Accountex Summit North heralded a success for its face-to-face come-back show
The accounting profession were reunited last month at Accountex Summit North, which took place on 20-21 September 2021 at Manchester Central. Raring to get back to face-to-face business and networking – the long-awaited summit welcomed 1,352 senior accountancy and finance professionals.
They were there to meet over 85 global brands and cutting-edge start-ups demoing their latest services and software programmes – helping to streamline accountancy practices across the UK.
The two-day event was heralded a major success with visiting accounting professionals. Margaret Middlemass senior manager at Sagars Accountants says: “I really appreciated the chance to meet and speak to so many of our suppliers in one day and explore potential new solutions, especially after such a long period with only remote access.”
“I really appreciated the chance to meet and speak to so many of our suppliers in one day and explore potential new solutions, especially after such a long period with only remote access.”
Heather Palmer, director at Ascot Bookkeeping & Accounting Ltd says: “This was my first time visiting Accountex Summit North, but I certainly wasn't disappointed. The atmosphere was incredible, and the quality of exhibitors was first class. Can’t wait for 2022!”
World-class Keynotes
Alongside the buzzing exhibition floor, the conference ran a world-class keynote programme with talks that covered pertinent topics in the world of accounting – including Making Tax Digital, starting up a practice, flexible working, and the future of accounting.
Chartered accountant Sharon Turner says: “It was great to see other business leaders sharing their successes (and failures!) and providing insights into the accounting world. It’s so useful to network and see how other firms are managing upcoming changes.”
“It’s vital for accountants to be at Accountex Summit North and to talk with people about the new developments in the industry."
Accountex speaker, author and trainer at Profit First Professionals, Femke Hogema says: “It’s vital for accountants to be at Accountex Summit North and to talk with people about the new developments in the industry – because you can only be a profit advisor if the fundamentals and basics are done by effective systems, so you have more time to help your clients. And that’s why this event is so important!”
‘Highlight of the year’
Exhibitors were also excited to get back to meeting potential clients away from a virtual setting, made evident by the glowing testimonials across the show-floor.
Jenny Fogarty, director of marketing and sales operations at AutoEntry says: “Accountex Summit North has been a great show, it always is. It’s one of the highlights of the year for us and our team. It’s great to be back here, especially after Covid! We’ve missed meeting our customers face-to-face and also meeting other suppliers to find out what’s going on in the industry.”
“Accountex is one of the most important events in the accounting industry."
Verifying the value of the show, Sage’s senior marketing manager, David Watson says: “Accountex is one of the most important events in the accounting industry. It’s important for Sage, one of the market leaders, to be present here as we’re committed to our clients, accountants and bookkeepers in the UK. Plus, we’ve had lots of traffic and a big increase on the number of leads since 2019 from being here.”
11% more attendees
Event organisers Diversified Communications UK were thrilled to see the industry have a strong appetite for face-to-face events yet again, and plans are now well underway for the London edition of Accountex.
Accountex Portfolio Director, Caroline Hobden commented: “Arguably the most important event in many years, Accountex Summit North 2021 delivered an almighty punch when it returned to its Manchester Central home last month. Attendees gladly said goodbye to the virtual world for the first time in over two years when they were finally able to come together to celebrate not only the accounting and finance profession, but also their shared love of in person, face-to-face events.
“Arguably the most important event in many years, Accountex Summit North 2021 delivered an almighty punch when it returned to its Manchester Central home last month."
We must extend a huge thank you to all the exhibitors and visitors who, along with our committed team, took the plunge back into the physical world of events. This united front has helped to shape an incredible event that welcomed 11% more attendees than 2019, which in the current climate is incredible. With a visible light at the end of the tunnel, and an overwhelming need for live events, the next one to look forward to is Accountex London 2022, taking place on 11-12 May at ExCeL London.”
Accountex Summit North 2022
Accountex Summit North will return to Manchester Central on 12 October 2022. For more information and to keep up with the latest news about the event, please visit www.accountex.co.uk/summitnorth.
Accountex will take place on 11-12 May 2022 at Excel, London. To register for a free trade ticket, please visit www.accountex.co.uk.
