Budget delays IR35 change and boosts apprenticeships

Posted by & filed under Employers, IR35, News, Tax.

Accounting professionals will be relieved that the Budget did not include an immediate extension of controversial IR35 rules governing off-payroll working.

It had been feared that there would be a quick roll-out of IR35 to the private sector, even though  the legislation is not yet working properly in the public sector.

The Chancellor recognised the arguments of AAT and other bodies that private firms need more time to prepare for changes.

However, celebrations will be muted, as the Government resisted calls to reexamine the scheme and will press ahead with the scheme a year later in April 2020.

“With there being no evidence to date that ‘off-payroll’ rules have worked in the public sector last year, it’s clear more work needs to be done to truly define those taxed as employees and those taxed on a self-employed basis, and to allow private sector businesses adequate time to prepare,” said Brian Palmer, AAT Tax Policy Advisor.

Other highlights in the budget include the £900 million of business rates relief for small business, which be a shot in the arm for many clients of accountancy firms.

“The immediate – if temporary – business rates cut for smaller retailers will provide funding that many desperately need. ” said Palmer.

“But we would rather see a fundamental (and essential) review of business rates undertaken in the near future, and in the meantime keep rates frozen across the board so that companies with both a strong high street presence and digital presence aren’t unfairly affected. Reform is desperately needed, but needs to be well thought-through.”

Increased support for apprenticeships is a change that could benefit the accounting and bookkeeping professions. Employers’ contributions towards apprenticeships will be cut from 10% to 5%, at a cost of £695 million.

In AAT’s view this will reduce the burden on employers, but ensure they retain a sufficient financial stake to take their responsibilities seriously.

All in all, the pre-Halloween Budget was measured, rather than inspiring.

“This Halloween-week Budget suggests the Chancellor may be spooked by ongoing Brexit negotiations – notably with the promise of a possible Spring Budget depending on a deal being agreed or not.

“It did, however, suggest the Government had exorcised enough taxes to increase funding for vital public services, as they seek to finally end the austerity which has dominated our financial planning for the past decade.”

How to avoid catching the office cold

Posted by & filed under Students.

It’s that time of year again – as the temperature outside drops, the cold and flu season begins.

How can you stay healthy when everyone around you is coughing and sneezing?

“You can catch a cold or the flu all year round, but it’s more likely to happen during autumn and winter,” says Dr Lisa Anderson at doctors’ online booking platform Doctify.

That’s possibly because we spend more time indoors, in close contact with each other. A study by Yale University School of Medicine also suggests that, as our body temperature falls after exposure to cold air, so does our immune system’s ability to fight off the rhinovirus, one of the viruses that causes the common cold.

The office is an ideal breeding ground for the highly contagious cold and flu viruses. They spread through the air from coughs and sneezes, and when we touch contaminated shared objects and surfaces like door handles, mice and keyboards.

So what can you do to stave off the sniffles? Shun everyone, wear a surgical mask and use tissues to open doors? These won’t help by much. There are better ways to protect yourself, although (and it must be said) there are no guarantees. You may get the cold anyway but, at least, you won’t annoy your co-workers.

Prevention is better than cure (in fact, there is no cure)

While there’s no vaccine to prevent the common cold, you can get a flu jab.

“This is the most effective protection you can take,” Dr Anderson says. “Studies have shown that the flu jab can reduce your chances of catching the flu by up to 50%.”

The NHS guidance says the best time to have the vaccination is in the autumn, from the beginning of October to the end of November, and that it then takes about two weeks to develop the necessary antibodies. Also, because flu strains mutate over time, you need to have a new jab every year.

If you fall into one of the risk categories (you are 65 or over, you have a serious medical condition or you are pregnant), you are eligible for a free flu vaccine on the NHS. Otherwise, the vaccine costs about £20.

Other than that, Dr Anderson says you should avoid touching your eyes or your mouth, which is how viruses get into your body. “Wash your hands more regularly, too,” she says. Most viruses which cause colds and flu only survive on hands for a few minutes to about an hour.

Dr Anderson adds: “If someone sneezes or coughs beside you, take a long breath out – this may keep you from inhaling the germs in the air around you. And drink lots of hot tea with lemon and honey. When you breathe in the steam you stimulate the cilia (the hair follicles in the nose) to push out the germs. Besides, lemon thins the mucus, and honey is antibacterial and antiviral.”

Boost your immunity, too

Dr Anderson recommends you get at least seven hours’ sleep every night and stay off the booze. “Prolonged periods of short nights can disrupt your immune system leaving you less able to fend off bugs. Alcohol affects your sleep quality and, as your body is busy trying to push it out of your blood, your body’s ability to promote normal cell recovery is diminished.”

Eat the recommended servings of fruits and vegetables each day, as well as enough protein (red meat and eggs, or other high-protein foods if you are vegetarian). “Low protein intake can deplete the immune system,” Dr Anderson says.

