FAQ

At Even Solutions Accountancy, we know that running a business comes with plenty of questions, especially when it comes to tax, bookkeeping, and compliance.

Our friendly accountants in London have put together this helpful FAQ to make things clearer. Whether you’re a freelancer, contractor, sole trader, or limited company owner, you’ll find straightforward answers to common accounting questions, all in plain English.

"making accounting simple"

general accounting and services

What areas do you cover?

Although we’re based in Berkshire, we proudly work with clients across the UK, supporting businesses in all industries through modern, cloud-based accounting. Using secure digital tools like Xero, FreeAgent, and Revolut Business, we can manage your accounts remotely — from bookkeeping and VAT returns to payroll and tax filings — without you needing to visit our office. Our team is always just a phone call or video chat away, so you get the same level of personal service and ongoing support wherever you’re based. Whether you’re a freelancer in London, a small business in Reading, or a contractor working nationwide, we’ll make sure your finances are always under control.

Do you only work with small businesses?

Small businesses, freelancers, and sole traders are at the heart of what we do, but we also support growing limited companies and startups. Many of our clients begin as sole traders and later grow into registered companies — and we guide them through every stage of that journey. Our services scale as your business does. Whether you need basic bookkeeping, detailed management accounts, or a full outsourced finance function, we adapt our support to your needs. So, if you’re expanding, hiring staff, or diversifying into new markets, you’ll have an experienced accounting partner right beside you.

Can you take over from my current accountant?

Yes, absolutely. If you’re ready to switch accountants, we’ll make the transition smooth and stress-free. All we need from you is your permission to contact your current accountant — we’ll then request all your financial records, tax information, and any other details needed to take over. We’ll ensure your deadlines are not disrupted during the handover and that there’s no duplication or confusion. You’ll also get a clear breakdown of how we work, what systems we use, and who your main point of contact will be. Clients often tell us they’re surprised at how easy the changeover is — and we handle it all with professionalism and care.

Do you offer bookkeeping services?

Yes — bookkeeping is one of our core services, and we know how much it can free up your time. We take care of recording all income and expenses, reconciling bank accounts, and keeping your books compliant with HMRC’s Making Tax Digital requirements. Our team uses cloud accounting software to automate and simplify your bookkeeping, so you always have an up-to-date view of your business finances. We’ll also help you understand your numbers — not just report them — by producing easy-to-read summaries that show how your business is performing. Many clients tell us that having us manage their bookkeeping gives them peace of mind, knowing everything is accurate, organised, and ready for tax time.

Do I really need an accountant for my small business?

You’re not legally required to have an accountant, but most business owners find it’s one of the best investments they can make. A good accountant helps you save time, reduce tax, and avoid penalties by keeping everything compliant with HMRC and Companies House. We do more than just file your numbers — we become a partner in your business. We help you understand your cash flow, make smarter financial decisions, and plan ahead with confidence. Whether it’s your first year of trading or you’re running a well-established company, having an accountant means you’ll always know where you stand financially. Working with Even Solutions Accountancy means you’ll get proactive advice throughout the year, not just at tax time. We’re here to simplify your finances and help you focus on what matters most — running and growing your business.

What accounting services do you offer?

We offer a complete range of accounting services designed to support businesses of all shapes and sizes. This includes bookkeeping, VAT returns, payroll, management accounts, year-end financial statements, and tax returns for both individuals and companies. We also assist with company formation, business startup advice, and tax planning, helping you operate efficiently and in line with your long-term goals. For clients who prefer digital management, we set up and maintain cloud accounting systems that provide real-time insights into your business finances. Whether you’re a freelancer looking for basic bookkeeping or a limited company needing full compliance support, our team tailors every service to match your requirements and budget.

"smart tax support that keeps you one step ahead"

tax & compliance

When are the key tax deadlines?

Staying on top of tax deadlines can be stressful — but that’s where we help. For individuals and sole traders, the key date to remember is 31 January, which is the deadline for submitting your online Self Assessment tax return and paying any tax owed for the previous tax year. If you run a limited company, you’ll need to file your Corporation Tax Return (CT600) within 12 months of your company’s year-end. However, the Corporation Tax payment itself is due sooner — 9 months and 1 day after your year-end. For VAT-registered businesses, returns are usually submitted quarterly, and the payment deadline is one month and seven days after the VAT period ends. Meanwhile, PAYE (Payroll) submissions must be made on or before payday each month. We understand these deadlines can quickly become overwhelming, which is why we track and manage them for you. Our clients enjoy peace of mind knowing their filings are submitted correctly and on time — avoiding any penalties or last-minute panic.

