Changing accountants

When deciding whether you should switch contractor accountants, there are a few things you should ask yourself:

• Does your current accountancy provider have a dedicated account manager who can swiftly and efficiently assist you with all of your queries?
• Does your current accountant inform you about industry news and legislation changes and provide you with advice to help you adapt?
• Does your current accountancy service suit the needs of your business?
• Does your accountant reply to your queries within a suitable period of time?
• Does your accountancy provider understand contractors and the industry?
• Does your accountant strive to resolve any issues at a high level of customer service?
• Does your accountant file your company accounts, Confirmation Statements or self-assessment tax returns on time and accurately?
• Is your current accountant knowledgeable about industry-specific legislation?
• Does your accountant offer helpful technology for submitting documents?

If you answered no to any of the questions above and feel that your accountant is not providing you with the service you need, or if you think you are currently doing more limited company administration than you would like, you should consider switching to a new contractor accountant.

Switching accountants may seem like a gamble, but it can be simple. Once you choose a new contractor accountant, you will notify your current accountant that you are leaving their service. A good accountant like Churchill Knight & Associates Ltd can take care of the rest.

Click here to see our limited company accountancy services, designed for contractors like you.

If you decide to change accountants, you must take your time to research the marketplace and choose an accountant that meets your requirements.

Here are the steps to follow when changing contractor accountants:

1. Give notice to your current accountant – You need to provide written notice to your current accountant. You must also adhere to an agreed notice period (if you have one) and ensure all payments are up-to-date.
2. When is the best time to change accountants? – The best time to change accountants is following your company year-end, as your company accounts will be up-to-date to ensure a smooth transition. This is also the more cost-effective route, as you will have paid for your year-end accounts to be completed. However, if you are desperate to switch, your new accountant may offer to take over your accounts and complete the year-end accounts for an additional fee.
3. Your new accountant will ask your current accountant for professional clearance – Your accounts and documents will be transferred to your new accountant. If you use accounting software (for example, FreeAgent), you must confirm the change in accountants.
4. Notify HMRC – You will need to sign form 64-8 to tell HMRC that the new accountant will represent your company. If you have access to your HMRC business tax account, you may be asked to add your new accountant to act for you for PAYE, VAT, and Corporation Tax. Before access can be granted to your new accountant, HMRC may post a code to your registered office address.