Steve, who lives in Altrincham, was setting up his own business in the building industry as a subcontractor. After talking with his friends he was recommended to contact Pickard and Co, Chartered Accountants.
At the free introductory meeting at our office in Sale, Manchester, all the options as to how Steve could trade were explained, namely as a Limited Company, a Sole Trader, Limited Liability Partnership or a Partnership. Considering the industry he is in, it was decided to set Steve up as a Sole Trader operating under the Construction Industry Scheme (CIS scheme).
We discussed how the CIS scheme worked in detail. Deduction of tax at source meant, in Steve’s case, he could expect a tax repayment at the end of each tax year. Therefore, it was very important that Steve’s Sole Trader accounts were prepared as close to his financial year end as possible.
Steve decided, following the friendly free introductory meeting, to appoint Pickard & Co as his accountants.
After a few days we visited Steve at his Altrincham home for a bookkeeping meeting. Of the three choices, Accounts software, Computerised Spreadsheets and manual records, Steve chose the manual system using a cash book. During this meeting the whole process of record keeping was explained and demonstrated. Additionally, many tax issues were covered including VAT, employees and payroll, CIS tax, National Insurance, pensions, savings, family matters, wills and Inheritance Tax. After the bookkeeping meeting Steve was pleased to know that over the next six months Pickard & Co were readily available to help with any queries, a period that we call “hand holding”.