Exercising regularly can also boosts your immunity. However, Dr Anderson points out: “A gym is a paradise for germs, so always clean any equipment that you use with disinfectant wipes.”

Use those wipes at the office, too (even if you do get a few funny looks), to clean the surfaces or equipment that you share with others. Cold and flu viruses can survive on them for up to 24 hours.

But if you are feeling fluey…

…load up on vitamin C, zinc and selenium.

Dr Sarah Myhill, co-author of The Infection Game, says: “The need for vitamin C increases hugely with any infection, so take it at the first sign of the tingling, sore throat or runny nose. It greatly reduces any viral load in the gut, which ends up there when you cough up and swallow the sticky mucus.”

She recommends taking Vitamin C and zinc lozenges every hour, and a 100-mcgm capsule of selenium up to five times a day. “Vitamin C, zinc and selenium kill viruses, but they must come into direct contact with them in the mouth and ideally before they get further into the body.”

“You may also want to take one teaspoon of Elderberry syrup every hour and chew 800 mg of Berberine (goldenseal) three times a day,” Dr Myhill adds.

But what about something stronger? Antibiotics don’t work against viruses, and while taking paracetamol or ibuprofen will lower your temperature and ease aches and pains, they won’t cure you. Generally, you have to let a cold run its course. “You should rest and keep warm,” says Dr Myhill.

So, should you stay at home when ill?

Yes, in an ideal world, to avoid infecting others. Many of us, however, work through milder colds so we don’t fall behind with our workloads.

But you need to take a better care of yourself if you have the proper flu.

While the common cold and the flu share several symptoms (sore throat, headache, loss of taste and smell, muscle aches and pains, raised temperature), cold symptoms come on gradually, whereas the onset of flu is very sudden.

“Flu symptoms are also stronger and your temperature may reach 38˚C (100˚F) or above,” says Dr Anderson.

She adds: “The flu can make you feel exhausted and weak, so I’d recommend bedrest until your symptoms improve and the fever has subsided.”

Otherwise, you are at a higher risk of developing complications like bronchitis, pneumonia and even heart problems.

Spotting the signs it’s time to take a break

Posted by & filed under Career.

In the 1987 film Wall Street, Gordon Gekko declared that lunch was for wimps.

Fortunately, the idea that working without a break was the only way to succeed is as dated as Gekko’s striped braces. Today, we realise working better – not longer – is important.

However, it is still easy to be overwhelmed by work. Deadlines can mean working long hours, encroaching on your home life. Before you know it, you could be teetering on the edge of a mental health crisis. Poor mental health can be anything from feeling a bit down to having a mental breakdown. But how do you spot the warning signs before they get worse? And what techniques can you use to ensure you keep a balance between your home life and work?

Asking for help

Emma Mamo, head of workplace well-being at charity Mind said: “Around one in four of us will experience a mental health problem in any given year – such as depression, anxiety disorder, bipolar disorder or schizophrenia – and may need extra support at work. Mental health problems can have a wide range of causes and symptoms of vary from person to person, but in general, if you’ve not been feeling your normal self for more than a couple of weeks it’s worth seeking support”.

Don’t think ignoring your problems is good for you –or your employer.

Dr Rosanna Cousins, Associate Professor of Health Psychology at Liverpool Hope University points out: “You have a responsibility to yourself and to your employer to make sure work isn’t overwhelming you to such an extent that you let standards slip. You need to be realistic as to what you can and can’t do before you start. This means: ‘do I have sufficient time for this work?’, and ‘do I have sufficient competence for this work?’

“If you feel overwhelmed, then it’s important that you let your employer know as soon as possible: they have a duty of care and asking for help is not a sign of weakness. They should appreciate it is better to be pre-emptive if your work is going to take a little longer, and provide support if necessary.”

Knowing the signs

Christine Husbands, managing director of RedArc Nurses, which offers nursing services for companies, says there are three main pointers that suggest someone is suffering from mental health problems:

  1. Acting out of character such as being withdrawn, tearful, distracted or having difficulty concentrating;
  2. Sudden or increasingly poor performance in the role;
  3. Arriving late or taking frequent days off.

Other signs, says Katharine Moxham, spokesman for GRiD, the trade body for the group risk industry, include increasing use of alcohol, drugs, caffeine and tobacco as well frequent headaches and backaches. She says that employers can help by “creating an environment where it’s safe to talk about mental health: after all, the best person to say what could help is generally the person who is affected.

“Being flexible can be key: our latest research found a third of employers use flexible working initiatives to manage absence and improve attendance. This approach can be particularly useful for helping people manage their mental health conditions – for example, being allowed to work from home on days when they are struggling”.

 Getting the balance right

It might be against your nature to take breaks or not working from home in the evening. But actually, you could work better – as well as preserving you mental health – by not always working.

