond of trust between business and adviser and we encourage founders to check that accountants are members of certified and regulated bodies so trust can flourish.

“Excessive regulation is not a good thing, in our view, but it does have a role when it comes to ensuring professional services are delivered in a proper way to businesses who rely on the advice to build their livelihood and create jobs for others.”

Businesses risk inappropriate advice

Philip King, Interim Small Business Commissioner

“If small business owners aren’t aware that people without appropriate qualifications or recognition can operate as an accountant or tax agent, there is an inherent risk that they might get inappropriate advice which might act to the detriment of their business.”

“I always encourage small business owners to seek appropriate expert advice in running their businesses. It’s vital that they do so with confidence knowing that the advice they receive is backed up by relevant qualifications, knowledge and recognition.”

The status quo is rather shocking

John Cullinane, Director of public policy, Chartered Institute of Taxation

“It isn’t really right how it currently is. It must surprise most members of the public and most policymakers when they hear that anybody can go and set themselves up as an accountant or tax adviser. They’d find that slightly shocking.”

Tax advisors should be equivalent with doctors and solicitors

Stephen Herring, former Head of Taxation, Institute of Directors and former Head of Tax, BDO

“You can’t set yourself up as a doctor or solicitor, so why should you be able to set yourself up as a tax adviser if you haven’t got some sort of qualification suitable for the work that you’re doing?

“To the person in the street, it can be very difficult to tell if someone has the appropriate experience or qualification to offer the advice they do.

“I am supportive of requiring tax agents to be members of professional bodies. I’d like to see some alternative qualifications and routes to get qualifications in very focused areas of tax.”

The public needs professionals

Mark Walley, Chief executive, STEP

“I have a deep-seated belief in the value of professional education because I believe that the public needs to know that it is dealing with professionally qualified individuals who are up to date and have committed to the standards and ethics expected of them. Accountability is the key factor to underpin standards – whether by a professional body or a separate regulator.”

The public desires reassurance

Michelle Mullen, executive director for standards, Institute of Chartered Accountants of Scotland

“We certainly believe there is a public desire for individuals providing accountancy services, including tax, to be qualified. That might be through examinations or through experience, and for those individuals to be regulated. That means annual CPD, an obligation to hold professional indemnity insurance and to be subject to a code of ethics.”

“In our response to HMRC’s initial consultation on raising standards in tax, we did favour option E, which I believe is the option AAT favours as well. Which is namely that, in the future, individuals who are providing tax services should be regulated by a professional body. Going back to what AAT is articulating, I think a holistic regulatory framework for all has to remain the long-term ambition.”

AAT has been shortlisted for the Tolley’s Taxation Awards 2022

AAT has been shortlisted for its “Accountable” campaign to raise standards across the accountancy profession by dealing with the problem of unregulated accountants and tax advisers.

Vote here

AAT launches guide to protect consumers from rogue accountants

Posted by & filed under Accountable.

AAT has launched an interactive guide designed to help licensed members explain to consumers the risks of using unregulated accountants.

What You Should Know Before You Appoint An Accountant forms part of the Accountable campaign to raise standards across the profession.

The guide draws consumers’ attention to the lower standards of service and protection and the higher risks of using an unregulated accountant.

It presents many examples of malpractice, incompetence and even dishonesty witnessed by AAT members and shared with us in a recent survey.

Download the guide

Licensed members are encouraged to download the guide and share it through their websites and social media.

The survey, conducted in April, found that 77% of AAT members had witnessed lower standards from unregulated accountants, while 68% said these incidents had affected clients.

The Government is concerned about the level of complaints concerning unregulated accountants and is consulting over whether to make Private Indemnity Insurance compulsory for all advisors to raise standards.

However, insurers say the approach would be unattractive and ineffective.  AAT has deemed the proposal inadequate and advocates compulsory membership of an appropriate professional body – a move supported by 92% of AAT members surveyed.

Compulsory membership would guarantee that all accountants:

  • are properly qualified,
  • undertake regular Continuing Professional Development (CPD),
  • hold Professional Indemnity Insurance (PII),
  • are subject to a formal disciplinary procedure and are
  • signed up to PCRT (Professional Conduct in Relation to Tax5).