Navigating the complexities of hybrid work together
Microsoft say there is no universal approach to hybrid work. It's a matter of meeting the unique needs of your business and employees.
With the move to hybrid work, we’re on the brink of a disruption. Organizations are fast adopting a blended operating model with some employees returning to the workplace and others continuing to work from home. At the same time, it is also emerging that there is no universal approach to hybrid work. Every organization will need to adapt differently to access and deliver the needs of their employees. Employees are keen on flexible remote work options, but they also crave for more in-person collaboration. And this is the hybrid work paradox that we need to address urgently.
Every organization wants to empower people for a world of work that is dynamic, fluid, and cloud-powered. They want to find ways for people to work not just from anywhere but at any time, with solutions that allow both synchronous and asynchronous collaboration. And it’s a ‘whole organization’ shift —this is a conversation that requires leaders across the entire organization to come together to rethink work.
The choices an organization now makes will impact it for years to come. It’s a moment that requires a clear vision. Organizations need a plan and policies that put them on the path to extreme flexibility. These decisions will impact everything from how they shape culture to how they attract and retain talent to how respond to changes in the environment to future innovation.
The future of work is hybrid.
We remain committed to delivering experiences that anticipate the different ways teams need to work together while providing the flexibility and agility we now require – across people, places and processes. We’re giving employees a clear flexible work policy—any employee can work remotely up to 50 percent of the time. We’re also building privacy-backed listening systems to capture digital signals with tools including Workplace Analytics, part of Viva Insights, which lets managers and leaders check in on the wellbeing of their teams and organizations empowering managers and leaders to “hire talent from everywhere” and create their own team norms.
Our approach to places hinges on bridging the gap between the physical and digital, and evolving with employee needs. It starts with prioritizing employee safety.
Every business process will need to be transformed in the shift to hybrid work, and so we’re also taking the opportunity to reimagine our key business processes—from operations to sales.
Reimagine the employee experience.
It is also critical to include technology that enables teamwork and creates a new digital employee experience that follows employees no matter where they go.
With a hybrid workplace model, you're providing employees an exceptional place to work, create greater collaboration and community, and showcase an example of the modern workplace that is both flexible and hybrid. The next phase will bring challenges and opportunities, but we’re optimistic about the future. If we take what we’ve learned from overcoming a once-in-a-hundred-year challenge and use it to chart a path forward that gives people the flexibility they need, together we can build a better world of work for everyone.
By Rajiv Sodhi, Chief Operating Officer, Microsoft India
Check out these tips for navigating the hybrid landscape: msft.it/6003nWUyz
The change to becoming an advisory-led firm
If you’ve made the decision to become a business advisory firm and operate in the high value sector of the market then well done! You have made the first change in a process that will differentiate your firm from compliance led businesses.
If you make the change then you will be spending more fee earning time advising clients and less time on producing accounts and tax returns.
Create a vision or your future practice in two years, see what your people need to learn, how they need to develop and help them to embrace that change.
Change is necessary to reposition so share your vision with your team early, people don’t generally like change, but it is essential in today’s environment. Get your team on board early.
The next step is to systematise compliance work using cloud accounting software and most importantly choosing software that allows bookkeeping and the filing of accounts and tax returns directly from that package. This will speed up your MTD quarterly or year- end procedures. You may choose to outsource work or use an offshore team for production, the most profitable firms do this already.
Once you’ve reorganised compliance now is the time to “Position” as an advisory firm. This means you demonstrate you can help business owners with their future and not just the past. Your web site should prominently feature advisory services such as Finance, Strategy, Wealth Management, Tax planning and profit improvement. Readers should immediately understand your sales proposition. You should put educational resources and articles on your web site.
All social media should demonstrate you advise “on the future”, use case studies, testimonials and focus on the benefits of advisory. You need to this daily and you may choose to hire a social media person to help you. Content should come from your team if practicable. Example reports such as a strategic plan, “what if” scenario and similar should be sent to prospects and clients and available for down load for your web site.
Team training to use planning tools and to become more aware of the opportunities to advise clients will need to be done regularly. Use your Wealth management, finance, tax planners to educate your team and to encourage discussions with clients about their aims, hopes and ambitions. Generating advisory work typically requires a conversation about a client’s future.