Victoria Sharp is the managing director of Avanti Group, a Suffolk-based accountancy and tax advice firm. She is a self-proclaimed workaholic – but she knows how to balance her work life and interests. “I do work long hours – but I absolutely love what I do” she said. “So I might start work at 5am and still be working at 11pm. But the great thing about running your own firm is that you can find the time to fit in other interests”.

For Victoria, those interests include Karate – she’s a 1st Dan black belt. She’s also competed – and won – a boxing match.  Away from sport, she also likes walking her dogs, baking and creative writing. Victoria says that her sporting activities don’t only keep her physically well, but allow her to switch off from work. “I am 100% sure that exercise helps with my work-life balance – and ensures I have good mental health too. You have to make time to get away from work – you owe it to yourself. It’s all part of keeping a balance.”

And breathe…

Catherine Littler, a trainer and consultant for AAT and expert on mindful learning, says that slumping in front of the television isn’t the answer to getting a good work-life balance.

“I am an advocate of active resting” says Catherine. “For example, I am learning to play the piano: you need something which will exercise your mind or body but is not related to work.”

In addition, Catherine and her husband also make sure they go for a walk every morning before starting work and often at lunchtimes too. They also climb mountains and go walking in holidays – one of the attractions being that there’s no phone reception so no calls from work.

“You need to be able to switch off from work” she says. “Not being at work means not working. You shouldn’t get work emails on your own phone – and if you’ve a work mobile, then you should turn it off when you are not working. If you work in an office, don’t take work home with you.”

Criminals are using professionals to ‘clean’ their dirty money

Posted by & filed under Anti-money laundering, News.

Earlier this year, the National Crime Agency suggested that money laundering costs the UK an estimated £24 billion each year, rising to hundreds of billions of pounds when considering the sums being laundered through UK banks annually.  The signs of money-laundering aren’t always obvious, but the impact is wide-ranging.

Money laundered by criminals, who employ a variety of techniques in order to circulate dirty money through regulated bodies unaware of the origins of the proceeds, is big business. This rogue trading enables criminals to improve and expand their operations, transferring financial power to the underworld and ultimately funding socially destructive activities. Money laundering can put people out of work, bring businesses to financial ruin, and even cost lives.

According to the NCA, thousands of employees from the accounting world, along with others in the legal and property sectors, are at daily risk of being targeted by these criminals who use professionals in order to disguise money being laundered through the financial system.

It’s for these reasons that AAT is backing the Government’s Flag It Up campaign, urging our 140,000 members to ‘flag up’ any suspicions they may have about potential ‘dirty’ money. The campaign has been revamped with the strapline ‘Dirty Money. Know the signs, report the crime’, underlining the fact that accountants themselves are liable for prosecution if they ignore the warning signs.

Red flags for accountants to look out for include:

  • whether clients are overly secretive or evasive;
  • if the amount or source of funds seems unusual;
  • if there are odd discrepancies in client transactions or business activities.

If any accountant believes they may be at the slightest risk of being caught up in criminal activity, the campaign urges them to raise a suspicious activity report (SAR), available on the Government’s website, which will help protect them from the reputational risks, fines and prosecution that may result from ignoring potentially harmful activity.

It’s everyone’s responsibility within the industry to get this right – indeed it’s a legal requirement following updated laws on money laundering, introduced in 2017, meaning that companies must ensure their employees are confident in the work they are carrying out in this field. It is therefore essential to conduct the necessary due diligence in order to ensure you’re not doing business with individuals who are trying to cover up the sources of their wealth.

For additional information about the ‘Flag it Up’ campaign, or more advice on how to tackle money laundering, please visit FlagItUp.campaign.gov.uk

The most confusing accounting terms explained

Posted by & filed under Study tips.

One of the things that students often find challenging about starting their AAT studies is the range of terms that they have to become familiar with.

There are two particular issues that you might encounter:

1. Often the same item in an accounting system can have several different names

2. Very different items can have names that sound very similar.

Since some of this terminology is crucial throughout your AAT studies from level 2 to level 4 Gareth John of First Intuition provides an overview of some of the terms that his students seem to find most confusing.

Items with several names

Accounting records

Individual ledger accounts that record increases and decreases in a particular item in the accounts are also called ‘T-accounts’. This is because the capital letter T is a nice visual representation of the shape of a ledger account.

Most things that are described as being an ‘account’, such as the sales account or the cash account, will be one of these individual ledger accounts.

Incidentally, ‘cash’ and ‘bank’ tend to be the same thing; the balance in the business current account. The actual notes and coins held in the office is ‘petty cash’.

The nominal ledger is where all of the individual ledger accounts are gathered and is also sometimes called the ‘main ledger’ or the ‘general ledger’.

The nominal ledger is not really a separate record, it just contains all of the individual T accounts. The nominal ledger is where we use our double entry bookkeeping system, so every transaction will impact on at least two ledger accounts.

