How long is your engagement letter?

How long is your engagement letter?

Didn't find your answer?

I'm concerned at the length of my letters. I don't find the ICAEW standards very easy to work with and the ACCA model letters are hopeless.

I'd quite like to save a few trees, but would like to keep the text at a sensible size, whilst being as comprehensive as possible.

Any thoughts?

Replies (15)

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By pjd17mini
05th Aug 2011 12:36

Have you seen the short version?

See the question:

https://www.accountingweb.co.uk/anyanswers/engagement-letter/510480 

HTH

P

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By ShirleyM
05th Aug 2011 13:08

Ours is one page long

We list the services agreed, and the relevant paragraphs in our T&C, and then attach the T&C to the LoE.

Obviously, the T&C covers everything that may be needed.

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Replying to youngloch:
Euan's picture
By Euan MacLennan
05th Aug 2011 13:32

@ShirleyM

So, how many pages of T&Cs do you attach to your 1 page LoE?

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Replying to Rebecca Cave:
By ShirleyM
05th Aug 2011 13:49

@Euan

Our T&C is 1 page, duplex (fairly small print). We have a large print version should anyone ask for it, which is 4 pages (duplex) ... but we have never been asked!

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By yorky1000
05th Aug 2011 14:11

One page

Very brief outline of what I do, what the client should do, the fee, complaints procedure and PI insurer.

This was accepted as adequate on a very recent ICAEW practice assurance visit.

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Teignmouth
By Paul Scholes
05th Aug 2011 16:23

As long as it needs to be

The ACCA one is good enough as a base but I tend to do a summary on first page of important bits.  No need to worry about trees if you email it and get them to sign & return the last page.

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Replying to jimeth:
Universe
By SteveOH
05th Aug 2011 16:32

Fewer trees

Paul Scholes wrote:

The ACCA one is good enough as a base but I tend to do a summary on first page of important bits.  No need to worry about trees if you email it and get them to sign & return the last page.

Or even fewer trees if you get them to add an electronic signature using Echosign (other electronic signature software is available)

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Replying to The Black Knight:
Teignmouth
By Paul Scholes
05th Aug 2011 16:43

Hi Steve

Been there but no go with ACCA, they require a wet signature.

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Locutus of Borg
By Locutus
05th Aug 2011 19:10

@yorky100

You say you include details of your PI insurer.  My PI insurer is Lockton and they always say you should not disclose details of your PI insurance to clients, presumably as it will encourage clients to make a claim.

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Replying to youngloch:
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By ade19710
05th Aug 2011 20:01

PII

 According to all of the professional bodies, under the requirements of the Provision of Services Regulations you now have to declare your PII insurer.

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By Top_Cat
06th Aug 2011 09:02

Short

Keep it as short as possible - remember most clients have the attention span of a goldfish.

As for T&C remember these will be a basis for any dispute, so whilst they need to cover all the relevant points.

However be careful. Don't put in them things which could later come back and bite you. The less "promises" you make, the less chance there is of it being held against you at some later date.

 

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By cfield
06th Aug 2011 09:49

Are scans OK?

Sometimes I get clients, particularly overseas ones, to sign the engagement letter and e-mail a scanned copy back to me. Is that OK or does that fall foul of some regulation or other too?

Chris

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By User deleted
06th Aug 2011 09:58

Scope

Essential to cover the scope of the services to be provided - but even more important, to identify what you will not be doing

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Teignmouth
By Paul Scholes
06th Aug 2011 18:21

Chris

As mentioned above, ACCA requires you get a wet signature, so client sends back the signature page.  Not sure if ICAEW same.  To be honest, as also mentioned, I will move to electronic approval, perhaps via online facility, and the ACCA can catch up with the 21st century at their leisure.

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By User deleted
06th Aug 2011 22:13

I have no problem using trees

They are a sustainable recyclable resource. I use a separate one for each major service as it was too boring tailoring them. They spew straight out of IRIS Automail, vary between 5 to 7 pages, plus T&C's which  is 10 pages. They are in Arial 12 point font, these old eyes of mine ain't what as good as they once were!

Don't care whether the client reads and understands them, as long as they sign them. I use ACCA doctored slightly, mainly on the AML part of the T&C's where I spell out exactly what money laundering is; the law in relation to money laundering; and my legal obligations under the regulations. I also emphasise this in my initial meeting ...

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