We have a confession to make. As an accountant, doing bookkeeping, VAT returns and accounts for our own accountancy firm is always the last thing in our mind.
Of course, as an efficient accountant, we always do our VAT returns, accounts and tax returns in time.
However, if doing bookkeeping is the last thing on the "things-to-do" list of an accountant like us, we can't see why an ordinary small business would have the enthusiasm and commitment to do the bookkeeping job for their own business.
Here are the reasons why you shouldn't do bookkeeping yourself:
Time-consuming
You may decide to keep your books of accounts using excel spreadsheets or other accounting software such as ClearBooks, FreeAgent and KashFlow. However easy to use spreadsheets or accounting software, you still have to sit in front of your computer, flipping through piles of invoices, receipts and bank statements and entering each transaction into your computer, and it takes time and effort.
Assuming the number of transactions of your business is around 1,000 per annum, which is approximately 80 per month. If it takes you at least 90 seconds to post a transaction into your computer, it will take you at least two hours to post all the transactions in the month.
Can't you think of a better way to spend two hours in your life than sitting in front of your computer burying your head in piles of invoices and receipts?
Money-wasting
Many people are tempted to do bookkeeping themselves, thinking that by doing so, they can reduce the fees their accountants charge them. We can tell you that it is completely a myth.
If you decide to use accounting software, you will end up paying licence fees for the software. If you use excel spreadsheets, your accountants will try their best to find "flaws" on your spreadsheets in order to justify the extra time they spend to correct your "flaws" and therefore the extra fees they charge you.
Are you a competent bookkeeper?
Are you a well-trained bookkeeper? If not, how can you be sure that you've done your bookkeeping correctly? If you've got it all wrong, who is going to clear the mess for you? Your accountants? If you ask your accountants for "help", aren't you giving your accountants an "excuse" to charge you a fee for "helping you out"?
Bookkeeping is the last thing on your "things-to-do" list
For many people, doing books of accounts is the absolute last thing in their mind and for no particular reasons, they always leave it until the last minute to start doing the work. Needless to say, they are very likely late on filing their accounts and tax returns and end up paying penalties for late submission.
Bookkeeping is very boring
To be honest with you, as an accountant, we can tell you bookkeeping is very boring. A well-trained bookkeeper is "well-trained" not only because they have the required level of bookkeeping knowledge to do the job but also because they are "trained" to "sustain extreme boredom".
All we can say is bookkeeping is not a job for everyone. Although many people may perceive it as an "easy job", it is definitely boring and is not everyone's taste.
Because it is boring, a "non-trained bookkeeper" (i.e. an ordinary person lie you) tends to lose concentration while doing the job and as a result mistakes are made. It is extremely time-consuming to find the mistakes and correct them accordingly.
What if mistakes have been made
To locate the mistakes you have made on your spreadsheets or accounting data must one of the most frustrating things you come across in your life. After posting 1,000 transactions into your computer, you notice something not quite right and conclude that mistakes have been made. However, you don't know how many mistakes you have made nor do you where you have made the mistakes. Isn't it driving you crazy?
Alternatively, you may approach your accountants and scream for help. What will happen next? Your mistakes will be corrected at the expense of your wallet.
So if bookkeeping is so time-consuming, cost-inefficient and boring, why are you still doing it when you can ask cheap accountants like us to do it at a cheap price?
Visit our website
Sunday 25 September 2011
Monday 19 September 2011
Five Types of Accountants
As we all "know", there are five different types of accountants in the UK.
Traditional Accountants
Traditional accountancy businesses are run on a high profit margin but low volume basis. Their working procedure tends to be bureaucratic and "traditional". Their business approach (if any) is retrospective, introverted and irresponsive to the outside world.
Most of the tradiontal accountants charge their clients high (if not exorbitant) service fees simply because they can and they cleverly take full advantage of the loyalty of their clients. The favourite pricing methods of traditional accountants are hourly and turnover basis as it is considered to be the most efficient way to "justify" their huge accountancy bills.
The quality of the services to their clients is very low on their priority list as, being an tradtional accountant, they are "a bit" (if not deliberately) ignorant of what their clients really feel about the services they receive. Some of them are even more concerned with the quality of the ties they wear at the meetings with their clients than the quality of the services they actually provide for their clients. Isn't it sad?
E-Accountants
E-Accountants do things pretty much in an E way. You DIY your bookkeeping even though you are not a professional bookkeeper. The accounting software they recommend you to use includes ClearBooks, FreeAgents and KashFlow. Some of them may even recommend you to use Sage and QuickBooks.
E-Accountants tend to charge lower fees than traditional accountants because you are supposed to do 80% of the bookkeeping (and accounting) job yourself. E-Clients, while paying lower fees to their E-Accountants, are required to pay subsciption or licence fees for using accounting software.
Although bookeeping is not as "professional" a job as accounting, it does not mean you, as a non-professional bookkeeper, should do bookkeeping for your business on a DIY basis. Doing bookkeeping, as we all know, is always a tedious and time-consuming job, no matter how you do it. DIY bookkeeping together with E Accounting is a recipe for disaster.
Pigeon Accountants
Pigeon accountants relieve their clients of bookkeeping duty by sending freepost envelopes to them so that their clients can send business stuff to their pigeon accountants using the envelopes. The pigeon accountants can then do the bookkeeping in a pigeon style - simple and efficient.
Because pigeons tend to run a business on a low profit margin but high volume basis (completely oppposite to traditional "human" accountants), pigeon clients tend to get a very low fee.
As your business stuff is delivered by pigeons, a few problems may occur:
Donkey Accountants
As in other professions, there are always a few (if not too many) bad apples. Donkey accountants are accountants who talk like a donkey, think like a donkey and act like a donkey. They are as incompetent as donkeys.
