Being proactive can save you thousands of pounds!
Would you like to pay £94 000 of the corporation tax for the profits you never made?
There is a way to do that, and I am happy to share the tips. If you tick them all, you are very close to achieving that; if you tick a few, you still have a chance!
Here they are:
1. Contact your accountant only for special events, such as VAT, payroll and End of year accounts
2. Don’t reconcile your bank in real time or keep your accountants from checking the supplier statements. What’s more, please don’t send them! They will charge you more for that.
3. Send only the bills you managed to find. You will save the bookkeepers lots of work!
4. Chase your accountant for the year-end tax computation; a week before the deadline is best!
5. Why bother using cloud accounting? You don’t need the bank feed daily; you don’t need to track your costs at all!
6. A bag of bills, especially those unreadable, is best.
7. Make sure you choose accountants who don’t ask you for anything, but three days before the VAT due, their bookkeepers chase you for a copy of your bank statement.
Familiar? You are on a good way to pay that £100K extra! Hurray.
But, Just in case you change your mind, there is a way to avoid all that stress.
And if you think that it will “cost” you more, but it can save you that £100K to buy a new electric car, you may change your perception of what “more” means.
That new way has a few simple steps.
1. Set up targets and budget and predict what you will pay regarding taxes, bills and wages.
2. Track all costs and allocate them correctly to your projects
3. Control the costs in real-time and let the PROACTIVE accountants guide you.
That may mean you must implement cloud technologies and see your management accountant regularly so you will even remember what they look like!
There is also an option to appoint them as your part-time Finance Team! You may talk to them more often, but 100K savings are worth it. Only by having a strong team you have a chance to succeed.
This is a real-life story. We at Prevail saved our customer £94 000 in corporation tax for taking over the lead and setting up the processes for a £ 12mn turnover company!
Don’t think that accounting, based on compliance only, will save you money. You will end up paying thousands of pounds more!
Please share your experience in the comments!
How frustrated can you be, not knowing what is in your pocket? How much money do you make? Do you know if your projects are profitable?