Top Ways an Accountant Can Help Your Start-up

When you are in the company start-up phase of your business, there is a lot to do.  You are looking at the company formations options, thinking about marketing your business, maybe even considering taking on staff and setting up payroll.  And you may need some help – which is where a certified accountant comes in.

The start-up process

At the very beginning of setting up your company, an accountant can help with things like choosing the right type of company or company structure.  This might be a sole trader, a limited company or one of the other options.  You can then get their help if they offer company secretarial services to register your company.  You may also need a registered office for some types of company and if you are in Waterlooville or Portsmouth, this is something we offer.

Once the company formation is in place, you can start setting up the rest of the basics of the company.  A business bank account will be needed as well as a bookkeeping system – you may want to have the accountant set this up so you can do it or run everything for you.  When you haven’t made any money, this might seem unnecessary, but the year end accounts come around quickly and it is best to have this information prepared from the beginning, so you know what income tax you need to pay.

As the business grows

Once the business starts trading, you will want to keep that bookkeeping in place, so you have all information ready for tax returns season.  This might also include any items sold that could include capital gains tax.  You may even want to register for VAT if you don’t meet the threshold depending on the nature of the business.

Another natural area of growth is to start employing staff, using contractors or freelancers.  This will mean you need services such as payroll, CIS and also managing the staff starting and leaving processes.  This ensures staff are paid correctly and on time and also makes certain that PAYE is completed so staff are paying income tax and national insurance as required each month.

An accountant is also an ideal person to help your business growth plans and financial planning.  It is important that a business has the right cash flow before new products or services are attempted and getting a clear picture of the company’s financial situation is important for this process.  An accountant can also help you decide where to invest in the business.

Continuing to scale

The business will continue to grow, the number of staff may increase, and you may even have in-house bookkeeping staff – but the accountant is still there to help you.  If you want to register for VAT, have land or property income or other types of taxable income, they can help you manage and report this to ensure HMRC is happy.  They can also help with managing profits from the business and investment options to ensure the business continues to thrive.