Financial statements

At the top of your profit and loss account the first thing you see is the income generated by the business from selling to customers. The various names you sometimes see for this income are ‘revenue’, ‘turnover’ or even ‘sales’.

Elsewhere on the P&L you see ‘costs’ or ‘expenses’ which are deducted from revenue and therefore reduce the profit being generated. Note that the word ‘purchases’ relates to the specific cost of items that you buy with the intention of selling on to customers.

So whilst you can ‘purchase a till’ for your sandwich shop, this is not categorised as a ‘purchase’ in the same way that buying bread, cheese and ham would be.

On the statement of financial position (which is itself sometimes called the balance sheet) there are a few items that go under more than one name:

  • Trade receivables are also referred to as ‘debtors’ and the ‘sales ledger control account (SLCA)’.
  • Trade payables are called ‘creditors’ by some people and the ‘purchase ledger control account (PLCA)’ by others.
  • Inventory is often referred to as ‘stock’ or ‘stores’.

Items that sound very similar

On the sales side of a business there are several records that can be easily confused:

  • As mentioned above, the sales account will be one of the individual ledger accounts that is contained in the nominal ledger. It records the total of the sales income generated by the business in a period. The total of this will feature as revenue on the P&L.
  • The sales ledger control account is the individual ledger account that records the total balance owed to the business by all credit customers. This figure will feature as an asset on the balance sheet.

Both the sales account and the sales ledger control account are contained in the nominal ledger and are therefore part of the double entry bookkeeping system.

  • The sales ledger is a record that sits outside the double entry booking system. It has a similar job to the sales ledger control account in that it looks at the amount owed to the business by credit customers but the big difference is that whilst the control account gives the total of trade receivables as a single figure, the sales ledger lists the individual amounts owed by each customer. If you added up the list of balances on the sales ledger it should (in theory) give the same figure as the total on the sales ledger control account.

A very similar set of terminology is found on the purchases side of the business:

  • As mentioned above, the purchases account will be the individual ledger account that records the total of the purchases expense suffered by the business in a period. The total of this will feature as a cost on the P&L.
  • The purchases ledger control account is the individual ledger account that records the total owed by the business to all credit suppliers. This figure will feature as a liability on the balance sheet.
  • The purchases ledger sits outside the double entry booking system and lists the individual amounts owed to each supplier. If you added up the list of balances on the purchases ledger it should (in theory) give the same figure as the total on the purchase ledger control account.

As with most things in life the more you use these terms in your studies and your workplace the more familiar you will become with them so try to make as much use of them as you can.

Read more on studying effectively;

Browse the full range of AAT study support resources here

Are accountants responsible for data breaches?

Posted by & filed under Financial accounting and reporting, Students.

SMEs are increasingly becoming the target of cyber criminals because of the amount of data they hold, and accountancy practices are no exception.

We look at whether accountants can be held responsible for security breaches of their systems.

If you thought only large organisations like TalkTalk, Equifax, or BA were the target of cyber criminals, think again. Increasingly, smaller firms and SMEs, including accountants, face an onslaught of phishing and cyber-attacks because they are seen as a “gateway” to information and likely to have fewer security barriers.

As a result, accountants need to review their current protection, and think about the sensitivity of the information they hold, and how to keep it safe.

No organisation is safe

Traditionally, it has been big banks and financial services companies who have spent tens of millions of pounds on complex and ever-changing security systems in order to try to keep ahead of the cyber criminals. Organised gangs of computer hackers are constantly trying to break through banking security in order to empty the accounts of customers.

Other organisations, such as the National Health Service, email providers, and retailers also face daily attacks from hackers. As big business works to improve security, the criminals are turning their attention to smaller companies.

Don’t think that because you don’t have large amounts of cash in the company accounts that you will be immune. It’s not just money that criminals are after money.

While stealing cash is their end game, finding and downloading personal information is a very valuable currency that enables them to pull off complex frauds at a later date. The more information they have, the better a picture they can build of the person whose bank account they intend to target.

When hackers broke into credit report agency Equifax and stole the details of 143 customers in the US, they didn’t take any money. Instead, they accessed data such as Social Security numbers, birth dates and addresses. All these are key pieces of information which are useful to a fraudster who wants to penetrate banking security.

Data protection is enshrined in law

In addition, data breaches are now punishable under EU law, and there are hefty fines for non-compliance of new GDPR rules (see below).

David Morrow, director and founder of Fraudfit, says some types of fraud are practised by scraping the internet and creaming off information to create a profile of an individual, which is then sold.

“The more detail you have, the better the profile that can be constructed.” Hacking into the databases of companies might provide additional data which could be used to construct a profile of the person who will be targeted.”

Social media also provides a rich mine of personal information – showing contacts, friends, addresses and birthdays. Make sure you have your privacy settings locked down, and be careful about the kinds of information you post.

