If you are planning to start a limited company, you probably have many questions about the processes involved in this. One question that may be at the front of your mind is, do I need to use an accountant to set up a limited company in the UK? Technically, an accountant is not a legal requirement for setting up limited companies in the UK. However, many business owners decide to use the services of an accountant as there are many benefits that come from having one.
What are the Benefits of a Limited Company Using an Accountant?
Choosing to work with a chartered accountant can benefit your business in many ways.
Here are some of the reasons that many owners of limited companies choose an accountant to help them:
- When you have a trusted accountant taking care of the financial side of your operation, you will have some of the pressure removed from your shoulders. You will be free to focus on helping your new business expand and drive it forward to greater success.
- All businesses need to be tax compliant, but when you set up a limited company, you may be unsure what is required to keep your business compliant. An accountant will take care of this on your behalf and advise you on tax compliance for your business.
- Using a chartered accountant can help you manage cash flow. Cash flow issues are a leading cause of businesses failing, so having an accountant monitoring yours will ensure your business finances remain healthy.
- Working with a chartered accountant will help improve tax efficiency. Your accountant will be able to advise on making tax efficient business decisions.
- Are you hoping to expand your company in the future, or perhaps you want to invest in some new equipment? Your accountant will help you with practical business planning and provide an assessment of the viability of your plans.
- If you have a limited company, it is beneficial for you to have the assistance of an accountant to help you submit all of the required information to HMRC and Companies House. Completing your Company Tax Return and submitting it to HMRC, and preparing your accounts in the correct format to provide to Companies House can feel overwhelming. Using the services of an accountant will ensure your business accounts are always up-to-date and ready when the deadline approaches.
Each of these tasks can be time-consuming and highly stressful if you are unsure of what you are doing. HMRC may issue you with a substantial penalty if your business is late submitting essential financial information such as your company accounts. This is a situation you need to avoid and why it is so beneficial to use the services of a chartered accountant.
If you are looking for chartered accountants Glasgow to help your limited company with all of your accounting and tax requirements, contact AM Plus Accountancy today. We would love to work with you and provide the support you need to help your business thrive.