How do I pay myself from my limited company?

If you’re a director of a limited company, there are a few ways to pay yourself, but most business owners choose a combination of salary and dividends for tax efficiency. Here’s how it typically works: you take a small salary through PAYE (Payroll), which allows you to make use of your tax-free personal allowance and build entitlement to state benefits. Then, you can withdraw additional income as dividends, which are taxed at a lower rate than salary. This approach helps you reduce your overall tax bill while staying fully compliant with HMRC rules. We’ll help you decide on the most efficient structure for your situation, taking into account company profits, personal tax bands, and your long-term goals. At Even Solutions, we don’t just process your payroll — we provide guidance on the best way to extract profit from your business so that you keep more of what you earn.

What happens if I miss a tax deadline?

Missing a tax deadline can result in penalties and interest charges from HMRC. For example, filing your Self Assessment tax return even one day late can trigger an immediate £100 fine, and further delays can increase this amount significantly. The same applies to VAT and Corporation Tax — late submissions or payments can lead to surcharges and damage your business’s compliance record. But don’t worry, we help you stay ahead of these issues by monitoring all key dates, sending reminders, and handling submissions on your behalf. If something does go wrong, we’ll work directly with HMRC to resolve any issues quickly and minimise penalties. Our aim is to make sure you never miss a deadline again — freeing you from the stress of keeping up with tax paperwork.

What is Making Tax Digital (MTD)?

Making Tax Digital (MTD) is HMRC’s initiative to modernise the tax system by requiring businesses to keep digital records and submit their returns electronically. It currently applies to all VAT-registered businesses, and it’s gradually being rolled out for income tax and corporation tax in the coming years. If your business falls under MTD rules, you’ll need to use HMRC-approved software to record your transactions and submit VAT returns. This might sound complicated, but we handle the setup for you — connecting your accounting software (like Xero or FreeAgent) directly to HMRC’s system so everything runs smoothly. We’ll make sure your business stays compliant with MTD requirements and that your financial data is accurate, secure, and up to date.

Do you help with Self Assessment tax returns?

Yes — we handle Self Assessment tax returns for sole traders, freelancers, company directors, and landlords. Preparing a tax return can be time-consuming and confusing, especially when you’re trying to figure out what expenses you can claim or how to report multiple income sources. We take the stress out of the process by preparing and submitting your return on your behalf. Our team ensures all your figures are correct, deadlines are met, and every allowable deduction is claimed. Whether it’s business expenses, mileage, or home office costs, we’ll make sure you’re paying the right amount — and not a penny more. We also help with tax planning throughout the year, so you’re not caught off guard when the payment deadline arrives. You’ll know exactly what’s due and when — no surprises, no stress.

Do I need to register for VAT?

You must register for VAT once your taxable turnover exceeds £90,000 in any rolling 12-month period. However, you can also register voluntarily if it benefits your business — for example, if you have significant VAT-charged expenses or if most of your clients are VAT-registered businesses. Registering for VAT means you’ll need to charge VAT on your sales, submit quarterly returns, and keep digital records in line with Making Tax Digital rules. While this adds some admin, the benefit is that you can reclaim VAT on eligible business expenses. At Even Solutions, we’ll help you determine whether VAT registration is right for you and guide you through the process. Once registered, we’ll manage your VAT returns and ensure everything is filed correctly and on time.

"your business journey starts with the right advice"

start up & advice

Should I be a sole trader or a limited company?

This is one of the most common questions we get from new business owners — and for good reason. The choice between operating as a sole trader or setting up a limited company affects everything from how you pay tax to how much admin you’ll need to do. If you’re just starting out, becoming a sole trader is the simplest route. You’ll have full control of your business, minimal paperwork, and all profits go straight to you. However, you’ll also be personally responsible for any debts or liabilities, meaning your personal assets could be at risk if the business faces financial trouble. A limited company, on the other hand, is a separate legal entity. This means your personal finances are protected if the business runs into difficulty. Limited companies can also be more tax-efficient once profits increase and often appear more professional to clients and suppliers. At Even Solutions, we’ll help you weigh up both options and choose the structure that best suits your goals. We’ll also guide you through the registration process, manage the setup with Companies House, and ensure you’re fully compliant with HMRC from day one.