How to spot donkey accountants? It could not be easier to spot donkey accountants. A typical donkey accountant has a long face with two eyes, one nose, one month and two ears. So if your accountant matches the descriptions above, he might be a donkey accountant.
Turf Accountants
Are they accountants?
Traditional Accountants
Traditional accountancy businesses are run on a high profit margin but low volume basis. Their working procedure tends to be bureaucratic and "traditional". Their business approach (if any) is retrospective, introverted and irresponsive to the outside world.
Most of the tradiontal accountants charge their clients high (if not exorbitant) service fees simply because they can and they cleverly take full advantage of the loyalty of their clients. The favourite pricing methods of traditional accountants are hourly and turnover basis as it is considered to be the most efficient way to "justify" their huge accountancy bills.
The quality of the services to their clients is very low on their priority list as, being an tradtional accountant, they are "a bit" (if not deliberately) ignorant of what their clients really feel about the services they receive. Some of them are even more concerned with the quality of the ties they wear at the meetings with their clients than the quality of the services they actually provide for their clients. Isn't it sad?
E-Accountants
E-Accountants do things pretty much in an E way. You DIY your bookkeeping even though you are not a professional bookkeeper. The accounting software they recommend you to use includes ClearBooks, FreeAgents and KashFlow. Some of them may even recommend you to use Sage and QuickBooks.
E-Accountants tend to charge lower fees than traditional accountants because you are supposed to do 80% of the bookkeeping (and accounting) job yourself. E-Clients, while paying lower fees to their E-Accountants, are required to pay subsciption or licence fees for using accounting software.
Although bookeeping is not as "professional" a job as accounting, it does not mean you, as a non-professional bookkeeper, should do bookkeeping for your business on a DIY basis. Doing bookkeeping, as we all know, is always a tedious and time-consuming job, no matter how you do it. DIY bookkeeping together with E Accounting is a recipe for disaster.
Pigeon Accountants
Pigeon accountants relieve their clients of bookkeeping duty by sending freepost envelopes to them so that their clients can send business stuff to their pigeon accountants using the envelopes. The pigeon accountants can then do the bookkeeping in a pigeon style - simple and efficient.
Because pigeons tend to run a business on a low profit margin but high volume basis (completely oppposite to traditional "human" accountants), pigeon clients tend to get a very low fee.
As your business stuff is delivered by pigeons, a few problems may occur:
- Your pigeons can get lost;
- Your pigeons can get killed by eagles or hawks;
- Your pigeons can be too busy looking for food or mating with each other;
- Your pigeons can be eaten by pelicans as shown in this video.
Donkey Accountants
As in other professions, there are always a few (if not too many) bad apples. Donkey accountants are accountants who talk like a donkey, think like a donkey and act like a donkey. They are as incompetent as donkeys.
How to spot donkey accountants? It could not be easier to spot donkey accountants. A typical donkey accountant has a long face with two eyes, one nose, one month and two ears. So if your accountant matches the descriptions above, he might be a donkey accountant.
Turf Accountants
Are they accountants?
Friday 16 September 2011
Who are we? We are cheap accountants and we are proud of being cheap.
Who are we? As the blog suggests, we are Abbi Becka Accountancy. We are cheap accountants dedicated to providing cheap and hassle-free bookkeeping and accountancy services to small businesses across the UK.
Cheap Accountants
For just £15 a month, you can get your bookkeeping, annual accounts and tax return done by us professionally.
Our monthly fixed fees cover absolutely every service we can provide for you, such as tax advice, company formation and business start-up.
Although our services are cheap, the quality of our services are by no means compromised.
Hassle-Free Accountants
Having been working in the industry for many years, we understand how frustrated business owners feel when it comes to keeping books of accounts.
That is why instead of asking our clients to maintain accounting records by preparing excel spreadsheets or using accounting software, we send a freepost envelope to our client every month so that they can send us all their business stuff (such as sales invoices and bank statements) using our freepost envelopes. On receipt of the business documents you sent through, we post all the transactions into our computer system, prepare your VAT return (if applicable), trading accounts and tax return and file them for you with HMRC (and Companies House).
Get an instant quote from us
One more feature of our accountancy firm is the transparency of our pricing system. Everyone can get an instant quote from us on our website. Instead of ringing up the accountants and getting a quote from them on the phone, you can simply visit our website and go to Give me an offer price section and get an offer price from us. If you like our offer price, you can accept our office price by submitting the form to us and we will contact you as quickly as possible.
Visit our website
Cheap Accountants
For just £15 a month, you can get your bookkeeping, annual accounts and tax return done by us professionally.
Our monthly fixed fees cover absolutely every service we can provide for you, such as tax advice, company formation and business start-up.
Although our services are cheap, the quality of our services are by no means compromised.
Hassle-Free Accountants
Having been working in the industry for many years, we understand how frustrated business owners feel when it comes to keeping books of accounts.
That is why instead of asking our clients to maintain accounting records by preparing excel spreadsheets or using accounting software, we send a freepost envelope to our client every month so that they can send us all their business stuff (such as sales invoices and bank statements) using our freepost envelopes. On receipt of the business documents you sent through, we post all the transactions into our computer system, prepare your VAT return (if applicable), trading accounts and tax return and file them for you with HMRC (and Companies House).
Get an instant quote from us
One more feature of our accountancy firm is the transparency of our pricing system. Everyone can get an instant quote from us on our website. Instead of ringing up the accountants and getting a quote from them on the phone, you can simply visit our website and go to Give me an offer price section and get an offer price from us. If you like our offer price, you can accept our office price by submitting the form to us and we will contact you as quickly as possible.
Visit our website
Subscribe to:
Posts (Atom)