Getting good SME business start-up advice

A survey that was carried out by AVIVA earlier this year has revealed that many small and medium-sized employers fail to seek expert advice when starting up their businesses, with 85%of employers not understanding their legal obligations.

It was also revealed in the same SME start-up survey that

• 40% of business owners said they relied on advice from friends and family when starting up
• 13% used financial advisors
• Only 9% of business owners had consulted legal advisers

The research also suggested that 75% of the respondents knew very little about sales, marketing and bookkeeping, with over 30% finding financial administration the biggest challenge in the first 12 to 18 months of starting up.

Over a third of employers also didn’t think they were affected by auto-enrolment.

Getting good SME business start-up advice

At Omni Chartered Accountants, Wolverhampton, we are dedicated to helping new start businesses and pride ourselves in our personable and honest approach. Our fees are highly competitive and we are always there to offer advice and guidance to our valued clients.

Why not request a free or charge call-back from our website today or call 01902 837 408 – alternatively click here to make an online enquiry and we will come straight back to you!

What to do if you have had a letter from HMRC

Have you had a letter from HMRC?

If you have, don’t bury your head in the sand!

HMRC letters – whether they are expected or unexpected – can be stressful for the recipient.

The first thing to do is read it thoroughly, digest its contents and consider what it is about.

Is it asking you questions or is it stating facts? In any event, it will certainly include advice on any action that may be needed.

Whatever you do, DO NOT IGNORE IT.

Seeking advice about an HMRC letter

Whether you are an individual, a sole trader or a limited company, the letter will have been sent for a reason and it will require action to clarify, resolve or just provide required information the HMRC.

It needn’t be stressful and you are not alone, so take simple steps to understand and talk to the experts.

The HMRC website contains many useful links and FAQ’s - is a great source for getting a greater understanding and knowing what to do and when to do it.

Just don’t ignore or put off dealing with it.

If you are still unsure then give Omni Chartered Accountants a call on 01902 837 408 or click here to contact us - we are always happy to assist.

Top 5 tips for productive business meetings

Business meetings are a great way to put a face to a voice or name, and to build relationships with suppliers and clients.

But are your business meetings productive? Poor planning or meetings for meetings’ sake could all be a waste of your valuable time and end up being counter-productive in the worst-case scenario.

Here are our top 5 tips for productive business meetings:

1. Be prepared for your meeting

Always have an agenda outlined and have copies for any attendees to hand – it also helps to email them over to anyone who is coming to the meeting beforehand in case they would like to add something, or if there is something you have missed or would like to research prior to the meeting date.

2. Be certain about your objectives

Do you want to solve problems, build a relationship, sign off a deal or project, sell a company service or network?

3. Time costs money

Once you have identified your meeting objective clearly, you can set about allocating a time slot. Time is money, so have a think about how long your meeting should last and try and stick to it if you can – we all know that meetings can often over-run unnecessarily!

4. Get involved

Be aware of your involvement and contribute and lead wherever possible – at the same time, try and give attendees the chance to participate!

5. Be a host

Of course, it goes without saying that tea, coffee or soft drinks should be offered but remember that small snacks are also usually very welcome; even small acts of kindness like offering biscuits usually help forge relationships.

We speak to many small business owners who don’t value their time nearly enough – an afternoon or day away from the office can be costly and often also involve plenty of stressful catching up!

If the meeting is unproductive, this can only lead to frustration.

Follow us on Twitter @OmnitasTax to keep up to date with our latest blogs specially written with the UK SME in mind – and remember, we are always here to help advice and guide with business matters as well as offering cost-effective, professional accountancy solutions!

You can request a free of charge call-back from our website or call 01902 837 408 today!

Are you addicted to the busy drug?

We see many clients during a working week and we understand what commitments mean to anyone who is running a business. As such, we are very happy to accommodate working around our clients’ individual business needs.

What we also see is a whole variety of “I’m really busy” scenarios.

When you are your own boss, on occasions it is well worth reminding yourself of certain things. One pivotal and critical element is your own time - you as a resource. Are you being productive? Are you focusing on the correct and most efficient parts of your business?

Are you addicted to the busy drug?

It appears that many of us can, at times, become addicted to the ‘being busy drug’. But let's be really clear.

Being busy doesn't necessarily mean that you are being:

1. Effective

2. A success

3. Important

Being busy could actually mean that:

1. You have poor organisational skills and fail to delegate

2. You are a people pleaser who cannot say no

3. You are suffering from a lack of clarity regarding your actual purpose

So please, never ever confuse being busy with being effective. Instead, spend a little more time trying to stop and understand what you're aiming to achieve, before you move on to take action.

At Omni Chartered Accountants, we are not just here to ensure we assist with your accountancy needs; we also care about your success and want to see your business flourish.

So as well as taking our Accountancy Price Challenge, to see how we could save you money with your accountancy bills, why not give us a call today on 01902 837 408 for some free of charge business advice? 

How to plan for successful implementation of Auto enrolment

Do you employ staff?

For the first time, employers are legally obliged to enrol most of their workforce into a pension scheme and make employer contributions. Did you know that these new duties apply to all employers in the UK, regardless of the number of individuals they employ?

Staging date

Employers need to consider how they intend to comply with their new pensions obligations well in advance of their ‘staging date’.  Planning for a successful auto enrolment launch can easily extend to become a twelve month process.