Can you help me switch from sole trader to a limited company?

Yes — we make the transition from sole trader to limited company simple and seamless. Many business owners decide to incorporate once their income grows or they want the protection and credibility that comes with being a registered company. We’ll take care of everything, including registering your new company with Companies House, setting up Corporation Tax, and transferring your business bank accounts and accounting records. We also ensure all outstanding taxes from your sole trader business are closed off properly, so there’s no confusion between the two entities. Once you’re incorporated, we’ll help you structure your income tax-efficiently and set up the right cloud accounting software to manage your finances going forward. With us, you can focus on running your business while we handle the paperwork.

Can you help with business planning and cash-flow forecasts?

Absolutely. Every successful business starts with a solid financial plan. We can help you prepare cash flow forecasts, budget reports, and profit projections that give you a clear picture of your financial health. Understanding your numbers helps you make better business decisions — like when to expand, how much to invest, and what costs to reduce. It’s also essential if you’re seeking a loan or investment, as lenders often require detailed financial projections before approving funding. Our team takes the time to understand your goals and challenges, then uses real-time data from your accounting software to create accurate forecasts. We’ll also review these with you regularly to ensure you’re staying on track and to adjust plans as your business grows.

Do you help with mortgage or loan applications?

Yes — we often support clients who need accountant’s references or financial statements for mortgage or business loan applications. Lenders want to see that your business is financially stable and your income is verifiable, and we can provide the professional reports they need. We’ll prepare your profit and loss statements, balance sheets, and cash flow summaries, along with any supporting documentation. Because we’re qualified accountants, our reports are trusted by lenders and financial institutions. Whether you’re applying for a personal mortgage or a business loan, we’ll ensure your financial paperwork is clear, accurate, and presented in the best possible light.

Can you help with company formation and startups?

Yes, we love helping new businesses get started. Setting up a company can be confusing — from choosing a name to registering for taxes — but we make it simple. We’ll register your business with Companies House, set up Corporation Tax, and handle any additional registrations like VAT or PAYE if needed. We’ll also guide you on opening a business bank account and setting up your cloud accounting software (such as FreeAgent or Xero) to track your finances from day one. Starting a business is exciting, but it can also be daunting. Our role is to make sure you start off on the right foot — compliant, organised, and ready to grow. Whether you’re a freelancer going limited, a startup building your first company, or a contractor expanding operations, we’ll support you every step of the way.

Do I need to register for VAT?

"modern accounting for modern businesses"

cloud accounting & technology

What is cloud accounting and how does it help?

Cloud accounting is a modern, secure way to manage your business finances online. Instead of saving everything on one computer, your data is stored safely in the cloud — which means you can access it anytime, anywhere, using your laptop, tablet, or phone. The biggest advantage of cloud accounting is real-time visibility. You can instantly see your cash flow, check who owes you money, track your expenses, and even send invoices on the go. For business owners, this means no more guesswork — you’ll always have a clear picture of your financial position. It also makes collaboration easier. Both you and your accountant can access the same up-to-date information, meaning we can spot issues early, help plan for tax, and give proactive advice throughout the year — not just at year-end. At Even Solutions Accountancy, we help clients switch to cloud accounting seamlessly. We’ll set everything up, integrate your bank feeds, and show you how to make the most of the features. Once you start using it, you’ll wonder how you ever managed without it.

Which accounting software do you use?

We work with some of the most trusted and user-friendly cloud accounting platforms, including Xero, FreeAgent, and Revolut Business. These tools are designed to simplify bookkeeping, automate admin tasks, and keep you compliant with HMRC’s Making Tax Digital (MTD) requirements. Each platform has its strengths. For example, FreeAgent is perfect for freelancers and contractors who need an all-in-one tool for invoices, expenses, and tax. Xero, on the other hand, offers powerful reporting and integrations for growing businesses. Revolut Business is great for managing payments, virtual cards, and multi-currency transactions. We’ll help you choose the software that best suits your business and handle the setup, migration, and training. And if you’re already using one of these platforms, we’ll connect to it directly so we can collaborate in real time.

