Help your business clients with a financial spring clean for 2022
You’ll expand and improve the services you offer - plus your clients will love you for it.
Adding (even more) value
Put a hundred people in a room and ask them what a business accountant actually does, and you’ll probably get the same hundred replies repeated: Tax issues, self-assessment, dealing with HMRC… that kind of thing. And of course, this is your daily bread and butter, especially at certain times of the year.
But any accountant worth their salt can do these things - it’s the extra stuff that counts. The above and beyond. The services your clients may not expect of you, but that you can confidently offer to help their business survive and grow in these turbulent economic times.
2022 will bring with it a whole new set of challenges for accountants and their clients alike. But the pandemic and ever-changing restrictions mean a new year financial spring clean could make a big difference.
We’ve put together a quick list of ways you can expand your accounting services and tighten up your clients’ finances (whilst earning some brownie points in the process).
Getting involved in business plans
This one’s for accounting firms that mainly work with very small businesses and start-ups. It also heavily applies where your firm specialises in a certain industry, like construction or hospitality.
By reading through and helping to write/adjust your client’s business plan, you’ll better understand their business and their goals. Where there are any weaknesses, your industry knowledge can help them be more realistic.
As an experienced accountant, you know that a business plan is key in securing finance both now and in the future. But your client won’t necessarily be aware of the value you can add.
Advising on business structure
For your clients, deciding on whether to stay a sole trader or set up a limited company or partnership can be daunting. If 2022 is the year they’re planning to take the leap in going from business to company, look over their business and financial situation to help them decide which legal form would work best.
Business owners come in many shapes and sizes. Some have been at it for years and are fairly self-sufficient, whilst others are nervously just starting out. But whichever category your clients generally fall in to, most business owners still often don’t have the skills or time to keep up with basic finance administration.
You’ll be able to spot financial mistakes much quicker than they will. You can also help them streamline their financial processes and avoid any fines or problems with HMRC before they happen.
Furthermore, there will be expenses and other tax reliefs they can claim that they’ve never even heard of. These can be generous, saving (and generating) some serious extra cash. One such example is R&D Tax Credits which we’ll look at in minute.
In these difficult times, business growth has never been more crucial. If your clients’ businesses are going to stand any chance of long-term survival - especially if they’re very new, very small, or in a sector heavily impacted by COVID, they need your support.
As their accountant, you’ll know many of their cashflow challenges. By running projections and offering insights, you can put them in a better position to make successful business choices. You can also suggest efficiencies and funding options to get their innovative plans off the ground. Furthermore, it’s a great time to introduce them to R&D Tax Credits, as mentioned above.
If you’ve not heard of it before, the R&D Tax Credits scheme represents a generous retrospective tax incentive to help companies recover innovation costs. As much as 33% of eligible research and development expenditure can be reclaimed once a project is off the ground - as long as a scientific or technological challenge is addressed. Even the smallest claims can easily mean thousands of pounds of extra cash for your clients.
The range of projects and costs that qualify is purposefully very broad and any company of any size in any sector can apply. The relief is then provided either as a reduction in Corporation Tax, or as a cash credit.
The really good news too is that even if you’re somewhat of a novice when it comes to the R&D Tax Credits regime, you can partner with us using the Tax Cloud portal. No extra staff to employ and there’s a generous referral scheme too.
Applying for a grant
Get clued up about which grants are available to help the kinds of businesses your clients run. From local and national government grants to Horizon Europe and beyond, there’s a huge number to pick through. Whilst you don’t need to be an expert on all of them, at least being able to point your clients in the right direction is ideal. Again, if your clients are looking to innovate in 2022, they may well be able to claim an R&D grant to cover some or all of the costs.
The Myriad Associates team, developers of Tax Cloud, have put together a page on their website about R&D grants and how to claim here. It’s possible your clients could even claim grant funding and R&D Tax Credits together.
This article was brought to you by Tax Cloud
As your clients’ trusted accountant, you’re pretty well placed to know where they can save (and make) money over the coming 12 months. And by using the self-service Tax Cloud portal for accountants, you can help them claim the R&D Tax Credits they deserve.
Developed by the R&D specialists at Myriad, it’s a quick and cost-effective way of submitting R&D Tax Credit claims to HMRC, on your clients’ behalf. Not only does our team boast a 100% success record, but we’ll guide and support you every step of the way. So not only can you expand your services without the fuss, your clients will love you for it too.
Why not see the Tax Cloud website for more about how the portal works, and partnering with us. There’s a free demo to try too.
You can also call the team on 020 7360 4437 or use our contact page.
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Tax Cloud is an R&D Tax Credits claim portal.