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The Benefits Of Using A Local Accountant In Market Deeping

The Benefits Of Using A Local Accountant In Market Deeping

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The Benefits Of Using A Local Accountant In Market Deeping

In this modern day we are seeing more and more local and personal services, becoming huge corporate robots and machines. Personal services are now offered by robots and automatic replies. Just look at your local bank where you are directed towards the machines or your local supermarket where you can self-check out your shopping.

The world of accounting is no different. What used to be a local and personal profession is becoming a service from a faceless person on the phone. But what if you still want a local accountant in Market Deeping? Is that even still a thing?

Yes! Here at Direct Peak we are your local accountant in Market Deeping.

There are lots of benefits to having a local accountant too. For example, you will get a more personalised service. A small local accountancy firm like ours has the ability to get to know you and your business. You aren’t a number to us; instead we know who you are, what your business and what your business goals are.

The fees of an accountant can vary drastically from one accountant to another. When you work with a local accountant you can reduce your prices on travel for meetings. There will be no high mileage costs as we are based locally to you. This means you have regular meetings and reviews with us, without worrying about the expensive hidden costs of travel and mileage being added to your invoice.

Perhaps the biggest benefit of a local accountant in Market Deeping is the convenience they offer. Time is everything for a business owner so having a local accountant means you can just pop in. You don’t need to deal with issues over the phone. Instead you can go through your concerns face to face, which many business owners find easier.

There are lots of huge benefits to having a local accountant in Market Deeping. Why not call us now to see how we can offer you a more convenient, personal and timesaving service as your local accountant?

Beginners VAT Guide For Small Businesses

Beginners VAT Guide For Small Businesses

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Beginners VAT Guide For Small Businesses

Our professional VAT return accountants in Peterborough work with a lot of clients on their VAT returns throughout the year. However we understand that for a small business, the world of VAT returns can be a confusing world. This is why we have put together a beginners VAT guide for small businesses. This is a really easy guide that gives you the fact about VAT that you need to know.

What is VAT?

We couldn’t complete a beginners VAT guide for small businesses without talking about what VAT is. VAT is Value Added Tax. It is a tax on consumer expenditure and is collected on the sale of goods or services. VAT has been around since 1973 when the UKL joined the EEC. Previously VAT was known as Sales Tax.

What is VAT Charged On?

VAT is often charged on things like the sales of your goods and / or services. It can also be charged on exchanges, for example things like a new car in exchange for an old car. When you are selling your business assets, you can be charged VAT on this too.

Business goods that are used for personal reasons may also have VAT charged on them. You will also be charged VAT on commission as well as items sold to staff, such as uniform or meals. If you hire or lease your goods, VAT will be charged on this too.

When Do I Have To Register For VAT?

If your business has a VAT taxable turnover of £85,000 or more in the last 12 months then you must register for VAT. However, if it is expected that your VAT taxable turnover will be more than £85,000 in the next 30 days period, this is another time that you must register for VAT.

When it comes to the end of a calendar month and you find that the value of your taxable sales exceeds £85,000 over the last 12 months you need to register for VAT. We would recommend that you contact a professional VAT returns accountant who will notify HMRC on your behalf. You will then be VAT registered from the first day of the next month.

Good to Know

If you have just become a VAT registered business but are holding any assets that have been purchased previously you should be able to reclaim VAT back on registration. These assets could be things like furniture, machinery, technology or equipment for example.

 

However, the most important thing to gain from reading this beginners VAT guide for small businesses is that if you’re in doubt, check! If you’re not sure about anything on your VAT returns then call your specialist VAT returns accountant and ask.

Why Your Start Up Needs An Accountant

Why Your Start Up Needs An Accountant

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Why Your Start Up Needs An Accountant

While accountants are not always seen as a ‘must have’ for start up businesses, there is a lot of things that start-ups need an accountant for.  In this blog post we have put together just some of the reasons that your start up needs an accountant.