Positioning your firm and making the changes now will keep you ahead of the curve and it is more rewarding advising clients about their future rather than “filing away” their past!
The Business Advisory Manual (B.A.M) contains the guidance, training and tools, to position your firm as a business adviser and the resources to make this happen.
B.A.M is supported by the Business Adviser Hub, a dedicated resources centre containing the training, marketing resources, engagement letters, checklists, guidance notes and calculators to help you become more confident in promoting and delivering advisory services.
See more at Accountex on Stand 676 or HERE
The true meaning of cloud: cost and customer experience
There’s no shortage of buzzwords in accounting: Advisory services, AI, fintech - and, of course, ‘cloud’, or more specifically ‘cloud accounting’.
The term ‘cloud’ has been bandied around for the last five years. The trend made its mark in the profession a while ago, but in the last few years, something changed. You may have heard of it: Making Tax Digital.
As many industry experts have pointed out when MTD was announced, the quarterly filing requirement and expense updates with HMRC triggered a second boom in cloud adoption among practitioners.
But what happened after this second boom is telling. While accountants drove the cloud boom, businesses lagged behind in cloud accounting software adoption. In other words, once the initial MTD panic fizzled after MTD for income tax was delayed, cloud adoption waned, too.
This cycle of cloud boom and bust shows that, for too long, the real benefits of cloud software, both from a customer experience and cost perspective, have remained elusive. Cloud was a feature, something tacked on to make the software more marketable rather than more effective.
To extract the real benefits of cloud – whether that's improved security, the elimination of annoying, repetitive task or good old-fashioned value for money – it needs to bind every corner of your practice’s work together.
That is what sets Capium apart; it has been a true cloud system from day one. It offers the decentralisation you expect from the cloud, but it goes so much deeper than that. As much as it liberates your accounting software from the desktop, it consolidates your workflow into one place.
That means a clear overview of all your work in one place, increased efficiency, reduced cost and clear accountability and resource management. True cloud accounting will filter into every corner of your practice.
You could finally offer sustainable, flexible working and deliver amazing, always on customer service from anywhere. This is a different vision of cloud accounting: No longer a buzzword or an added-on feature -- but the central pillar of your practice and customer experience.
Capium are at Accountex on Stand 410
Software for everyone: Capium is designed with accountants in mind
Capium is designed for everyone. In other words, our users aren’t just business owners, but the legion of agents that represent them.
That’s an important distinction to make because accounting, more so than ever, is a collaborative enterprise. It doesn’t happen in steps and stages anymore, bouncing back and forth between client and accountant.
Instead, it’s a continuous, iterative process involving both stakeholders. Making Tax Digital is deepening this dynamic. With quarterly filing requirements, MTD is a logistical challenge as much as it is a technical one.
The era of digital tax means accountants need better communication, more fluid workflows and secure data capture all through one, centralised and simple-to-use software. Both the accountant and client will work side-by-side under MTD.
Capium is an end-to-end software, including practice management (along with a CRM) and SME data capture tools, all of which connect seamlessly with our core tax software. And best of all, it all just works from day one.
Top tips – start offering finance to your clients
The British Business Bank’s recent Small Business Finance Markets 2018/19 Report found that only seven percent of UK businesses turn to their accountant or financial adviser when in need for finance. In comparison, 37 per cent reach out to their bank directly for help, while 19 per cent conduct their own online research. Even more striking, 20 per cent of UK businesses don’t act at all if in need of additional funds.
These numbers clearly illustrate that there remains a significant untapped opportunity for accountants and business finance advisers when it comes to helping their clients raise finance.
Working with a range of partners, we often hear it can be difficult to initiate conversations with clients about sourcing funding and knowing when it is required. Recognise the predicament? If so, the following tips will help you get started:
Identify your clients’ needs
How do you know whether one of your clients might need additional funding? Planning ahead is crucial. Luckily, a growing number of businesses are getting in the habit of cash flow forecasting. Accountants and financial advisers are therefore in the perfect position to help their clients develop a proactive attitude towards business planning.
