The year-end accounts give you a wealth of knowledge about your company. You can check the margin on your sales pricing to make sure it is set correctly and see how the most recent performance stacks up against the previous year. Sales and spending changes are made transparent, enabling you to decide more wisely in the future. Anomalies are brought to light so they can be explored. Having year-end accounts will help your business succeed by bringing you closer to it.
Banks will also prefer to see a set of accounts for self-employed applicants looking to raise finance or apply for a mortgage.
For sole traders and partnerships, year-end accounts will form the basis of the business owners’ self-assessment tax return.
For a partnership, the year-end accounts will also state the balance on each partner’s current account. For owner-managed limited companies, the limited company accounts will house details of the directors’ salaries and the dividends paid to shareholders, which will need to tally with their self-assessment tax return.
The preparation of partnership and sole proprietorship accounts should begin well before the 31st January filing deadline for taxes. It usually takes businesses nine months from the end of the fiscal year to finish their accounts, but it's better to check the Companies House website to see when the company accounts filing date is.
Give yourself as much time as you can to prepare the accounting. Rushing can result in mistakes, and you might need to look for receipts or bank statements. It also enables you to determine whether you have made all of your eligible claims and whether there are any prospects for tax planning.
Bookkeeping
I will prepare your accounts from whatever bookkeeping records you have - whether they be computerised, spreadsheets, a cashbook or a bag of receipts.
It goes without saying that your accounts will be prepared in accordance with accounting standards and we will check that you are claiming everything you are entitled to.
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