Adam Harper, Director of Professional Standards and Policy at AAT, said: 

“Our members have shown us the widespread impact that unregulated accountants can have on small businesses,

“Many small businesses are still on a knife-edge in terms of their viability. Poor advice from an unregulated high street accountant or tax advisor could plunge them into a dire financial situation, potentially leading them to shut their doors altogether.

“We need the Government to take decisive action on this issue now. However, their current proposals that would require unregulated accountants to hold professional indemnity insurance simply do not go far enough. 

“Mandatory membership of a relevant professional body for anyone offering paid-for tax and accountancy services would put accountancy on a par with professions such as nurses, architects and solicitors. This would cut the number of agent-related complaints to HMRC and reduce money laundering and tax evasion issues.

“In the meantime, we would caution small businesses to beware of unregulated paid-for tax advice—download AAT’s interactive guide to see the facts for yourself.

“We advise you to protect your interests by choosing an accountant or tax advisor who is a member of a relevant professional body, such as AAT. Doing so will help reduce the risks of costly financial mistakes that could significantly damage your business, as well as giving you a viable route to raise any concerns if things do go wrong.”

Employing an accountant – consumer guide

What You Should Know Before Employing An Accountant is available free of charge for AAT licensed members to distribute to clients via their websites and social media.

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Slow VAT registrations – how to cut the chances of delay

Posted by & filed under Members.

The high volume of applications for VAT registration numbers continues to cause delays and frustration.

Anyone starting a new business, registering an existing business or taking over an existing business needs to register for VAT. But back in February, HMRC issued a note to several public bodies acknowledging there were some processing delays although 70% of applications were processed within 30 days and the majority of cases within five working days, they said at the time.

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However, accountancy firms and businesses say there is still a three-to-four month backlog in some cases. HMRC says that in some instances, processing delays have been due to common errors on the application forms.

 To help reduce common errors seen on VAT application forms, it advises:

  • Using the online VAT registration service where possible in place of paper forms.
  • Checking that addresses provided on the VAT1 form match the businesses’ principal place of business (PPOB).
  • Checking that the notification of trade classification corresponds to the nature of the business.
  • Correctly identifying the VAT liability.
  • Ensuring a valid signatory for the application is used (e.g. company director, company secretary or other authorised signatory).
  • Ensuring correct dates are used on the application (e.g. effective date of registration should match up to the circumstances outlined in the form).
  • Ensure bank details provided are in the name of the taxable person.

Accountants share their recent experience with VAT registration for new applicants.

Simple VAT applications are taking longer to process than more complex ones

Jacob Graham, business services manager, Prime Accountants Group

At present, the processing speed for new VAT registration is fairly inconsistent. We’ve seen some VAT registrations processed within a week, and others taking over three months. However, we have noticed the more complex cases seem to be processed efficiently, whereas ones we would assume are more simple are actually delayed.

As we file registrations on behalf of our clients, we know many are becoming impatient. Wanting the best for our clients, we often find ourselves having to chase HMRC to ensure it is completed, as a further delay could stall their trading.

As the more simple applications are being held up, we can only assume the team dealing with these is not large enough. However, the fault may not entirely lie with HMRC. The forms can be complex for businesses completing them for the first time and errors are easily made. Therefore while HMRC spend further time investigating these errors, new applications build up.

Next steps: It’s important that businesses check and double check their application forms to ensure there are no errors as this will cause unnecessary processing delays.

Verdict: Simple applications are taking longer to process due to build up of new applications.

Delays could be due to VAT registrations being made prematurely

Kevin Winterburn, director, Sheards Accountancy

Our recent experiences with processing new VAT registrations with HMRC has been relatively speedy, with applications processing within two days or so. We’ve not experienced any delays for our clients, but it does really depend on the type of applications you are submitting. 

For us, when we have a new client who would like to register their brand new business, we always recommend waiting until after the business has completed its first sale. We’ve noticed that if the business is seen as active by HMRC after completing a sale, then the application usually goes through at normal speed. If you try to register a brand new business before it is seen to be active, that can cause significant delays with HMRC. This could be the issue businesses are seeing at this time.

Next steps: Wait until the business has made its first sale before registering for VAT to avoid delays.

Verdict: Brand new business may experience delays with HMRC if they register their business for VAT before they have made their first sale.