That said, it is not always easy to anticipate clients’ needs months in advance. We see an increasing number of partners investing time in building stronger relationships with clients in order to better understand their exact business needs. Not only can they then start offering the right support and advice when it comes to funding and business planning, but crucially, they are in a better position to deliver it at the precise time required.
Find out how much funding your client needs
Once you have identified the requirements of a client, how do you know how much additional funding a business needs? For George Wright, MSIF Finance Hub Facilitator, this is a daily task when supporting the growth of businesses: “One of my first questions when dealing with a business looking for funding is ‘How much do you believe you need?’ If it’s an amount that they know, I will always ask how they have arrived at that figure. My reasoning for this is that irrespective of the amount that the business might ask for, they shouldn’t be applying for funding without having undertaken some kind of forecasting, whether this is a simple cash flow or an integrated set of forecasts.”
Gregg Harding, Business Finance Specialist at Oxford Innovation, a business advisory organisation, believes that intermediaries can add value by sometimes asking the more uncomfortable questions: “Helping clients with a ‘sanity check’ and determining why the funding is necessary is where accountants and financial advisers can really make a difference. New funding might increase a business’ turnover, but is it having a considerable impact on their profit? And if the client is taking quite a risk, does it, ultimately, make business sense?”
Stay on top of a changing industry
In order to be able to advise clients about the different funding options available to them, it is crucial to stay up-to-date with current trends and developments, but also to make the relevant industry contacts. Regularly attending trade shows, networking events and reading relevant news and publications all help to provide a solid understanding of the funding landscape.
With the advisory landscape constantly changing, knowledgeable and dynamic accountancy and business advisory practices are set to be the real winners. Ultimately, they will be in a better position to attract and retain clients than their competitors, and by extension, grow their own business.
Ben Bradnam is Spotcap’s Business Operations Manager and will be speaking at Accountex on Wednesday, 1 May, on Business Funding Beyond Banks. Find out more about Spotcap here:
Scanning solutions boost MTD efficiency for accountants
Making Tax Digital Is Simple With Fujitsu ScanSnap Scanners
If you represent a business, you'll be aware of HMRC’s Making Tax Digital policy. To recap, it's a plan to ensure every business and individual has access to their own digital tax account. As of April 2019 businesses operating above the VAT threshold of £85k will have to use this system to digitally keep their VAT records and file their VAT returns using MTD compatible software.
If you’re used to dealing with paper, this can sound like a daunting proposition. Fortunately, Fujitsu’s cutting-edge scanner hardware and the ScanSnap Cloud are the ideal solution for HMRC’s Making Tax Digital plans. Read on to find out more…
What exactly is Making Tax Digital?
If it’s not something you’re already thinking about, it’s important to know that businesses are now mandated to use the recently announced Making Tax Digital platform to meet their VAT obligations.
If you’re running a small business with a turnover below the VAT threshold, you can choose to use the system but you won’t have to. The deadline has been extended.
Benefits of the online portal
So what are the benefits? Well, apart from the end of the dreaded tax return, this change means users won’t have to give HMRC information it already has access to – such as from employers, banks and other government departments.
It also enables people and businesses to keep an eye on their tax in real time. No more waiting till the end of the financial year – or longer – to find out how much tax is owed to HMRC or due in repayments.
Just as with online banking, with Making Tax Digital, businesses will be able to access a comprehensive online account. Digital record-keeping software will be linked directly to HMRC systems enabling people to send and receive information using the software – and that’s where your Fujitsu ScanSnap scanner comes into play.
Fujitsu ScanSnap scanners
Scanning documents is a simple and effective way to ensure all the documentation you need for your VAT and tax returns is stored securely in one place and is easily accessible for your online accounts.
ScanSnap Scanners from Fujitsu enable everything from printed receipts to invoices and even parking or train tickets can be quickly and simply scanned in. ScanSnap Cloud will even identify the type of content you upload and route it directly to your preferred cloud service, so there’s no need to even boot up your PC.
You can rest assured everything you need is held securely online and all in one place, making it easy to submit your VAT and online tax return when the time comes. It’s organised, effective document-keeping – ideal for businesses large and small.
