Start up practice - Letters question

Start up practice - Letters question

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Hi,

So I'm almost ready to begin my bookkeeping/accountancy practice after a lot of admin. Can someone explain to me the procedures for engaging a client as I am getting lost trying to find the answers on here, is it;

1) Find a client

2) Send a letter of engagement about fees/role also with a request to contact his previous accountant if you are taking over one.

3) If the work is supplementary to his existing Accountant, I still need to write to his Accountant explaining my role?

Is that correct? I read something to do with MLR as well that I need to do (proof of identity perhaps?). Also, where does the bit go asking him for permission to be his HMRC agent?

Can anyone share templates of what I need with me? £30 for an ACCA cd suddenly seems steep to me, my shoestring has just snapped!

To be honest, the amount of bureacracy involved for some part time income for me is scary!

Thanks in advance.

Matthew

Replies (7)

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Locutus of Borg
By Locutus
29th Oct 2013 10:57

More bureaucracy
Since you are a bit unsure about MLR, I presume you don't belong to a professional body.

Anybody that works as an external accountant or bookkeeper and isn't regulated by a professional body needs to register with HMRC for MLR and pay an annual fee of something like £100.

hmrc.gov.uk/mlr/

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Replying to Mikey-Mikey-Mikey:
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By MDK45
29th Oct 2013 12:08

MLR in relation to validating new clients perhaps. Yes, certainly registered through my FCCA membership.

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Replying to Mikey-Mikey-Mikey:
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By MDK45
29th Oct 2013 12:57

Thanks but yes, regulated by FCCA.

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By Moonbeam
29th Oct 2013 12:02

Work for client not including Stat accounts and tax

If you have a letter of engagement signed by the client, you certainly don't need to inform their tax accountant of your existence. Even if you want to contact them you can't do so unless authorised in advance by the client.

Your client will have to do this so that you can get data such as opening balances from them. However many of these accountants will probably ignore any emails from you even after being introduced, as they will be very jealous of you. Some of them will be nice and professional and willing to treat you as a human being. Just not many of them.

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By MDK45
29th Oct 2013 12:14

Points 2 and 3 which i listed are off the ACCA best practice sheet but I want to know how this translates into the real world i guess.

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By angel
29th Oct 2013 13:47

pm sent

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By MDK45
29th Oct 2013 13:56

Thanks angel, will do.

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