Using own accountant outside IR35

[raptor1261]

I will be starting an assignment Outside IR35 however the agency has referred me to paystream. Paystream are expensive and service hasn’t been great. An independent accountant is offering £99+vat which is considerably cheaper. Can I use whichever accountant I want for my ltd company

[cojak]

Yes you can, in fact moving away from the accountancy arm of Paystream would be a very good idea (look at the CK/Boox thread to see why).

[Fred Bloggs]

You can. I strongly recommend you use FreeAgent for your day to day book keeping since it is more or less the industry standard. You can pay a monthly subscription or get it for no charge with a NatWest group bank account.

[Lance]

I will be starting an assignment Outside IR35 however the agency has referred me to paystream. Paystream are expensive and service hasn’t been great. An independent accountant is offering £99+vat which is considerably cheaper. Can I use whichever accountant I want for my ltd company

the fact you have to ask that question suggests that you should not be running a LTD company.

<NLUK mode>
are you sure you're cut out for it?
</NLUK mode>

Seriously though. People are gettuing into trouble for letting an accountancy run their business for them. So you really need to run it yourself. Whilst it's not hard to do, when you aren't sure if you can choose your own accountant, then I reckon you're already way beyond your own capability.

Read the first timers guide to the right before you go any further, or ask any more questions.

[Fred Bloggs]

the fact you have to ask that question suggests that you should not be running a LTD company.


are you sure you're cut out for it?


Seriously though. People are gettuing into trouble for letting an accountancy run their business for them. So you really need to run it yourself. Whilst it's not hard to do, when you aren't sure if you can choose your own accountant, then I reckon you're already way beyond your own capability.

Read the first timers guide to the right before you go any further, or ask any more questions.

Yes, fair comment, I think.

[northernladuk]

Seriously though. People are gettuing into trouble for letting an accountancy run their business for them. So you really need to run it yourself. Whilst it's not hard to do, when you aren't sure if you can choose your own accountant, then I reckon you're already way beyond your own capability.

I see JB and FB agree with this and both are very experienced posters so wouldn't normally question it but there are two extremes here and surely there is a middle ground.

On one side, yes, there are many contractors totally ignorant to what is required to run their business so get led by the accountant. This is very poor form and can expect trouble. On the other is doing your own accounts which, even to experienced contractors is a burden.

Surely if we run a business then a business generally needs an accountant. There has to be a middle ground where we follow the same model as any other business. Absolutely don't be the lazy contractor that hasn't a clue about their business but surely doing away with an accountant isn't the only way to be safe?

Is there not a checklist to reduce the risk considerably? I'm totally guessing here but something like; -

Don't use an umbrella/accountant single firm and flip flop
Be more aware of your business, it's obligations and what decisions you need to make
Don't ask the accoutant for business advice or simple decisions about expenses etc
Better still don't use an accountant that is willing to guide you through this as part of their offering
Use FA or similar tool to do your own book keeping
Check your accountant is fully away of the MSC rules and get a detailed statement from them covering their service checking all factors don't touch the MSC issues

There has to be a way of safely using an accountant with our business? Doing it yourself just seems a bit of a knee jerk.

I do like the idea I think Eek mentioned the other day of moving away from a contractor specialist to a local general accountant to both hide and take away the risk the accountant knows more about my contracting business than I do but it seems unfair to have to do that when there are perfectly good contractor accountants around.

I'm currently with Gorilla and I've spoken to Dan about this and he assures me they are on top of it and have adjusted their model. I also only get mails from my accounant at VAT periods to check and sign and end of year and the very occassional question, again on a pure accounting issues. I'm pretty sure I'm clear but not if Gorilla as a whole gets picked up. It's frustrating that I believe I am truely running my business but I am also constantly nervous because I'm using an accountant if you get me.

[jamesbrown]

I think Lance was simply pointing out that, if you don't know whether you can choose your own accountant (I mean, seriously), then there's probably all manner of other things that you don't know about your statutory duties so, yeah, perhaps you are not fit to run a company; of course, the OP can educate themselves and make themselves fit, but ideally that comes first...

[Craig@Clarity]

I will be starting an assignment Outside IR35 however the agency has referred me to paystream. Paystream are expensive and service hasn’t been great. An independent accountant is offering £99+vat which is considerably cheaper. Can I use whichever accountant I want for my ltd company

Yes you can. Paystream may be on the agency's "preferred" supplier list but that doesn't mean you need to take them up on their 'recommendation'!

[Fred Bloggs]

I think Lance was simply pointing out that, if you don't know whether you can choose your own accountant (I mean, seriously), then there's probably all manner of other things that you don't know about your statutory duties so, yeah, perhaps you are not fit to run a company; of course, the OP can educate themselves and make themselves fit, but ideally that comes first...

Absolutely. And as a consequence we see thread after thread of people getting themselves into all kinds of situations that are easily avoided. Of course, then it's always somebody else's fault.

[Lance]

I think Lance was simply pointing out that, if you don't know whether you can choose your own accountant (I mean, seriously), then there's probably all manner of other things that you don't know about your statutory duties so, yeah, perhaps you are not fit to run a company; of course, the OP can educate themselves and make themselves fit, but ideally that comes first...

yes this ^^^^^

I was not suggesting for one second that the OP should have no accountant. Just that the OP runs the business not the accountant.

NLUK is having another brain fart I think. That xmas hat is clearly so tight he can't expel the gas quick enough.