SMEs are now a target

Chris Mallett, a cyber and data breach expert with AON, the global insurer, says the government’s most recent study into cyber security breaches showed nearly half of all SMEs have identified a cyber-attack or breach in the last year.

“The cyber risks that face accountancy firms are ever increasing,” he says. “Criminals are increasingly switching focus to SMEs. They recognise that accountancy firms hold significant amounts of data that may not be protected by network security frameworks with multi-million pound budgets.”

Even where the firm itself isn’t the target, criminals often understand that an accountancy firm may be the ‘weakest link in the chain’ when looking to get access to sensitive data.

Social engineering, invoices and CEO fraud

Now that so many of us use social media on a personal basis, our lifestyles and friendship networks are openly viewed across the web. Gaining information and trust by using public information is known as “social engineering” and is a widely-used method in cyber crime.

Interpol says that targeted frauds, which have a high level of sophistication and are aimed at specific companies, often find out details about the financial director, head of the company, and managers and employees who are authorised to handle cash transfers.

“The criminals use this data in order to impersonate the head of company and coerce employees into making an urgent and high-value cash transfer to a designated bank account,” it explains.

Fraud today is no longer exclusive to stealing details, with online criminals becoming increasingly more sophisticated. This includes using malware, affiliate fraud and page-jacking, which are more effective on smaller ecommerce platforms that do not have the same level of security systems as their corporate counterparts.

Brother UK’s senior business manager, Frazer Whitehead, warns that security threats are growing and becoming increasingly sophisticated. “Those firms that hold large volumes of data are especially likely to be at risk, such as accountancy firms and financial services companies,” he says.

“Given the sensitive information handled by many companies – especially in the financial services sector – quality encryption and security need to be of the highest standard and print devices are no exception.  Any cloud-based device is at risk, so endpoint security is essential – protecting every device on the network rather than focusing solely on smartphones, laptops and desktops.”

The problem of human error

Chris Mallett says that an increasing need for flexibility in working practices and a desire to access data ‘on-the-go’ creates additional vulnerabilities.

Human error regularly ranks as a major cause of data breaches, as does the reliance of firms on third party software suppliers presents yet another threat.

“The data breach that hit Sage in 2016 affected around 280 different businesses, with cyber criminals recognising the potential to maximise data stolen through a single cyber-attack,” he says.

Jason Howells, Barracuda MSP Business Director EMEA, says that although mass attacks are common, cyber criminals are increasingly investing more and more time in heavily researched, highly targeted phishing attacks.

“They work because they’re believable: cyber criminals spend a huge amount of time making them look as realistic as possible,” he says.

This might involve posing as a senior member of staff, or even the financial director or CEO of an organisation, and asking a junior member of staff to make an urgent cash transfer or send sensitive documents.

Tricking companies into sending invoice payments to the wrong people costs UK companies about £9 billion a year. Vocalink Analytics, the data insights business of VocaLink, a Mastercard company, says young entrepreneurs are particularly at risk. It found that 55% of business owners in the 18-25 age group have been victims of invoice, mandate or CEO Fraud.

Nearly half of all SMEs have identified a cyber-attack or breach in the last year.

Your data is valuable

Alex Williams, director of cyber security at Daisy Group, an independent provider of IT, communications and cloud to UK businesses and SMEs, warns against underestimates the value of your systems and data.

“It’s the customer data a small business holds which can be gold to cyber criminals,” he says. “Cyber criminals are unlikely to be interested in stealing a window cleaner’s equipment, but they would likely be interested in the security codes the cleaner uses to access a customer’s building.”

Small businesses should opt for IT and technology services that have security built in as standard and use a provider that will ensure updates are implemented promptly on their behalf.

“It would be impossible for a business with limited resource to manually update a firewall at the rate threat vectors change, but by working with the right provider, protection will be updated automatically as new threats emerge,” he says.

“SMEs who once believed they were not big enough to be targeted by cyber criminals have woken up to the real threats they face on a daily basis,” says Jonathan Whitley, director for Northern Europe at WatchGuard Technologies.

“As well as good firewall, every network needs a full arsenal of scanning engines to provide visibility, threat intelligence and protection against spyware and viruses, malicious applications and data leakage – all the way through to ransomware, botnets, advanced persistent threats and zero- day malware.”

The consequences of non-compliance

In addition to protecting your business interests and ensuring your customers trust you, it is essential that you protect your data in order to avoid facing hefty fines.

Tough new rules that govern the way companies collect, store and reuse customer data came into force in May this year.

The rules are known as the General Data Protection Regulation (GDPR) and govern the collection and processing of personal information of individuals within the European Union (EU).