Check out our comprehensive selection at www.ScanSnapit.com. Until 12 May anyone purchasing a ScanSnap iX1500 can claim a free ScanSnap iX100.
Why add scanners to your product portfolio?
Digital transformation has been around a while but it is only really just starting to come to the thinking and realisation of small and medium sized businesses who are looking at ways of becoming more efficient, working smarter and saving money.
There are several advantages to scanning documents and merging them with digitally born material, all of which can help open up a conversation with your customers around document scanners and the need for a dedicated scanning device.
Save Money - Document scanning eliminates the need to maintain paper based filing systems. This reduces the costs associated with filing, archiving and long term storage of paper records
Productivity Gains – Studies have shown that employees spend twenty percent of their day searching for information. Using document management software, users can access decision making information in seconds, saving time and improving productivity.
Collaboration – Many document scanning systems integrate with business applications allowing faster access and the ability to share information in real-time.
Easy organization - Electronic documents can be organized much faster, better, and more easily than paper documents. In addition, finding, viewing, and sharing electronic documents can be achieved with unprecedented speed and ease – instantly.
Smarter working – The proliferation of mobile technologies and the ability to scan and view directly to either smart devices, via a cloud service or via a network means more efficient ways of working can be adopted enabling you to build a business around your employees rather than the other way round. Costs could be saved for example in office space and office overheads should staff be based at home. Adopt a more proactive and forward thinking approach ready to embrace the challenges of operating and competing in the 21st century.
Free your Space - Space has become an expensive asset. Save time and money on expensive office relocations and free your space and make the paperless office dream a reality.
Disaster Recovery Planning - Would your customer’s business cope in the event of a fire or flood? Can they afford to lose those valuable documents if they are filed incorrectly after use? Document scanning allows them to keep a set of their records on cd or dvd in another location or office or in the cloud to reduce the risk of losing their valuable information to natural disasters.
Deterioration of Quality - When information is currently on paper there is a problem of deterioration of the original page. Paper can fade over time and be torn through excessive use. A scanned image will not fade or deteriorate
Efficient Retrieval - Enables access to important information from a desk. It can be shared through offices and other branches saving time and money on physical page retrievals, copying and faxing.
Legal Admissibility - General opinion is that scanned images are likely to be admissible in court, with the same weight as of evidence as photocopies which are considered as secondary evidence. There is a potential reduction in the weight of evidence if the authenticity of the copy is questioned (e.g. if a signature is being disputed).
Document and Records Retention - Records need to be retained not only for the purposes of business use, but also to meet legal and regulatory obligations such as for GDPR compliance. For example, in the UK, Acts like Sarbannes Oxley and The Companies Act 1985 (Section 221) requires companies to keep accounting records sufficient to give a "true and fair view of the state of the company's affairs and to explain its transactions." It also requires adequate precautions be taken against falsification of records and to discover any falsification that occurs.
Recent legislation directives are really becoming focussed on the virtues of operating a digital workplace, embracing mobility and collaboration.
Equally digitised and searchable content allows a public sector body to respond to Freedom of Information and Subject Access requests promptly and within permissible time limits.
Greener - Scanning is a paperless process, and often there is no environmental cost when documents are distributed electronically. If documents are scanned less paper is wasted, transport of documents is reduced and the amount of landfill used is reduced. Reducing paper, its transport and the amount of bleaches used in recycling benefits the environment.
Customer Satisfaction – Response times are reduced, information is available in seconds from a computer, remote locations and global business offices are connected and able to respond to customer needs faster and more efficiently.
Fujitsu are exhibiting at Accountex on 1-2 May at ExCeL, London, on Stand 1031.
How the cloud transforms workflow and processes...
... from onboarding, to accounting and tax, and beyond
The problem: Accountancy firms struggle to drive a fluid flow of information around their organisation. This can become worse when team members and clients want information on the go. Their technology is often unlinked, and processes can be both manual and inconsistent.
The solution: Cloud-based workflow solutions are able to communicate, share, approve and signoff on information/documents and more – all in a paperless environment. This could be from client onboarding; to managing their compliance needs; through to analyzing client information to provide more valuable, forward-looking, services.
