Do I need an accountant for my limited company?

Do I need an accountant for my limited company?

If you run a limited company, you are not legally required to use an accountant. However, many company directors choose to work with one because limited companies have several filing, tax and record-keeping responsibilities.

A good accountant should do more than simply prepare accounts once a year. They should help you stay compliant, understand your numbers and plan ahead.

What does a limited company need to file?

Most limited companies need to prepare and file annual accounts with Companies House and a corporation tax return with HMRC. Directors may also need to complete a self assessment tax return, especially where they receive dividends or have other income to report.

If the company is VAT registered, VAT returns will also need to be submitted. If the company pays directors or employees through payroll, PAYE and RTI submissions may also be required.

Why use an accountant?

An accountant can help make sure deadlines are met, tax returns are prepared correctly and the company’s records are kept in good order.

They can also help with practical planning, such as:

• Corporation tax
• Director salary and dividends
• VAT
• Payroll
• Bookkeeping
• Xero and cloud accounting
• Cash flow
• Understanding company profits

The benefit is not just compliance. It is also having clearer information and better support when making business decisions.

When should you speak to an accountant?

Ideally, you should speak to an accountant before your company year end, not only after it has passed. This gives you more opportunity to plan ahead, review your tax position and make sure your records are organised.

It can also help avoid last-minute stress when filing deadlines are approaching.

Can I do it myself?

Some company directors do manage their own bookkeeping and accounts, especially when the company is very small. However, mistakes can be costly, and it is easy to miss planning opportunities if you only focus on filing the basics.

If your business is growing, VAT registered, paying dividends, using payroll or you simply want more confidence, working with an accountant can be a sensible decision.

How SB Business Consulting can help

At SB Business Consulting, we help small limited companies with accounts, corporation tax, bookkeeping, Xero, VAT, payroll and practical business advice.

Our aim is to make accounting and tax simple, clear and useful. We do the core compliance work, but also help you understand your numbers and plan ahead.

Need help with your limited company accounts?

If you want clear, practical accounting support for your limited company, get in touch today and tell us a little about your business.