You’ll Be Busy

As the owner of start up business you will be really, really busy. In the early days it is likely you will be the only person within the business which means you are the owner, the marketer, the admin, the sales, the secretary, the customer service rep and the toilet cleaner. You may think you’ll be busy, but you’ll be busier than that – trust us! As experienced accountants for start-ups, and as a business owner myself, we know how busy you will be. A start up needs an accountant to help them keep the finances and books up to date. If you let it slip it could have disastrous effects on the business.

Taxes Aren’t Simple

Calculating your estimated tax payments can be tricky. In fact the National Federation of Independent Business surveyed small business owners on their concerns. Every month when the survey was repeated and the report shared ‘taxes’ always ranked highly of the list of business owners concerns. Your start up needs an accountant to help you understand your tax payments and your tax code. You will find a good quality accountant to be a huge source of relief when it comes to taxes and dealing with HMRC.

Accountants Are Liked By Investors

As an entrepreneur you may be great at pitching your business. However, when you start talking to investors they will want to see and hear more than just your pitch. Investors want to see hard facts which includes your current figures, a financial forecast and growth projections. By working with an experienced accountant for your start up, even if you are not looking for investment now, you will be more attractive to investors.

Growth Is Made Easier

While you know you want to grow your business, it is not always that easy. When is a good time to expand? Which part of the business should you expand? How far can your finances be stretched without putting the business at risk? A good accountant will be able to help you plan for the future and plan for growth. It is always a good idea to run ideas past your accountant and they can then offer advice and guidance to help you.

 

Reports show that 3 in 5 businesses fail in the first year of business. Many studies show the reason behind this failure is poor financial planning. While start up accountants may look like an expensive luxury for a start up business, you’ll be amazed at how much help they can offer you and how much money they can save you over time.

Great Reasons To Outsource Your Payroll

Great Reasons To Outsource Your Payroll

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Great Reasons To Outsource Your Payroll

Here at Direct Peak we know how tricky it is as a business owner. There is so much to manage, including marketing, sales, suppliers, customers, employees, pay roll, cash flow and more. We are a small business ourselves and we know how busy things can get – and how many plates business owners feel they need to keep spinning!

This is why we offer a service so you can outsource your payroll. We can take one of those many spinning plates away from you so you can focus on your business. There are other ‘spinning plates’ that we can take away from you so you’re able to spend time doing what you enjoy and what you’re good at. However, in this blog post we would like to talk about just some of the reasons to outsource your payroll.

  • Large businesses may have the budget to afford and maintain a large payroll department. But as an SME business it can be costly so why not outsource your payroll? Calculate the time, effort and cost of doing payroll in-house. This includes the payroll software costs, admin time, training costs, printers, printing and payslip distribution. Then take a look at a quote for out outsourced payroll services. You’ll quickly see you can save time, effort, money and stress by outsourcing your payroll.

 

  • Training staff can be time-consuming and costly, especially if there is nobody in the business to offer the training. When you outsource your payroll you are giving it to the professionals. We manage payroll for businesses day in and day out. You’ll know you’re in safe and fully trained hands when you use Direct Peak for your outsourced payroll.

 

  • Payroll doesn’t need to stop when someone goes on holiday, which can sometimes be the case when it is managed in-house. We have a team of payroll specialists that will look after your payroll for you. It doesn’t matter when you choose for your employees to be paid. We will make sure they are paid on your chosen date. Our holidays and time off will not affect your business or payroll.

 

  • There is not much worse for an employee than payroll mistakes. These can be painful, upsetting and stressful for an employee. If a payroll mistake happens more than once it can risk the loss of that employee to your business. Mistakes happen when people are doing more than one job or have multiple roles in the business. This is where outsourcing your payroll can help as you will have someone dedicated and focused on your payroll to ensure there are no mistakes.

If you’d like to know more about outsourcing the payroll for your business then why not call us now. We would be happy to give you a quote and tell you how we can help.

The Benefits Of A Financial Forecast

The Benefits Of A Financial Forecast in Peterborough

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The Benefits Of A Financial Forecast

We have been offering financial forecasts in Peterborough to our clients since we first began. Many lower middle market and smaller businesses don’t have financial forecasts for their business. They are therefore missing a really good opportunity to determine what really drives results for their business.