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Delays to VAT registrations severely restricts business activity

Andrew Jackson, UK200 Group Tax Panel chair & head of tax at Fiander Tovell


Talking to clients and colleagues, the situation is that anything that can be processed automatically (e.g simple online registrations) can be dealt with fairly promptly, but anything requiring input from HMRC is badly delayed.  This includes international issues and postal applications. For example, one postal application submitted in December wasn’t dealt with until May. And sometimes, telephoning HMRC at 08:59 you’re told the office is closed, yet phone at exactly 09:00 and they’re ‘too busy’ to answer.

A business which hasn’t been given a VAT number is badly hamstrung: it can’t issue final invoices, and for many purposes, a VAT number is proof of being in business.

This pattern can also be seen across other taxes, though it doesn’t work the other way: HMRC often gives taxpayers two weeks or less to respond to a letter, while taking nine months to read their own post.

HMRC simply needs more resources. Digitalisation may make a difference in the long run, but in the short term we need more people doing the job. If HMRC doesn’t turn the wheels, the economy grinds to a halt.

Next steps: Submit applications online rather than via post and check application form to ensure it is all relevant and correct information to reduce HMRC input and therefore delays.

Verdict: HMRC needs more resources including people to help process the number of applications. Otherwise, delays to VAT registrations severely restricts business activities.

How more firms could merge because of Making Tax Digital

Posted by & filed under Making Tax Digital, Members.

The Making Tax Digital (MTD) revolution has emphasised the need for accountants to invest in technology, but worries about the costs involved and ongoing uncertainty is driving merger and acquisition (M&A) activity.

Digital transformation cannot be ignored, but the challenge for established and traditional firms is how to fund it and how to ensure they have the right digital skills internally.

What MTD has done is start the difficult ‘digital’ conversation in many firms, especially among partners close to retirement, that now might be a good time to sell.  For those looking to buy and scale across the UK, it means many practices are ripe for acquisition and keen to talk.

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Buying or checking out?

“People have to decide what is the right solution for their practices,” says Azets’ head of M&A Neil McManus. “Maybe the ongoing investment required becomes a pinch point, or they haven’t started the technology journey yet. For many, the change is so significant that they think about selling.”

Azets has been one of the most acquisition-hungry businesses in recent years. It is continuing to target SME private client-focused local businesses as it grows its brand across the UK and Europe.

“Well-run firms have to decide whether to invest their profits in technology now and then continue to spend to keep up with the technological advances that might be required in three or five years’ time,” says McManus.

One of its most recent buys was the purchase of Roffe Swayne, an accountancy and tax advisory firm based in Godalming, Surrey. An investment in digital technology at the firm is one of the priorities.

Azets also sees M&A as a chance for local practices to expand their service offering.

“The accountancy market is changing and evolving. Digital investment is needed to deliver, for example, compliance services more cost-effectively. Practices must be able to offer local clients more advisory-based services.”

Acquisition targets

So where has Azets set its acquisition sights for the remainder of 2021?  The company admits it is underrepresented in Yorkshire, the South West, the East of England and along the South Coast.

Keith Underwood, managing director at M&A advisors Foulger Underwood, says a lack of succession planning as well as concern over the need to invest in technology is fuelling M&A activity.

“Of course MTD requires investment, but we are also seeing senior partners close to retirement and considering whether to extend leases. Do they have the right people with the right skills to succeed them?” he says. “Today firms need what I call technical accountants, rather than accountants who are enthusiastic about using tech.”

Underwood has identified the growing trend of entrepreneurial accountants who are building businesses from scratch and using software platforms such as QuickBooks, Xero and Iris.

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Power of the brand

The companies that are acquiring have to tread carefully when it comes to introducing their branding at a local level.

They are often entering communities where people have become used to working with a favoured accountant over the years and they value the personal service and reputation. When a takeover happens, there is always the risk some clients will decide to move on.

“After a while you need to assess whether clients are walking and if so why, and where are they going?” says Underwood. “You should be able to manage these situations by putting enough investment behind the new brand to demonstrate to people that they are still getting a good and personal service.”

More to come

Acquisitions do enable accountancy brands to scale, increase their margins and boost their competitive advantage by making the most of operational synergies. With this in mind, Underwood expects to see additional consolidation in the industry and more non-accountancy acquirers that are backed by private equity.

One company certainly noticing an increase in private equity interest is consultancy Deloitte UK.

Director Robert Murray advises corporate and private equity clients and says there has not been much of a slowdown during the COVID-19 pandemic. Many deals have continued, with negotiations conducted via virtual platforms such as Zoom.