Auto-enrolment is aimed at encouraging pensions saving, especially for the low paid, but its rules are complex and far-reaching.  It will bring up to 10 million people into pension saving, many for the first time ever.

When does Auto Enrolment apply?

It has already started! Each employer is being given a staging date on which the new obligations will first apply.  The staging dates fall between 1 October 2012 and 1 February 2018, depending upon the number of individuals the employer has on its payroll.

Generally, larger employers will have earlier staging dates than smaller employers.  The Pensions Regulator will write to an employer around twelve months before its due staging date.

It is now beginning to include the smaller SME and businesses with smaller numbers of employees

Qualifying Earnings

There are compulsory contributions, based on Qualifying Earnings (further detail in the brochure), increasing through time to a minimum of 3% from the employer, and 5% from the employee. 

For many employers, who do not currently offer a pension scheme to their employees, it means a significant increase in their payroll costs plus the added burden of the administration and compliance requirements.

Is auto enrolment all about a change to pensions?

At first sight auto-enrolment is all about pensions. However, it will have an impact on payroll procedures, insured benefits, flexible benefits, salary sacrifice, data, record keeping, HR systems, processes and much more.

Employers must correctly categorise the composition of their workforce to understand specific entitlements under the new legislation.  Even where an employee is not entitled to auto-enrolment they still have rights under the new regulations. These include the right to join the scheme, receive communications and possibly to benefit from employer contributions.

What do I need to do about auto enrolment?

Successful implementation and planning, as noted above, takes a minimum of 12 months, therefore if the staging date is, for example, 1 August 2016, employers need to start planning now.

If employers aren’t already doing so, then they should start working closely with their advisers to prepare for auto-enrolment.

Auto-enrolment demands expertise and capacity across the employee benefits field from a team of professionals who understand both the auto-enrolment rules and the commercial and operational implications for entire benefits programmes.

If you want to know more, have had a staging date notification and want assistance or just want to get ready in advance, give Omni Chartered Accountants a call today on 01902 837 408 or request a free of charge call-back from our website http://www.taxandaccountancysolutions.co.uk/.

HMRC issue 10,000 accelerated payment notices

HM Revenue & Customs’ annual report has revealed that about 10,000 accelerated payment notices were issued in 2014/2015 to people involved in tax avoidance schemes.

HMRC can make taxpayers pay disputed tax in advance, under the rules of accelerated payment, instead of waiting for the outcome of a tax tribunal ruling. If the taxpayer wins, the monies are reimbursed with interest.

It was originally expected that around £210m would be collected as a result of the move by March 2015. However, HMRC has actually received £596m; only £28m has been refunded after legal disputes, earning £568m.

Follower notices

HMRC also issued 379 follower notices to tax avoidance users for the first time. Follower notices advise tax avoiders to pay disputed tax after court rulings in similar cases that find in HMRC’s favour. In 2014/2015, HMRC issued follower notices with a total value of more than £170m.

The report also revealed that 89.7% of complaints made to the adjudicator about HMRC were upheld either in full or in part in 2013/2014.

HMRC has been under rising pressure following cuts and also criticism over its handling of letters and telephone calls. In June 2015, it was announced £45m would be invested to improve its customer service.

The latest report revealed £210m in cost efficiencies in 2014, in areas that include reducing workforce, IT and procurement costs. Total sustainable cost savings over the past four years amount to £991m, which has exceeded the target by £25m.

The annual report also revealed HMRC’s tax income rose nearly £12bn to £517.7bn; HMRC has put this down to economic growth and the continued clampdown on tax avoidance and evasion.

Let us know your thoughts on Twitter @OmnitasTax and like us on Facebook to keep up to date with all of the latest tax and accounting news.

Accountancy price challenge

In the meantime, if your business would like to save money why not take ourAccountancy Price Challenge? We offer an excellent and professional service and free advice for sole traders and limited companies.

Self-employment tips – part two

Self-employment tips business start up advice

In part two of our special self-employment feature, we take a look at some more important factors that you should consider.

Get a business bank account

As a sole trader, although your business income will be taxed alongside your personal tax, it is vital to keep your business records and finances separate from your personal affairs.

For this reason, we recommend you open a separate business bank account. Shop around, as you can usually find deals offering you up to 24 months free business banking.

Typically, your new account will be “John Bloggs trading as, or T/A, your Business Name”. Once again, it looks more professional to have your business name on cheques and invoices.

If you’re likely to hold cash for some time, you should also open a business deposit account to get a little interest on your money, even if rates are still at historic lows.

Keep accurate and up-to-date financial records

To be a successful sole trader, you must keep on top of your books.

From the start, you are obliged to keep clear and accurate records of all your business transactions. Not only will this ensure that you keep the tax authorities happy, but you’ll find it so much easier to operate your business if you are organised and your paperwork is constantly updated. Check out online systems like cashflow, sage and Xero.

When the time comes to submit your VAT return (if you’re VAT registered), pass your accounts information to your accountant and complete your annual self-assessment tax return, you’ll be able to get these done quickly and efficiently – giving you more time to work on your new business.

Need advice?

We hope that you enjoyed our Self-employment tips – Part Two and found it useful – don’t forget to check out part one of our special self-employment feature too, if you did.

If you need guidance about becoming self-employed, Omni Chartered Accountants are happy to help – request a free of charge call back from our website today or click here and we will contact you to discuss your situation.