Meanwhile, the more valuable companies across all industries are earning above average profits and growing as fast as others in the market (or faster). These are the ones that have financial forecasts for their business. This means they can predict their results each year and month. This is based on previous years and reasonable market condition assumptions.

A financial forecast in Peterborough is like a prediction of future results for the business. It means you don’t have to guess about business offerings. It also means you’ll be able to make informed decisions for the best outcome for your business.

Here at Direct Peak we complete financial forecasts in Peterborough on an annual basis for our clients. This means they can see the forecasted results for the upcoming years. We then review this financial forecast with the client half way through the year.

Financial forecasts in Peterborough are really useful because it enables business owners to clearly see which products or services generate big revenues, but perhaps have poor gross margins. By understanding which areas of the business bring in the most profit you can find ways to make your business more profitable. We have worked with many clients that have adjusted their business strategies. When they have embraced the parts of the business that have much higher gross margins.

By being able to see into the future with a financial forecast in Peterborough you will be able to make a well-informed decisions. For example, to see if you need to hire new staff, the education and experience you’ll need from new employees. Along with what software, tools and support you may need from third parties. This is because your financial forecast will enable you to see where the business is now and where you want the business to be.

You’ll be able to see what parts of your business are not working by looking at your financial forecast. You can quite easily roll on, month after month, thinking all is well. However, it’s the annual financial forecast that will show you how things are going. It gives you a chance to take time out of the business. To review what you are doing right, and what really isn’t working for your business. This financial forecast will also help you find ‘D’ level customers. These are the customers that take all your time, but produce the least profit.

If you’d like to know more about how financial forecasts in Peterborough can help you, then why not call us directly or send an email. We look forward to showing you what you business can achieve.

The Four Foundations of Making Tax Digital

The Four Foundations of Making Tax Digital

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The Four Foundations of Making Tax Digital

It may start to feel like everyone is talking about Making Tax Digital at the moment. However, it is a really important thing for all business owners to be aware of as it will affect every business owner and every business. In this blog post we thought we would talk about the four foundations of Making Tax Digital. To enable you to gain a better understanding of why it was introduced and what it will achieve.

Better Use of Information

Making Tax Digital means that organisations will be able to see the information that is held by the HMRC. These organisations will also be able to check if the details they have entered are complete, up to date and correct. HMRC will then be able to use this information to tailor the services it offers customers. This will be according to their individual circumstances.

Tax in Real Time

With Making Tax Digital, organisations will no longer have to wait until the end of the year, or longer, to find out how much tax they should pay. Instead HMRC will collect and process the information that affects tax as close to real time as possible. This will help prevent errors and stop tax due or repayments owed building up. This should make paying tax easier for business owners.

A Single Financial Account

It is planned that by 2020, HMRC customers will be able to clearly see a comprehensives financial picture in their digital account. This will be very similar to the financial picture they can see through their online banking. This should make it easier for business owners to review their business financially and make better informed financial decisions.

Digital Interaction

HMRC customers will be able to interact digitally with HMRC staff on days and times that suit them. Digital record keeping software will also be linked directly to HMRC. This will allow business owners to easily send and receive information to HMRC from their own software as and when it suits them.

 

If you have concerns about Making Tax Digital or would rather bury your head in the sand, then why not contact us now. We can help you understand Making Tax Digital and take away that stress and worry for you.

Start 2019 Right With These Two Essential Bookkeeping Tips

Start 2019 Right With These Two Essential Bookkeeping Tips – Bookkeeping in Peterborough

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Start 2019 Right With These Two Essential Bookkeeping Tips

Here at Direct Peak we love numbers, accounting, finances and bookkeeping in Peterborough. However, we know that many small to medium business owners hate bookkeeping. This is often the most neglected element of a business. While it may not be fun and it certainly isn’t sexy – keeping on top of your bookkeeping can save you time and help you better manage your business. It will also enable you to make more efficient decisions for your business.

With 2019 upon us, don’t neglect your books this year. Start the year the right way, by following these two essential bookkeeping tips. Come December, you’ll thank us for it!

