How much should an accountant cost for my private LTD?

[potato632]

I am currently sole trader looking to become a private LTD.

I have no employees and will reach the VAT threshold next tax year.

I am used to paying £150 for a self assessment as a sole trader. After looking around at prices, accountants for private LTD seem to charge around £1,000 for the year? Is that normal? Even ones like Crunch?

I understand an accountant will save me money but it's such a big jump in price.

My business and costs are really simple, nothing complex.

Will I be better looking for an individual/smaller company instead of Crunch or similar? I have no requirement for the accountant to be local as my business is digital anyway.

Thank you.

 

[Paul Kelly ICHYB]

Whilst it does sound a lot, it will depend on the work required. The more you do e.g. data entry/book keeping, the lower the cost. Speak to a few accountants before making a decision - there are a few good ones on here!

BTW, assuming you will also stay as self employed, you will also have to cover your self assessment costs.

 

[UKSBD]

My 1st accountantant were small when I joined but got bigger, started operating more schemes, were entreprenaurial, offices got plusher, fees rose.

My last year with them my fees were close to £2,500

I moved to a more basic accountantant who knew my needs and were charged £635 which included all the filing, company secretarial service fee, annual payroll for 2 and £45 Enquiry protection insurance.

 

[DontAsk]

My business and costs are really simple, nothing complex.

So why have you been paying £150/yr for SA? It's easy to DIY.

I pay less than £750/yr (inc VAT) for accountancy. It will be more if you want them to do your personal tax return and/or VAT returns on top of this.

Make it easy for them by using the same software, keep your books up to date and scan all receipts/invoices, rather than presenting them with a disorderly pile of paper.

 

[KM-Tiger]

I pay less than £500 for a Ltd Co and SA.

But I do the bookkeeping and VAT returns myself. Year end I email them CSVs from my software and they do the rest.

If you want a cheap price, make sure they don't have to do very much.

 

[Rawlinson Pryde]

If you go for an online option you may want to check:

1. Are they registered with a body
2. Who/where will your work be undertaken - there is a growing trend to outsource or use workers overseas to generally India and the Philippines where labour is cheap

 

[DWS]

If your accounts are pretty straight forwards then I can’t see why you would not get them done for around the £500 mark including your personal SA