“There was a real push from autumn 2020 with many companies that felt isolated during the pandemic opening up conversations about joining a larger group,” he says.

Murray adds that technology and innovation are going to be critical to win in this market and retain clients, which is why so many firms are considering selling up. “The typical partnership model that a lot of firms have does not allow for much free cash to reinvest in the business.”

Challenge

Murray agrees that another reason smaller firms may choose to sell is the challenge they are facing to attract and retain talent.

“Today’s generation no longer look at that traditional partnership model where you stay with one firm for 30 years. They want to move around and have more experience.”

But could we see mergers and acquisitions getting bigger?

“We could see more mergers of mid-tier players,” says Murray. “The top tier accountants have their global footprint and the smaller players have their niches and local relationships. This can squeeze the medium players who need a differentiator.”

In many ways the accountancy sector is mirroring the legal industry. It has the same issues around having to invest in technology, a traditional partnership model and challenges around succession planning.


“Law is probably three to five years ahead of accountancy, but there are very similar dynamics,” says Murray. “M&A drives innovation and investment and, when private equity is involved, it is all about making better businesses. This means investing in technology to offer clients the smarter, more efficient and faster solutions they are demanding.”

Case study – feeling confident

One practice not too concerned about the impact of MTD is online accountancy service for small and micro businesses Mazuma Accountants.

Co-founder Lucy Cohen says that while many customers are happy using apps and cloud storage to manage their accounts, there are many small business owners who are nervous about moving to digital and still require support.

“We need to be innovating and providing services to these customers,” she says. “We also need to be aware of the challenges the no-tech customers may run into and be as knowledgeable and prepared as possible to help them through it.”

She says this attitude is scarce within the industry and that many accountants will look for a way out of this niche market and choose the M&A route. 

“Many people forget that when entering a merger, the partnership must be a good fit, compromises must be made and boundaries must be clearly set, otherwise it’s doomed to fail from the start.”

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Some M&A deals that took place during the pandemic

Source: MarktoMarket Valuations Limited.

Begbies Traynor Group plc buys David Rubin & Partners Ltd

In March 2021 the Begbies Traynor Group made its largest acquisition to date by acquiring David Rubin & Partners which has offices in London and Guernsey.

FRP Advisory Group plc purchases Spectrum Corporate Finance

Buying Spectrum, the largest independent corporate finance and debt advisory firm in the South of England, added to FRP’s service lines in these areas, particularly in mid-market UK transactions.

K3 Capital Group PLC buys Randd UK

K3 Capital Group bought this midlands-based R&D tax credit specialist last summer.

Scottish firm Goldwells expands

Goldwells bought two Moray firms last autumn, Moray Tax Specialists and Chris Banks Bookkeeping. Goldwells now has eight offices in the North Scotland region.

WR Partners acquired Howard Worth Chartered Accountants

In October, WR Partners, headquartered in Shropshire, bought Cheshire-based Howard Worth Chartered Accountants to increase its geographical reach.

There’s still time to join AAT Future Finance 2021 Online

Posted by & filed under Members.

AAT Future Finance is now underway and there’s still time to register for the final live sessions.

A record number of members has registered for AAT Future Finance Conference 2021. This exclusive virtual event for members is now underway. But the good news is the many of the best sessions are yet to come!

Master 2021 challenges and seize new opportunities

The world of accountancy and finance is changing – and the effects of Covid-19 have accelerated that change.

While 2020 may have been a very difficult year for many people, the challenges it presented have also made us think about new opportunities and possibilities and new ways of working.

AAT Future Finance Online is free and exclusively for AAT members. The online conference on 8 to 11 June 2021 gives you free access to over 17 inspiring sessions over three and a half days. You’ll see presentations from industry leading experts, the opportunity for live Q&As and an exciting mixture of live and on-demand content.

Mastering confidence and decision-making

As part of AAT Future Finance 2021, two established finance professionals take you through the practical steps to become a more confident decision maker. (AAT members)

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You can register below to gain fresh inspiration and actionable insights you can apply directly to your work and life.

Register now for the AAT future finance conference. 

What can I expect from the AAT Future Finance 2021 Conference?

The conference is spread of three and a half days of practical learning, success stories and industry trends, and blends online presentations, interactive sessions, and on-demand content that you can watch now or at a later date.