Is cloud accounting safe?

Yes — in fact, it’s often safer than traditional desktop software. Cloud accounting providers use bank-level encryption, secure login systems, and automatic backups to protect your data. Your information is stored securely in the cloud, so even if your computer is lost or damaged, your accounts are safe and can be accessed instantly from another device. The software providers we use (such as Xero and FreeAgent) are HMRC-recognised and follow strict data protection standards. We also use secure client portals and encrypted email systems for sharing sensitive information, so your personal and financial data is always protected. You can rest assured that your business information is in safe hands.

"stress-free payroll for growing businesses"

payroll & employees

Do you run payroll for small teams?

Yes, absolutely. Whether you’re a one-person limited company paying yourself as a director, or you manage a small team of employees, we can handle your entire payroll process from start to finish. Our payroll service includes calculating wages, deducting tax and National Insurance, producing payslips, and submitting Real Time Information (RTI) reports to HMRC every pay period. We’ll also make sure your business remains compliant with employment legislation and HMRC rules at all times. If you prefer, we can also manage auto-enrolment pensions, ensuring employees are enrolled in a workplace pension and contributions are submitted correctly each month. We understand payroll deadlines are strict and mistakes can be stressful — that’s why we take care of everything on your behalf. You’ll get peace of mind knowing your employees are paid accurately and on time, every time.

Do I need a workplace pension scheme?

If you employ one or more people, then yes — you’re legally required to set up a workplace pension scheme under the UK’s auto-enrolment rules. Every eligible employee must be automatically enrolled and both you and your employees must make regular contributions. Setting this up can sound daunting, but we make it simple. We’ll register your business with The Pensions Regulator, set up your chosen pension provider, and handle the ongoing submissions and payments for you. We also keep track of any new hires or changes to staff eligibility, so your records stay accurate and compliant. You’ll always know your business is meeting its legal obligations while supporting your team’s future.

When should I register for PAYE?

If you’re paying yourself or anyone else a regular salary above the National Insurance threshold, then you’ll need to register your business for PAYE (Pay As You Earn) with HMRC. For most limited company directors, this means registering even if you’re the only person on the payroll. PAYE ensures that Income Tax and National Insurance are correctly deducted each month and reported to HMRC. We’ll take care of the full registration process, set up your PAYE scheme, and make sure your payroll software (such as Xero or FreeAgent) is connected to HMRC’s systems. Even if you’re unsure whether you need to register, we can review your situation and give you clear advice. Many directors use a combination of a small salary (through PAYE) and dividends for tax efficiency — and we can help you structure this properly from day one.

"year round tax support to keep you in control"

tax planning and support

Can you help me plan for tax savings?

Absolutely — smart tax planning is one of the biggest benefits of working with a proactive accountant. We don’t just file your tax returns; we look at your entire financial picture to find ways to save tax and increase efficiency. Throughout the year, we’ll review your income, expenses, and business structure to identify any opportunities for savings — whether that’s making the most of allowances, timing purchases strategically, or paying yourself in the most tax-efficient way. For example, we might help you optimise your mix of salary and dividends, claim capital allowances on business equipment, or make use of annual investment reliefs. We’ll also remind you of upcoming tax changes and ensure you’re prepared well in advance of any deadlines. Our goal is simple: to help you keep more of what you earn, while staying fully compliant with HMRC rules.

Do you offer business advisory services?

Yes — we go beyond compliance to help you understand and grow your business. Our business advisory services are designed to give you practical insights into your performance and help you make confident, informed decisions. We’ll review your accounts, analyse your cash flow, and identify trends or risks before they become problems. From there, we can work with you to set realistic goals, improve profitability, and plan for sustainable growth. We’re not just accountants — we’re partners in your business success. Whether you’re thinking about expansion, investment, or restructuring, we’ll give you clear, jargon-free advice that’s tailored to your specific situation.

How do I know which expenses are tax-deductible?