Public bodies and organisations dealing with large amounts of sensitive data must appoint a Data Protection Officer (DPO) who is responsible for protecting data and reporting any breaches. If a company doesn’t follow the rules or doesn’t report a data breach in the allotted time, they will be fined. Fines for breaching GDPR are significant.

While not every processor of information will need to appoint a Data Protection Officer (DPO), it’s important to check whether you need one via the Information Commissioners Officer (ICO). 

The penalty is up to €20 million, or 4% annual global turnover for non-compliance, whichever is higher.

The importance of managers ‘creating space’ for themselves

Posted by & filed under Run your business.

The onset of the digital age, where people are contactable 24 hours a day, and the boundaries between our personal and professional selves have become increasingly blurred through social media, making it more and more difficult to ‘create space’ for ourselves.

Modern life, particularly work, fills space and time indiscriminately and many managers and business owners feel overwhelmed and unable to ‘create space’ to reflect. So argues Derek Draper, leadership consultant and coach, and former aide to Labour spin doctor Peter Mandelson, in his new book ‘Create Space: How to Manage Time, and Find Focus, Productivity and Success.’

Draper says we need to create space to think (make decisions, problem solve, innovate), connect (collaborate, work in a team etc), do (deliver, manage change, mobilise) and be (create a better work-life balance, purpose and personal meaning.)

“Creating space is essential for unlocking performance both at work and elsewhere. Ask yourself: ‘Do I have the energy to think, explore and be curious? And will I be able to connect with others, share and live in the moment?’” Draper says.

“Many of us would not be able to say a clear ‘Yes’ to these questions. We feel we have little or no space to have that chance. Those who do, however, take decisive control over their working lives.”

So how can managers and business owners create space for themselves?

Create space to reflect

One of the first things we need to do, according to Draper, is create the space to reflect.

“To be able to mull things over and test our conclusions is not a luxury – it is essential,” he says. “We need to do this before we make decisions and afterwards, so that we can constantly improve the quality of our thinking. While we feel a pressure to act quickly, to do so short-circuits the time we need to know what to do next. So when you feel you are too busy to sit down and reflect, perhaps that is in fact the precise moment when you should do exactly that.”

Connect with your colleagues

There was a time when hierarchical working structures, where managers ruled their minions and set a clear pecking order, were the norm in most workplaces but these days it’s more about collaborating and connecting with your colleagues.

“To connect with colleagues is a fundamental part of creating better working lives and relationships,” says Draper. “An important means of connection is to share habitually what you have to offer with others and accept what they have to offer you. Otherwise how can any individual or team think good thoughts or complete tasks effectively?”

Take the time to create space for building a relationship with your colleagues and understand them, Draper advises. “There can be longstanding issues getting in the way of our ability to work well with others. If we don’t take the time to understand these, we will end up sabotaging our own success,” he notes.

Take stock of where you are

“Finance and accountancy is a world full of numbers, but sometimes we need to look up and around and find the space to dream,” says Draper. “Too often we fall into things, or keep going out of habit or a lack of imagination. We feel the pressure to produce more, and we don’t make space to sit still, take stock and think, on a deeper level, about what it is that we want from life and how we might achieve it. To do this can free up all sorts of possibilities.”

Unplug and switch off

Draper says the ‘always on’ culture, which is so prevalent in accountancy and finance can damage your well being and productivity. “For anyone with a lot of ambition, the temptation to just keep going and going is strong. But this mentality ignores one crucial fact: we are human beings and we are not designed to be permanently productive,” says Draper.

“The truth is, if you’re waiting for things to slow down before you finally give yourself permission to stop and just be, you’re going to be waiting a very long time. We need to take care of ourselves, and work out who we are, what we want, and what we need, on a basic level, before we can try and master everything else. If we don’t, we run the risk of existing but not living, of feeling lost or overwhelmed.”

Make time to plan

“If we don’t adopt clear goals and have a well worked out plan to realise them, we will limit what we can achieve, no matter how good our business ideas are or how hard we work,” says Draper. “A failure to plan can cause real damage to a business. This is about making our vision – and plans – a reality and actually getting things over the line.”

SEO basics to improve your website

Posted by & filed under Run your business.

SEO stands for ‘search engine optimisation’, which means enhancing your website to appear organically higher in search engine (essentially Google) listings without paying for advertising space.

If you type any search into Google, you are likely to see that the first few results come up with a little box saying ‘Ad’ next to them. These companies are paying for their website to appear on Google’s first page in what is know as ‘pay-per-click’ advertising (PPC), with an average cost of between £1 and £2 a click.

Websites listed without the ‘Ad’ box next to them are organic results that have reached that position on Google purely by their own SEO brilliance.

How can you help your website climb the SEO rankings?

Insights into SEO can get extremely detailed and Google doesn’t ever disclose exactly how it ranks websites, and also changes its rules frequently to prevent people designing websites just to get higher up the search engine.