Once you have registered, you can either watch your sessions live or gain access to all the recordings to watch when and where you want. As the three and a half day conference is online, you can build your own programme depending on what you are most interested in, or feel that you need to know more about. You can also re-watch sessions as they will all be recorded.

Day one: Tuesday 8 June 2021

Start the day, and the conference with expert insight from Xero on the new possibilities and opportunities for finance professionals in 2021.

Then find out the latest findings from the Charity Commission and amendments to the Charities SORP (FRS 102), as well as updates on the directions for independent examinations for those working in the charity and not-for-profit sector. This session will also include a practical refresher on all key areas of charity accounting.

A lunchtime session will look at how client expectations are evolving the accounting industry. Head of Practice Enablement at FreeAgent, Kevin Lord, will discuss what the small business boom means for your practice and how the shift in client expectations may renew your passion for supporting small businesses.

Find out how to give your career a boost with step-by-step advice on how you can refresh your perspective and break out of your comfort zone to get the career you want and deserve. Listen to expert predictions on how accountancy practice will evolve over the next decade.

Day two: Wednesday 9 June 2021

Day two begins with a focus on UK GAAP. With a focus on private entities (micro, small and non-small), this session will provide a full update on UK GAAP (FRS 102 and FRS 105). This session is a deep dive into some of the areas causing difficulties for accountants, using worked examples including financial instruments, going concern, tax and fixed assets.

Whether you run your own practice or work in a practice or industry, ensure you’re up to date with the latest developments in financial reporting.

If you want to get up to date with new software developments and learn how automation can improve client relationships the next session will explain how to choose the right accounting software for your business.

After lunch there is an accountant’s guide to payroll in 2021. Catch up on all the latest payroll developments and gain expert insight to overcome this year’s payroll challenges and stay compliant with changing legislation.

The day concludes with an expert panel debate on future trends impacting the public sector.

AAT Future Finance 2021 – available on-demand

Gain fresh inspiration and actionable insights from top industry experts. Register now to watch over 17 sessions for those working in industry, practice, and the public sector.

Watch on demand

Day three: Thursday 10 June 2021

Business sustainability has become particularly important and topic this year, and the day begins with an examination of why finance teams are critical to sustainable business.

A must-attend for all finance professionals, especially those operating or advising at the strategic level, this session will not only help you develop an understanding of reporting standards and business improvement via sustainability, it will also provide tips on the practical steps needed to implement change for your business and clients.

The next session explains the intricacies of financial planning and what it means, including common misconceptions of financial planning and practical takeaways to use in your personal and professional life.

After lunch hear detailed insights on how the Construction Industry Scheme (CIS) works in practice and, using practical case studies, deliver a full review of the tax responsibilities and roles of both the contractor and subcontractor.

The day concludes with an expert panel debate on the anatomy of a modern finance professional, what tools are needed to stay competitive and what opportunities exist to progress from number cruncher to empowered decision-making influencer.

Day four: Friday 11 June 2021

Back by popular demand, join leading tax specialist Michael Steed for his renowned tax clinic. During this session, you’ll get expert advice on the latest taxation issues and insightful solutions to common tax problems, giving you the confidence to effectively advise your clients.

What’s the future for accountants in the tech revolution? That is the question being asked in the next session. The future of the accountancy profession is being revolutionised by advances in digital technology. This session explains how and why digital technology is impacting the accountancy profession. It uses the latest institute research to demonstrate how the skills being demanded from accountants are changing, and the implications for those of us working in the profession.

Essential for every accountant who plans to be working in the profession in ten years’ time, this session provides a crucial first step in identifying how to future-proof your career.

The four-day conference closes with a discussion on Mastering confidence and decision making in finance. Find out how to become a more confident decision maker. Discover where the industry is now, and how it will be moving forward in the future.

Technical top-up: payroll in 2021

Make sure your payroll knowledge is up to scratch after a tumultuous year. This AAT Future Finance 2021 session will guide you through the issues – and it is available free to members.

View on demand

Register now

We never stop learning when it comes to accounting and finance, and this conference is an opportunity to brush up on new skills, hear about new trends in the market and listen to inspirational speakers.

Join us to learn how new technology is changing the way accountants and finance professionals work – and what it means for your career.

With sessions delivered by top industry experts, you’ll learn from the best on multiple topics – all from the comfort of your home.

