I have a couple of meetings with stuffed shirts this week, and I wonder if anyone could give me an idea of how much I should be looking to pay for banking and accountancy.
I do get a free period of banking but after that, what should I expect to pay for these services, running one vehicle, with one payment coming in each month, half a dozen direct debits going out and cheques as and when?
Just a ballpark figure would help-ta!
yorkshire bank used to charge me about 25p per transaction.
I’m currently undergoing training in electronic bookkeeping. Banks look alot more favourable on you if you have some proper ‘professional’ looking books and ledgers to wave at them.
My plans are to ultimately freelance for small businesses. A quick google search would probably throw up a load of self employed bookkeepers in your area that would do your weekly / monthly books for a very reasonable fee.
Harry Monk:
I have a couple of meetings with stuffed shirts this week, and I wonder if anyone could give me an idea of how much I should be looking to pay for banking and accountancy.I do get a free period of banking but after that, what should I expect to pay for these services, running one vehicle, with one payment coming in each month, half a dozen direct debits going out and cheques as and when?
Just a ballpark figure would help-ta!
Pay nothing for banking. At your level of transactions there are a plethora of free banking deals out there. When your free banking deal runs out, tell your bank to extend it or you’re taking your business elsewhere - if they don’t extend it, move banks and don’t think twice about it! I’ve never paid for business banking yet and have no intention of ever doing so while I have a choice, I advise you to do the same.
As for accountancy, it depends on what you are wanting done. For a quarterly VAT return and perparation of annual returns you’ll be looking at around £1200 a year, slightly more if you want the accountant to look after the day to day accounts too. Find a good accountant, but don’t assume that more money equals better service, accountants are just as bad as lawyers and doctors in the value for money stakes.
Harry,
I would interview any accountant I spoke to at least 3 locally to where I live who all left me very cold, my account is based 300 miles away from me but I just scan every thing and send them either emails or Pdf of statements etc. To be honest this really works well for me they never take more than 1/2 day to get back to me and keep me spot on and I can speak them if i need to as its a tax deductable expense then the cost is pretty much irrevelevent as you set it it against your tax return as proffessional fees
Nextdrop:
Harry,I would interview any accountant I spoke to at least 3 locally to where I live who all left me very cold, my account is based 300 miles away from me but I just scan every thing and send them either emails or Pdf of statements etc. To be honest this really works well for me they never take more than 1/2 day to get back to me and keep me spot on and I can speak them if i need to as its a tax deductable expense then the cost is pretty much irrevelevent as you set it it against your tax return as proffessional fees
He needs to have one on recommendation not to go looking for one.
Ok … I was only suggesting that there is a two different types of accountants some local ones who are crap just used to serving local business with their end of year returns and their are others who are more involving and dare I say it more modern.
Harry mentioned that he was a Taxi driver once I recall, then accountants who understand this type of business will understand a transport business and are more aware of particualar tax issues etc.
theres plenty of free business banking about, the more important question is the right type of account which will suit your needs. do your own vat online its simple once you get the hang of it, you can even do your own tax self assessment online if it suits you. my first three years I paid £1000.00 per tax year but i always made sure i got value for money so dont let accountants off the hook if the service isnt good enough
My accountant charges me £425+VAT p/a.
However, I prepare everything for him and he just basically adds it up. I know some people paying £1,000+ but they put all their papers in a bin bag and present it to their accountant at the end of the year!
hammer:
My accountant charges me £425+VAT p/a.However, I prepare everything for him and he just basically adds it up. I know some people paying £1,000+ but they put all their papers in a bin bag and present it to their accountant at the end of the year!
Ditto, but were also now looking for a new bean counter as our current one recently passed away suddenly 
. Finding one like our old guy that works for you rather than the tax man is the most difficult bit, most of the high flying types want to keep their noses clean and always err on the side of the revenue, and then after they’ve lumbered you with a nice fat tax liability, and a similar sized accountancy bill they also want to sell you tax investigation insurance, safe in the knowledge their clients are safe from being picked up for interogation by the tax investigators 
Big Joe:
hammer:
My accountant charges me £425+VAT p/a.However, I prepare everything for him and he just basically adds it up. I know some people paying £1,000+ but they put all their papers in a bin bag and present it to their accountant at the end of the year!
Ditto, but were also now looking for a new bean counter as our current one recently passed away suddenly
Your right Joe about finding one who will help you avoid rather than hand over half of anything earnt.
Bank charges are negotiable, as in if they want to levy charges then negotiate with another bank 
Interview any potential accountant, some simple trucking related questions are all you need to ask, if they don’t know the basics then they’ll cost you a fortune. One important question to ask is what would they recommend once you pay off your vehicle/trailer, if they advise buying a new one to avoid paying taxes on the extra profit you’ll generate then run a mile, anyone who advises spending a grand to save a couple of hundred quid is not giving good advice 
As a rule of thumb a good accountant will save you about 5x what he charges you