Google wants to try and rank websites based on the relevance of their content – not because they have used the same keyword on the homepage 100 times (Google will actually now penalise sites for tactics like this).

However, there are many things that can be done that we know that Google likes.

  • Key pages on your website should look to include 1000 words or more of text which include your target keywords and phrases.
  • Keywords and phrases that you want to rank highly for should also appear in your web page titles and URLs.
  • Content on your website should always appear natural (despite including keyword and phrase placements), and the emotional impact of the copy and titles are crucial to keep the reader on the page (for higher ‘time on page’ and ‘session durations’ in Google Analytics).
  • The more visits your site gets, the higher Google will rank it. Drive more people to your website by creating shareable blog posts that you and others can post on social media and send out in email campaigns.
  • Keep your site healthy by regularly updating it and giving all your images titles.
  • Make sure your website is mobile-friendly and that your page loading times are fast.
  • Get the link to your website listed on online directories and other well performing websites. Check the domain authority (a search engine ranking score from 1-100) of your website and of partner sites (to see if it’s worth listing on them) using this free domain authority checker tool.

How to find your target keywords

“By giving your website some regular TLC you can increase your rankings and drive more traffic. Choose your keywords carefully to attract the right target audience and then create content like blogs, articles and videos around those keywords.” Sally Preed, e-Commerce Consultant.

The keywords that you are aiming to appear higher on Google for should be as relevant as possible to your website and what you do.

Think about what people would search for if they were looking for a product or service like yours. If you offer a service then including your location in your keywords is probably a good idea.

Your target keywords should be as specific to you as possible as it’s better to get a low number of searches but a high conversion rate than it is a high number of searches with no conversion.

Example keywords that are too generic (too much competition)

‘accountant’ , ‘accountant london’, ‘UK accountant’, ‘tax accountant’

Good example keywords

‘tax accountant Wandsworth’, ‘certified accountant south west london’

Use the Google Keyword Tool to find keywords and see what people are searching for in what volumes, and how much competition there is. Become the authority within your niche by creating great blogs, articles and video content that include your keywords like ‘top tips for finding a good tax accountant’.

Track how your website is doing

There’s no point trying to improve your SEO rankings if you don’t track whether or not your efforts are working.

As well as keeping an eye on your overall domain authority score, you can check where you are ranking for different keywords with this search engine results page (SERP) checker.

Type the same keywords into Google to check which of your competitors are appearing higher than you and see what they are doing well on their websites that you could also do or improve on.

How to handle recruitment rejection

Posted by & filed under Career.

It was your dream job, you fulfilled the criteria, you had the experience and qualifications asked for, yet you didn’t get the role.

Now you’re confused or angry or resentful. It’s time to take a step back, find something positive about the experience and move on. Easier said than done?

It’s all part of the tortuous career path many of us follow – and as ever, what doesn’t kill you makes you stronger.

Taking it personally

So you didn’t even get an interview. Or maybe you did get one – and thought you did OK. But the job has gone to someone else. And you’re feeling rotten about yourself. It’s time to dump those negative thoughts.

“The most important thing is that you don’t take rejection personally” says life and careers coach Chris Cooper. “There can be a tendency to tell yourself that you didn’t get a job because you’re ‘not good enough’ and that ‘someone else is always better’.

“Instead, you need to accept that, for the person who interviewed you on that particular day, another candidate came across more strongly and fitted the role better. It wasn’t necessarily because the person who did get the job was better than you.”

Reevaluate the process

If you’re worrying about why you didn’t get the job, it could be worth looking at all the elements of the recruitment process, notes Cooper.  Perhaps your CV could do with rejigging? Or maybe your interviewing technique needs work.

“Many of us get nervous when we are interviewed” Cooper adds. “If you feel you come across in a way which doesn’t reflect your personality and skills, then you could work on this with a coach.”

Chris says, “working in a variety of roles in four very different industries… it is my own personal journey navigating the jobs market, developing new skills and overcoming many challenges that inspired me to become a coach, so I can help other people do the same.”

Positive evaluation

Tom Howe of recruitment experts, The Jefferson Group says, it’s important to focus on the positives.

“You may not have been offered the job, but then move on – because next time you may well find yourself the proud owner of your perfect job. The most important thing is to stay positive and never give up.”

You should remember what you’ve already achieved, he adds: “You may not have been offered the job, but you did well nonetheless. Not only did you beat the competition to get to the interview stage, you also performed to the best of your ability. And that in itself is something you should be proud of.”

Getting feedback about your performance

It takes courage, but it can be a good idea to ask why you didn’t get a job.

“Ask for feedback. These days most employers will be willing to share how you performed at interview. Try not to look at this as a failure: treat it as a learning opportunity. This information can help you improve your performance next time” Cooper adds.

And if you’ve failed in getting a promotion at your current employer, asking for feedback can show just how committed you are to your career – and it might help you if you apply for future roles at the company. Don’t be confrontational when you ask for feedback: make sure it’s understood that you aren’t challenging their decision not to hire you but want to learn from the experience.