AAT Future Finance Online is free and exclusively for AAT members. Register now to gain fresh inspiration and actionable insights you can apply directly to your work and life.

Register now for the AAT future finance conference. 

How to start a newsletter and why your business should have one

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An email newsletter is one of the best ways to stay in touch with your audience. You know that it will land in their inbox, and if you can make the content interesting enough, they will open it.

This is unlike social media platforms, where whether your messages appear or not depends on the algorithm (and sometimes your budget). And when using social media for your marketing, you don’t own the data, so even if you grow your following to a large number, you could be building it on quicksand.

Why start a newsletter?

Five good reasons to start a newsletter for yourself or your accountancy business:

  1. Start to grow an audience where you own the data. 
  2. Use it to build relationships and grow your network.
  3. Use your creativity and expertise when writing it.
  4. You’ll be learning new things too.
  5. The content can be repurposed across your other marketing channels.

What should you write your newsletter about?

It’s got to be interesting, helpful or entertaining. It’s your job to make your readers want to open it. Remember that they probably ask you to look after their accounts because they don’t want to deal with them, so make sure you tell them about things they want to know about, not something you think they should know about.

Don’t try and sell things. Use it to grow your reputation as friendly, approachable and a go-to person or business. Ideally, your content should be so good that people want to forward it to other people they know.

Ideas for newsletter content:

  • Local news and events
  • Industry news
  • Key calendar dates for their business
  • Interviews
  • Quick tips
  • How to guides
  • Share your opinion
  • Round up relevant news
  • Take them behind the scenes
  • Give recommendations
  • Talk about trends or research

Sign up for and read other newsletters. What do you like about them and what don’t you? Which ones do you always open and read? Why?

Writing and sending the newsletter

Take a look at the different software platforms available and the cost and functionality of each. There are many free options available depending on how many send-outs you are doing a month and to how many subscribers.

Three of the leading email service providers:

  1. Mailchimp
  2. Substack
  3. ConvertKit

They have off-the-shelf templates you can use, or you may want to get a designer to make a branded template for you.

Decide how often you will send it and write a quick content plan (this can change and develop). Make a commitment in your calendar to set aside time to do it. If you’re in a business, give it to one person to look after and take ownership of, somebody who is good at writing and wants to do it.

If you don’t have a natural writer in the organisation, you can hire a professional copywriter to help you pull it together. If you are writing it yourself, don’t make it overly formal. Write how you speak and get somebody else to proofread it for you.

How to grow your subscribers

First, think about who you want it to be for and focus on writing it for this audience. You’ll need to get each individual’s permission to send marketing emails to them, so work out how you will tell people about the newsletter and how you will get them to opt-in.

  • Have a launch for the newsletter and make a big splash about it when you start. This will help you commit to it too. 
  • Tell people what to expect from the newsletter to give them an incentive to sign up and tell them how frequently they will receive it.
  • Add a sign-up field to your homepage.
  • Share the email content on social media with a link to subscribe.
  • Add a sign-up message to your email signature.
  • Have a share button and a subscribe button on your email newsletter.

The most important thing you need to do is commit to sending it, and you will get better over time as you learn what works and what doesn’t. The content can also be repurposed as a blog for your website or posts for social media. If you write one newsletter a week, you could even have enough content for an ebook within a year. 

Further reading

Starting a new practice after maternity leave

Posted by & filed under Career.

This content is brought to you by Xero.

Ellacott Morris was founded in 2011 when Michelle Morris and her business partner Anjuli Symonds, were inspired to start their own accounting practice after Michelle returned to work from maternity leave.

The two first met when they worked together at another practice, during which Morris provided Symonds with study support while she was a trainee accountant.

Starting her own firm was the logical next step for Morris to take off the back of taking on a few of her own private clients on the side, which built on top of her prior varied practice experience working for several different firms.

Ellacott Morris’s client base is heavily geared towards the construction sector, consisting of both large construction clients and subcontractors.

Empowering home working with Xero Tax

The firm was an early adopter of cloud technology, and is an exclusively Xero based practice for bookkeeping.

However, before joining Xero Tax in late 2019, Ellacott Morris used desktop-based software for accounts production and tax filings.

This restricted the ability of team members, and particularly the two founders, who have seven children between them, to be able to work from home. To file accounts, staff had to physically go into the office to access desktop software stored on a server.

Moving to Xero Tax has allowed the firm to complete all of their processes in the cloud remotely.