These tools provide accountants:
Ease of access
They don’t require accountants to be in a specific location or environment, and information can be available on any device – mobile or desktop.
No upfront or high overheads
With the cloud there is no pricey, one-time or high overhead cost. It’s a ‘pay as you go’ model.
Low monthly access fees
You can access the appropriate resources for your need at an appropriate monthly fee. You’re not spending excess money on superfluous accessories and applications.
Cloud tools are ‘responsive’ to a practice’s needs
This model allows for constant upkeep and improvement. Moving away from a hosted solution means that clients can expect good service and improving product features.
The outcome
As you look to transform your accounting practice, look for an affordable, flexible and scaleable digital transformation tool.
One Paper Lane is helping accounting firms of all sizes digitise workflow and automate their client work, with little coding required and deployed rapidly. Data and real-time analytics can then be accessed to improve business performance.
Who we are and what we do
We are One Paper Lane, the digital process automation and collaboration platform of the future. We are launching in the UK at Accountex on stand 490.
Our technology will enable you to streamline, automate and improve your processes. It can work together with your existing software, apps and tech tools.
We have already helped accountancy and other professional services firms increase productivity and improve both the client and team member experiences.
Visit us and our UK partner, practice advisers Foulger Underwood, at Accountex. Alternatively, for more details, contact Julia Whistler at [email protected]
Managing change in an evolving industry
As the industry evolves with the rapidly changing times, your practice will have had to adapt to big and small, internal and external pressure to transform.
Change is constant and relentless and requires your employees to change how they communicate, learn new skills and transform their perspective on their work. In addition to adapting to new ways of working, your employees will have had to maintain focus on the day job and remain calm and professional.
What to do with an IT change
One change that might leave businesses feeling anxious is a software change or full suite migration. It’s easy to underestimate how much behavioural change is needed to successfully implement software or process changes. It is more important than ever to manage change when IT is at the heart of the transition.
Managers tend to focus on the software and logistics rather than people who will be operating the new systems.
To succeed you need to:
- Invest time and resources in training for your employees on how to use the software or new processes and how it will improve the way they operate.
- Spend time explaining the new processes and bring people onboard as change ambassadors.
- Develop your employees' collaborative capability both with the software provider and colleagues who may be help with the transition.
- Create regular opportunities for employees to feedback on the progress of the transition.
- Ensure that you’ve managed expectations of employees, particularly during transition phase as some might expect immediate success.
- Ensure that everyone is using a common language so that the transition plan is fully understood by all.
- It is helpful to appoint one project manager to oversee the process from beginning to end. This person will be responsible for pulling together all the different processes and ensuring that it keeps on track.
Taking the plunge
If you are about to initiate a change in your practice, it’s important to remember that change can take many different forms and there isn’t a one size fits all plan to ensure success. Before hitting the ground running, businesses should analyse what other changes are taking place within their business and whether programmes dovetail or detract from each other.
Communication is key
Designing a communications strategy should be central to your change programme planning. The key to communicating change successfully is to create a story that demonstrates a vision, reduces uncertainty and creates a deeper understanding of the journey. Doing these three things could be the difference between a change which achieves its targets and one that fails.
Empathy and culture
Change and an organisation’s culture go hand to hand. When leading change, you need to bring people with you on the journey. Your aim is for your employees to feel valued and empowered through the changes, rather than disinterested and irritated. The true secret to success is considering your organisation and the most important assets, the employees, in context.
If you are considering changing your software suite, visit Wolters Kluwer at Accountex Stand 1060 for more tips on how to manage change in your practice.
How to maximise the value of your business
When it comes to maximising the value of your business, there’s a lot more to consider than meets the eye. An uncertain market creates the opportunity for businesses to review their strategic options with a view to unlocking embedded value and accelerating growth.
There are a number of options business owners may consider when appraising, looking to increase or ultimately, realising value.
