Some personal advice will be appreciated.
I sold my sole practitioner practice 11 years ago, did the usual consultancy period (which was a real consultancy, lasting two years) and then left the firm who had taken over. A number of clients stuck with me; it was either that or they were going somewhere else and I still have about 25 of them. Some retired but then bizarrely there have been a few recommendations which I found hard to refuse! I have declined acting for larger cases and my clientele comprises entirely small cases, mainly involving personal tax returns as well as a few small sole trader ones. Working from home, I enjoy the work but as one will realise, after subs., PI cover, CPD and other fixed costs, I only make a modest profit. I use a qualified sub-contractor who provides extensive assistance, originally with me, transferring to the new firm when I sold up and who now sub-contracts for me as needed. Through her, I have full access to the take-over firm's resources on a totally open and amicable, free basis. I am considering giving up my ICAEW practising certificate (and in turn, some of the regulation) and wonder firstly if one might practice without exhibiting my professional letters; i.e. to practice simply as "an accountant". If possible and mainly for sentimental reasons, I would prefer to retain membership for the day when I will have completely retired and can again use the FCA after my name. I am sure my clients will not object to my giving up the right to display my professional qualification. I suspect I will be unable to keep my membership on the basis described but opinions and advice on the specifics, as well as in general to help me solve this dilemma, will be welcome.
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They are interested only in your subs and they believe they have you for life. A hard earned qualification is very difficult to give up, but the price of retaining it is exorbitant.
If you can get over the emotional reasons for staying, the economic ones might not stack up.
There was no need to be anonymous and in a sense you still are do I wouldn’t worry about it.
I totally understand your reluctance to give up your qualification. Your institute relies on it.
Think of it as moving house and tidying out the attic.
Some things you don't need any more and they can be sent to the charity shop.
Seriously, how often do you see those three letters after your name ?
Mine are on my letterhead. If I didn't have a letterhead, I'd never see them.
From a commercial point of view they don't carry much if any weight.
I think as you say, its a matter of pride, albeit expensive pride! I am proud of mine, not least as no-one in my family has ever got a degree or professional training, but I will probably drop them at some point. Especially if I end up having a small practice deep into when I am supposed to be retired.
Do remember you will need to register with HMRC for money laundering if not under the ICAEW, and PI would be sensible to say the least, I think in some ways the less you do the more likely you will miss something.
The pace of change, the need for software and the regulation is likely to make the retirement practice uneconomic in the near future.
Agreed, I also think the part time practice will go the same way, certainly mine is looking not worth the effort.
By chance fifteen minutes ago I made the first call re seeing about placing one of my clients with an appropriate firm (October year end so a switch post YE 31.10.18 looks suitable), this is with the successor firm to the one I was with from the 1980s through to the 1990s.
Apart from a few larger clients, where I expect I will possibly continue doing all work (as an employee on their payroll) I think by this time next year I will be finished with P/T practice.
The sad reality is that the general public has no idea what "qualifications" mean. There are so many used by accountants who are not members of the three big associations. Some of these initials aren't worth the paper they're written on.
What the more savvy business person values is good advice and practice, which can only be given by someone with excellent experience like yourself.
Your clients aren't buying the initials, they're buying you - a much more valuable commodity.
Your professional body and others have hoodwinked members to believe they can't function without them. Not true.
And, as you age, like a good bottle of laid down wine, you; mature and improve?
That's how I like to think of my practice.
I enjoy the work more, love the people I work with and, go home with a smile.
One of the luckiest people on the planet and, three super grandchildren.
No - Andy - I simply started to smell it. The "coffee", that is.
Life's for living and, if you're fortunate, like I feel, don't be afraid to say so. Whilst I feel that I've worked hard, I'm also honest enough to think that I've had good luck as well.
In a couple of weeks or so, I'm going for what might be my last catch up with one of my pals. He has a brain tumour, which is terminal. In recent years (at least the last thirty), he's raised a fortune for charity and good causes.
These are the type of individuals who make me feel humble and, oh so lucky.
I think you need to be clear about whether you are giving up your practising certificate or both the PC and your ICAEW membership. You can keep your FCA and work as an employee for someone else so that you are not in practice, but you can't just give up your PC and continue in practice as an ICAEW member. As a member, you are subject to the ICAEW rule book, and if you practise, you need a PC. https://www.icaew.com/technical/practice-resources/practice-regulation/p.... If you want to escape ICAEW jurisdiction, you need to resign from the institute and surrender your FCA.
One option might be to sell off the remaining clients. If you feel you want to "keep your hand in", you could explore working as an employee for a local firm. No PC required, or AML registration, that would be the responsibility of your employer.
Health is wealth as they say.
Would it be possibe to give up the PC and membership and then when 'properly' retired get back the FCA membership again?
Two possible downsides to relinquishing your PC as I see it.
1. As someone has said, would need to be regulated by HMRC for ML. (For me, that would be enough to keep my PC.)
2. Will you be able to sign references?
Don't you ever have to complete mortgage/rent references/questionnaires for clients? Most of the ones I am asked for require details of the professional body and usually give a list of "approved" professional bodies. If you give up on being an ACA, isn't that going to be a problem for your clients requiring a reference? I feel the same about my ACCA membership, but brought back to reality each time I get a reference request.