Don’t be resentful

If you went for a promotion at your current employer and didn’t get it, it can be hard not to feel resentful towards the person who did get the job. But you need to move on and banish such thoughts.

“It’s important to remember that it’s not the fault of the person who did get the job that you weren’t successful” says Cooper.

“If you give in to negative, resentful feelings towards them it is not going to help you in the future. It will only make being at work unpleasant and harder for you and the people you work with. Again, it’s all about not taking it personally. It is what it is: on the day, the interviewer felt someone else was better – on another day, you will be better than someone else.”

And consider this quote (often attributed to Nelson Mandela or sometimes Carrie Fisher) “Resentment is like drinking poison and then hoping it will kill your enemies.”

Most employers will be willing to share how you performed at interview

Moving forward

There are positive things to be taken from setbacks, says Cooper.

“It can help to take stock of what you want from your career and life. Re-evaluate what you want from your career – will your current career path enable you achieve your wider life goals? Is what you do rewarding? Does your work give you what you want? If it doesn’t then maybe it is time to think about different directions or moving jobs. Take some time to understand your values better. Only when your values are being satisfied by what you do will you be content in your career.”

Whatever you do, don’t give up trying says Howe. “It’s hard to pick yourself up and start all over again. But that’s precisely what you need to do. Take a deep breath, roll up your sleeves and carry on with your job search.”  And he adds: “Use the energy and emotion you feel after that rejection to your advantage. We’ve all been there.”

A rejection win

And if you want some inspiration then look to the stars: Dame Julie Andrews was very publicly passed over for the lead in the film of My Fair Lady (it went to Audrey Hepburn). She got her own back: when she won a Golden Globe in 1964 for Mary Poppins (she also got the Oscar) in her speech she famously thanked Jack Warner – whose rejection of her for My Fair Lady let her take the Poppins role.

Launch list, best small firm – PFK Cooper Parry

Posted by & filed under Career.

In the latest issue of 20, we’ve saluted accounting firms that have shown a forward looking attitude to the evolving world of work, check out our Launch list of best small firms below. 

1. PFK Cooper Parry – A fun culture feeds into business success for these Midlands-based ‘accountancy rebels’. 

PFK has a string of accountancy awards, a first-rate wellbeing strategy and quite possibly the UK’s coolest office, which contains trampolines and nap pods. PFK, with branches in Derby and Solihull, is regularly cited as having one of the UK’s best offices.

What’s so impressive about it? April Bembridge, head of people and culture, says: “We’ve got trampolines, a free bar and a basketball court. We’re also trialling sleep pods.”

Is there a serious reason behind your funky offices?

APRIL: Yes. All of the things that are seemingly fun at PFK have a deeper purpose in mind. We’re a ‘culture first’ firm. We believe that, by building a fantastic culture, people will have the opportunity to grow and be nurtured. In turn, they’ll deliver amazing client experiences, which generates business success.

PFK is strong on promoting a good work-life balance. How does that work in practice?

APRIL: We’ve got an email curfew from 7pm to 7am. We recognise everybody has a life outside work, so, if somebody wants to leave the offices at 3pm to pick up their kids from school, they can. They’d have to log on and work that evening, though. For Mental Health Awareness Week, several PFK people came forward to share mental health experiences by writing blog posts on our intranet. It helped remove some of the stigma. It feels right for us to tackle these subjects head on.

How do you encourage team spirit?

APRIL: It’s easy for people to work in silos, never interacting with people outside their teams. We’ve split people up into school-like house teams, with everybody being issued ‘house hoodies’, which has created a sense of camaraderie. On house days, everybody comes in wearing these hoodies.

And unlimited holidays – do they really work?

APRIL: We’re not clock-watching, observing whether that person has walked in at 9:10am or left the office at 5pm. We trust people to get the job done, and to manage their time in a way they see fit.

More info: www.pkfcooperparry.com

2. Price Bailey

The chartered accountancy firm scored highly, thanks to its development programmes and charity fundraising scheme.

More info: www.pricebailey.co.uk

3. Anderson, Anderson and Brown

This Aberdeen- headquartered accountancy practice boasts trailblazing schemes: 20% of it’s staff in training, a ‘happy people award’ and £250 vouchers for staff who bring in referrals.

More info: www.aab.uk

4. RDP Newmans

With offices scattered across South-East England, this chartered accountancy firm has an impressive CSR, fundraising and development CV: support for local playgrounds, charity bikeathons, sponsoring school exchange trips, mentoring schemes and one-to-one training.

www.rdpnewmans.com

5. Armstrong Watson

Internal comms are strong at Armstrong Watson. The Cumbria- headquartered firm recently won a global award for its intranet.

www.armstrongwatson.co.uk