“Between us we have seven children. I have three and she has four. There were so many occasions where we had to work from home as the kids were so poorly and things came up like the school holidays. Xero Tax has really helped solve this problem,” says Morris.

Eliminating duplication of data and unnecessary manual entry

One of the main benefits the firm has found from moving to Xero Tax is removing the need to re-enter data from Xero into separate accounts production and tax software.

She points out that every time data is entered into another system, this creates the risk of human error. It can then be incredibly time-consuming to rectify these errors, such as working out why a balance sheet does not balance.

Initially upon adopting Xero Tax the firm still manually entered the fixed asset register when completing corporation tax returns due to this being such an ingrained process within the firm’s workflows. However, when Morris tried pulling in the register directly into the corporation tax return, she was able to see how effective it was first hand.

She says, “Within the last six months we have started using the fixed asset register in Xero. I don’t know why we did not do this earlier? It pulls the assets into Xero Tax, and you can just click to convert them, which is a massive time saver.”

She lists a particular time-saving element as being Xero pulling in the date of when assets were first purchased, making it easy to identify whether they will qualify for annual investment allowance.

Skilling up junior team members

Xero Tax’s ease of use has allowed junior team members at Ellacott Morris to become involved in accounts and tax assignments.

These staff members can take these workflows to review level, with Morriss and Symonds utilising their accounts and tax knowledge to review assignments.

“In most instances, it is the same process for every client. Throughout the practice, we have step by step procedures for everything, so if staff follow this, it only has to be reviewed by somebody at a more senior level. Before we switched to Xero Tax this wasn’t possible, says Morris.

She also highlights Xero’s ease of use and strong design features, making it relatively simple for less experienced colleagues to administer accounts production and tax.

Productivity has been so effective that the firm increased their turnover in 2020 by 29% with three fewer staff members than they had two years ago.

It is now the ambition of Ellacott Morris to use this saved time to provide a fully outsourced finance function to the majority of their clients, whereby they are involved in all processes, such as bookkeeping, personal budgeting and monthly management accounts.

Morris believes that this is a more value-adding service than completing one-off statutory assignments, and has seen first hand how this has enabled clients to prosper and grow.

Join the Xero partner programme.

This content is brought to you by Xero.

VAT deferral scheme: know the deadlines and your options

Posted by & filed under Members.

Businesses need to take essential steps before – and after – the VAT deferral new payment scheme closes

There’s just one month to go before the closure of HMRC’s VAT deferral new payment scheme. That means businesses that deferred VAT payments last year have until just 21 June 2021 to join in order to pay in eight monthly instalments. The online portal, which opened on 23 February, will be closed from this date.

The VAT deferral payment scheme was first announced by Chancellor Rishi Sunak as part of the government’s £350 billion Winter Economy Plan, and aims to help businesses spread the cost of VAT payments over a longer period of time.

According to HMRC, more than half a million UK businesses deferred £34 billion in VAT payments. Businesses could either opt to pay VAT by 21 March or, if they were unable, they could make use of the VAT deferral payment scheme.

Here are the basics of the scheme.

  • Any businesses that previously deferred VAT payments between 20 March and 30 June 2020 is allowed to pay VAT in smaller, more manageable amounts, interest-free,
  • Any businesses that join the scheme by 21 June can pay deferred VAT in eight monthly instalments.

For eligible businesses that, for whatever reason, have been unable to sign up to the online service by the 21 June cut-off date, have been advised to ring the HMRC coronavirus helpline on 0800 024 1222 to join the scheme by telephone. In these circumstances, businesses have until 30 June 2021. This is also the absolute latest cut-off dates businesses can contact HMRC if they need help with paying their VAT.

Businesses should be aware they could be charged a 5% penalty (plus interest) if they do not either:

  • Join the scheme online by 21 June, or
  • Pay in full by 30 June.

We asked accountants what advice they could give to businesses. Here is what they had to say.

Make the most of the scheme now – or face penalties later

Debra Dougal, VAT partner and head of UK VAT advice, Haslers Accountants

Businesses that deferred their VAT payments between 20 March and 30 June have until 21 June 2021 to apply to pay their liability by instalments. The VAT deferral payment scheme opened on 23 February 2021 and applicants that signed up in the first three weeks were able to pay in 11 monthly instalments, whereas those joining between 20 May and 21 June will have eight monthly instalments. Payment in full is required by February 2022, and the first instalment is required to be paid on joining.