Questions we are often asked, along with our answers, are outlined below:
1. How might I value my business?
Business valuation is very subjective depending on the size and nature of the firm. However, recent transactions in relevant sectors involving similar-sized businesses provide a great basis for determining defensible valuation ranges. Looking at multiples achieved by companies in your sector that are listed on the public markets are also a good indicator. Naturally a significant discount factor should be applied to account for the much-reduced liquidity of privately-held shares. In addition, you could use a discounted cash flow.
2. Who might buy it?
Depending on what stage of the lifecycle a business is at, buyer options tend to vary. Fast-growing and earlier stage businesses may be suited to venture capital or private equity funds. Whereas, for more steady-state businesses, trade sales are often optimal. For smaller businesses, it may be more appropriate to look to high-net-worth investor groups that look to invest modest capital in a range of companies.
3. What might I do to increase the value of my business?
If you or your client are considering selling a business in a few months or years’ time, rather than right away, taking advice as well as investing that time and effort now can positively impact the value of the business at the point of sale.
This may include managing working capital effectively, optimising the capital structure and ensuring an appropriate debt/funding structure. Owners may also look to acquire relevant businesses, expand into new and more popular markets as well as integrate a strong Tier 2 management team who can readily take over so that as an owner you can gradually step back from the day-to-day running of the business.
4. How long will the process take?
Each transaction takes a different amount of time, largely depending upon the complexity of the business being sold, the intricacies of the transaction and also drivers to the disposal process. To run a full process with a view to achieving maximum value, it might take six to eight months.
5. How much tax might I pay?
Even if not a full disposal it is possible under partial exits to apply Entrepreneur’s Relief which is currently 10%, albeit successive governments have legislated restrictions as to its application on share disposals. With repeated political pressure to scrap Entrepreneur’s Relief, significant changes could be made to this relief in the near future which may eat 30% or more of an owner’s value on exit if the rates begin to approach comparative income tax rates.
Quantuma is an independent advisory firm which helps organisations and individuals overcome a range of operational and financial challenges. Established in 2013, we have over 170 employees across the UK and Cyprus. www.quantuma.com
Quantuma are at Accountex on Stand 331.
What's hot at Accountex 2019?
Major conferences and events are always a great opportunity to take the pulse of a profession and get to grips with the concerns, opportunities and debates that are percolating within it.
So, as iwoca returns to Accountex for a third year, we thought it was worth assessing the major topics we expect to crop up in conversation when more than 8,000 accountancy and finance professionals meet up for the annual Accountex London conference.
1. Outsourcing: is it worth the risk?
It’s clear that accounting outsourcing is on the rise. But the profession seems split on whether this is a good thing. On the positive side, in-house staff can untangle themselves from some bookkeeping, accountants can be used on more worthwhile tasks and structural skills gaps can be easily bridged. On the other hand, the lack of centralised project management means your firm risks inefficient and disorganised systems, a lower standard of service and, inevitably, unhappy customers.
2. Where is cloud accounting leading?
Like many other industries, accounting is fast migrating to the cloud and the benefits are clear: real-time processing allows for more accurate reporting; multiple users can access the information at any one time; and the software as a service model (SaaS) is cost-effective. But what’s next? As the tax system becomes more digital, among others, we look forward to catching up with iwoca partner Xero to hear more about the future of accounting in the cloud.
3. Automation vs the human touch
Much like the cloud, automation technology is sweeping the accounting sector. The opportunities include lowering costs, off-loading tedious or repetitive tasks – such as data entry – to machines, and freeing up staff to focus on more creative or challenging projects. But it remains to be seen if this switch leaves firms out of touch with their clients and losing the nuanced and very human understanding of their customer’s businesses.
4. The power of trust
A conversation that will undoubtedly stem from that of automation is how intrinsic trust is in the sector. First and foremost, clients need to know their advisors have accurate and reliable advice, but beyond that is a need for them to trust in their accountant’s data security, skill-set, planning for the future and good old-fashioned honesty. Trust is one resource that’d hard won and easily lost.
5. What's coming next?
We're also looking forward to discussing what you, Accountex attendees, think are the incoming trends ready to disrupt accounting. So whatever your teams are focused on, make sure you visit iwoca (Stand 870) to have a chat about the future of the sector, and find out a bit more about us.