A general rule is that an expense must be “wholly and exclusively” for business purposes to be tax-deductible — but in practice, this can get tricky. That’s where we come in. We’ll guide you on what can and can’t be claimed, from everyday expenses like travel, marketing, and software subscriptions, to more complex items like home office costs, business equipment, and professional fees. We’ll also help you record everything correctly — whether through your cloud accounting software, a receipt capture app, or a simple digital folder. Keeping organised records not only makes life easier at tax time but ensures you never miss a legitimate deduction. At Even Solutions, we’ll make sure you claim every allowable expense while staying compliant with HMRC rules. No guesswork, no stress — just peace of mind that you’re not overpaying tax.

"your trusted partner in accounting”

client experience

How do I contact you if I have a question?

We like to make communication simple and stress-free. You can reach us by phone, email, or video call, whichever suits you best. We’re always happy to answer your questions — no matter how big or small — and we pride ourselves on being approachable and easy to reach. Our clients often tell us they value how quickly we respond and how clearly we explain things. There’s no complicated accounting jargon — just friendly, professional advice in plain English. Whether you’re checking a tax deadline, need help with an invoice, or want to chat through your next business move, we’re here to support you.

Do you offer fixed monthly fees?

Yes — we believe in transparency and fairness. That’s why we offer clear, fixed monthly packages so you always know exactly what you’re paying and what’s included. Our packages are designed to suit different business types — from sole traders and freelancers to limited companies and growing small businesses. Each plan includes the core services you need (like bookkeeping, VAT, payroll, and tax returns), with the option to add extras such as business planning or cash flow support. There are no hidden fees, no surprise bills, and no long-term contracts you’re tied into. Just simple, predictable pricing that makes managing your business finances easier.

What happens if my business grows?

That’s the goal — and we’ll be right there with you when it happens. Our services scale as your business does, meaning you can start with the essentials and add more support as you grow. If you begin as a sole trader and later incorporate as a limited company, we’ll manage that transition smoothly. If you start hiring staff, we’ll set up and run payroll. And if your revenue increases, we’ll adjust your tax planning to make sure you’re operating in the most efficient way possible. We build long-term relationships with our clients, so as your business evolves, your accounting support evolves with it.

Why choose Even Solutions Accountancy?

Because we genuinely care about your success. At Even Solutions, we combine the professionalism of a chartered accounting practice with the warmth and personal touch of a small firm. Our goal is to take the stress out of managing your finances. We use modern tools, plain language, and proactive communication to make accounting simple, clear, and stress-free. Whether you’re a freelancer, contractor, or small business owner, you’ll always get honest advice and reliable support tailored to your needs. Our clients describe us as approachable, efficient, and easy to work with — and we take pride in building lasting relationships based on trust, transparency, and results.

Can you work with clients remotely?

Yes, and in fact, most of our clients work with us remotely. Thanks to secure cloud accounting software and digital tools, we can manage your accounts, payroll, and VAT returns from anywhere in the UK. You’ll have full visibility over your finances in real time, and we’ll still offer the same friendly, personal service as if you were sitting across the desk from us. Everything is shared securely through encrypted systems, so your information stays private and protected. Whether you prefer phone calls, video meetings, or quick emails, we’ll work the way that suits you best.

How much do your accounting services cost?

Our pricing is flexible and based on the level of support you need. Because every business is different, we don’t use one-size-fits-all pricing. Instead, we’ll provide you with a clear, customised quote after a quick chat about your goals, business structure, and requirements. We offer affordable monthly packages that include everything you need — from bookkeeping and VAT returns to payroll and year-end accounts. You’ll never pay for services you don’t use, and we’ll always be upfront about costs. Our approach is simple: fair pricing, no surprises, and great value for money.

How do I get started?

Getting started is easy! Simply get in touch to book your free initial consultation. We’ll take the time to learn about your business, your goals, and the type of accounting support you’re looking for. Once you’re happy to proceed, we’ll handle all the onboarding — setting up your accounting system, requesting any necessary documents, and getting you up and running without delay. From there, you’ll have a dedicated accountant who knows your business inside out and will be there year-round to provide advice, reminders, and ongoing support. Whether you’re just starting out or looking to simplify your existing setup, we’ll make sure the process is smooth, stress-free, and — most importantly — beneficial to your business.

ready to launch you business with confidence

Starting your business journey is exciting, and we're here to ensure your financial foundations are solid from day one. At Even Solutions Accountancy, we provide clear, jargon-free guidance tailored to your startup's needs.

Book your free consultation today

Let's discuss how we can support your startup's success.