Importantly, failure to sign up by 21 June will render businesses liable to settle their full liability by 30 June 2021 and either a 5% penalty or interest on the amount outstanding may be charged.

Next steps: Our advice is therefore to sign up for the scheme and make the first instalment payment. If you are unable to meet a subsequent monthly instalment, contact HMRC at the earliest possible opportunity to discuss alternative debt management arrangements.

If you are unable to make an initial instalment payment of an eighth of your outstanding liability, you should contact HMRC to negotiate a Time to Pay Arrangement without delay. Also important is to note that the deferral payment scheme is not available to businesses with outstanding VAT returns in the previous four years.

Verdict: Sign up before the 21 June deadline and make the first instalment, or businesses will have to pay VAT in full by 30 June.

Contact HMRC if further help is needed, for VAT payments and other tax debts

Jane Stacey, VAT director, Mercer & Hole

The VAT deferral payment scheme gave initial relief for businesses at the beginning of the pandemic. Now that it is ended, businesses need to factor in paying that VAT at a time when the outlook is still uncertain, and many businesses are struggling after more than a year of disrupted trading.

Businesses that cannot pay the deferred VAT in full can join the VAT deferral payment online by 21 June 2021.The repayment scheme allows for the outstanding deferred VAT to be paid in monthly instalments up to March 2022. 

It is worth remembering that entering into this repayment scheme does not prevent you from also entering into arrangements for other tax debts, so if you are struggling to pay further VAT bills, you should call HMRC on 0300 200 3835.

Businesses should also ensure that VAT is not paid earlier than necessary by taking advantage of the new postponed VAT accounting for imports, ensuring you are claiming all input VAT you are entitled to and not bringing forward output VAT by invoicing early.

Next steps: Businesses needing further help to pay should contact HMRC on 0800 024 1222, a dedicated helpline, by 30 June 2021. If there is any amount left outstanding after 30 June 2021, then penalties of 5% may be charged.

Verdict: Ensure VAT is paid on time, but do contact HMRC ASAP if there are payment issues relating to VAT or other tax debts.

Prepare regular cash-flow forecasts to help mitigate impact of repayments later on

Donna Torres, director of small business, Xero 

The VAT deferral payment scheme, and other government support measures, have been supporting SMEs during this uncertain time. However, businesses need to be thinking about the financial impact of paying back deferred payments.

Like with any type of deferral scheme, the main issue in prolonging payments is that it impacts cash flow for the longer term, so businesses need to be preparing for the impact of repayments. Forecasting regularly, factoring in changes to VAT payments to future cash-flow projections and working with an accountant on mapping a payment plan is essential.

Next steps: It’s important to keep your financial records up to date more generally and monitor cash flow more often than usual to avoid any nasty surprises that could impact your ability to repay. Using a cloud accounting platform will help to streamline the process and keep a firm grip on your numbers in real time.

Verdict: Prolonging payments through deferral schemes can impact cash flow in the long term, so businesses should prepare regular forecasts to help mitigate cash-flow impact of repayments later on.

Reduce or remove unnecessary expenses and plan ahead to ensure financial obligations can be met

Scott Craig, partner, VAT, Azets

The VAT deferral payment scheme has provided a welcome cash-flow saving at a time when income was reduced and businesses had competing cash-flow pressures. It has undoubtably meant that some businesses were able to continue to operate and did not face the prospect of closure. That said, not everyone chose to use the scheme, as they were concerned that the deferral could impact on them at a later date.

In order to prepare from a cash-flow/financial perspective, businesses must ensure that they have enough funds to meet all of their financial obligations. They need to be realistic and plan ahead as far as they can. They should ensure that all unnecessary expenses are reduced or removed. They need to ensure they are certain of all income sources. They should undertake VAT housekeeping to ensure that their VAT position is up to date – for example, take advantage of bad debt relief on unpaid sales – but remember that unpaid purchases may result in an additional VAT cost under the same rules. 

Next steps: If your business is struggling to meet the next round of VAT payments after the scheme closes, don’t ignore problems. Contact HMRC and negotiate/agree realistic Time to Pay Arrangements.

Verdict: Businesses must be realistic and plan ahead as much as possible by reducing or removing unnecessary expenses to ensure all financial obligations can be met in the future.