One of the most important factors in starting up a business, whether you're becoming self-employed or starting up a limited company, is choosing the right accountant. An accountant who understands you, your business goals and is around to advise you isn't as easy to find as you'd think.
In our latest business video blog, we speak to Jon Dudgeon from Blu Sky Chartered Accountants about setting up and growing a business. Jon talks about the difference between self-employed and limited company structures and the different tax implications. He also spoke briefly about cloud accounting, what to look for when choosing your accountant, and how they can play an integral role in helping your company grow.
I would say speak to an accountant as soon as possible. From a compliance point of view, it's important to get the foundations in place from day one. We prefer to work with people on a monthly basis, that way we're closer to the numbers and we can guide people, as they work through through the first couple of years which are generally really hard.
With businesses you go through a couple of stages of growth. In the first couple of years, growth tends to be fairly quick. In that time we'd look to get the compliance side of things right and make sure you're doing everything in line with HMRC. There isn't a lot of history so it is difficult to forecast forward, but certainly after year one and going into year two and three, that is where your accountant comes in to help you look at things like cash flow, so you can plan to bring in employees and so on.