Keep It Separate

As a business owner you need to make sure that your business and personal accounts are kept separately. While it may be tempting to give clients your bank details and for the money to go into your personal account – this will not help you or your business in the long run.

Make sure you don’t pay personal expenses from your business account. No matter how good the deals are to book a holiday from your company credit card. Avoid it at all costs! Make sure you keep both accounts completely separate. Then you’ll find it much easier to view where your business is at and what is happening, financially wise, in your business.

Keep On Top

It is okay to hate bookkeeping. However, it is not okay to put it off. The longer you leave it, the more of a mess you will have to deal with. Also,the harder it will be to find errors and solutions in your records, Not to mention that missing invoice, bank statement or receipt.

If you really hate bookkeeping and keep finding that you are putting it off, or dreading doing it – then why not use the services of a professional bookkeeper in Peterborough? Even if you don’t need our full accounting services, you can still use our bookkeepers to keep you on top of your business finances.

 

Remember – you don’t have to do your books to know your books!

What Does Making Tax Digital Mean For My Business

What Does Making Tax Digital Mean For My Business?

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Unless you have been living under a rock, you will have heard about Making Tax Digital by now. From April this year the government has begun live testing of the system and from April 2019 Making Tax Digital will force businesses, which are above the £85,000 VAT registration, threshold to keep all records necessary for VAT purposes online.

So what does Making Tax Digital mean for your business?

Making Tax Digital allows small to medium business owners to keep online records of their income and expenditure for Income Tax purposes and send quarterly updates of this to HMRC via their payment software app.

If you are a business that is currently keeping your records in a cashbook, on a spreadsheet or on non-Making Tax Digital-compliant software then you will need to make changes. As of April 2019 you will need to change your systems and processes because you will no longer be able to log-in to HMRCs website and key in your VAT return figures.

When should I get everything in place for Making Tax Digital?

While many businesses are holding out until the last minute, we would highly recommend that you do not wait for Making Tax Digital to apply legally for your business, but instead voluntarily comply with Making Tax Digital for your VAT so you are ready and prepared for when it does become a legal requirement for your business.

By getting ahead of the Making Tax Digital deadlines you have the time to change your bookkeeping processes and also get to grips with using the new software. If you choose to change to Xero we would be happy to help you move the business across and we can train you and your team so you can get the most from the Xero system.

Changing accounting software can be tricky so to avoid last minute rushes, panics and headaches we would recommend that you give yourself plenty of time to plan for Making Tax Digital, because April 2019 will be here before you know it.

For a free report on what you need to do to comply with Making Tax Digital rules, please click the button below to get a free report.

What Making Tax Digital Means To A Small Business

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Here at Direct Peak, we are specialists Xero accountants in Peterborough. We work closely with our clients to help them get the most from their accounting and bookkeeping. With ‘making tax digital’ discussions and updates taking place all over the media, internet, tv and pretty much everywhere you look – it is not surprising that we are being asked about it.

So, we thought we would put together a few main points to help small business owners understand what Making Tax Digital will mean to their small business;

All businesses and landlords will be affected by Making Tax Digital
Making Tax Digital is compulsory and dependant on your business circumstances will need to start using it in 2018, 2019 or 2020.
You will need to record all tax affairs digitally and this can either be done by using online accounting software, like Xero accounting software, for example.
Your accounts team, finance team or your accountant will provide the information to HMRC on a quarterly basis, as electronic information.
It is expected that Making Tax Digital should reduce the amount of time, effort and stress it currently takes you to prepare and file your taxes.
Making Tax Digital will enable you to get a centralised view of all your tax information, entitlements and liabilities. This means, as a business owner, you will know exactly how much you owe at any point.

While Making Tax Digital will not make filing taxes any less financially painful, it should be faster and easier to prepare taxes, report taxes and file your taxes.

If you’re concerned about how Making Tax Digital will affect your business and what you need to do to make sure your business is ready for Making Tax Digital then please check out this information we have put together.

Alternatively, you can contact us directly and we will be happy to answer any questions you may have about Making Tax Digital for your business.