Are you a freelancer, are you classified as self-employed, are you currently a one-man band? This can be a challenging employment status to fill, commonly down to juggling every area of business. Being a freelancer can offer freedom, it can be rewarding, yet there are unglamorous jobs, part and parcel of self-employment, including your tax liabilities.

If you’re just starting off, it’s likely that you’ll aim to manage your own books, purely to save some money. However, there are many benefits linked to working with business specialist accountants, that you may be missing out on. If you’ve been a freelancer for some time, we’re sure that you’re already fed up with the time-consuming tasks, linked to keeping an eye on your profits, expenses and all of your other financial responsibilities.

With that said, our services here at The Financial Management Centre, specialising in business accountancy can benefit all types of businesses; whether you’re a sole trader, start-up or larger company.

Here’s 5 reasons why freelancers need an accountant that understands business, that appreciates their industry, needs and commitments; exactly what we can offer freelancers, contractors and further businesses, covering the accountancy spectrum.

Why freelancers need an accountant and the benefits of utilising specialist services

Have you been deliberating whether to utilise the services of an accountant? Do you ask yourself, ‘do I really need an accountant?’. Many business owners will view an accountant as another expense, as something else to pay for. In this scenario, it’s likely that they are working with an accountant that brings little value to the table.

By selecting a specialist accountant, who understands the freelance world, business spectrum and accountancy realm, there’s great value to be experienced, going beyond just another expense to add to the spreadsheet. Here’s 5 reasons why freelancers need an accountant, helping you make your decision.

1. Decrease your tax liabilities

Completing a tax return can be a very overwhelming process, especially if an accountant title is absent. There are many areas to consider, from understanding claimable expenses to selecting the most appropriate VAT scheme and operation decisions.

Here’s exactly why many freelancers opt for an accountant, to take control of their tax liabilities, while benefiting their pocket. The biggest advantage of handing over this task, is that a specialist business accountant will understand how to save your business money, through claiming efficient and correct business expenses.

You’ll also have the reassurance that your business is operating through the most optimal classification, whether that’s self-employment or a limited company. Here you’ll gain a greater understanding of dividends, your payment rights and your ability to charge VAT. If you’re asking yourself, ‘do I need an accountant for taxes?’, although it isn’t compulsory, you will benefit greatly by collaborating with an accountant.

2. Reassurance and reliability

Have you ever worried that you may miss a tax deadline? Are you concerned that you may be managing your accounts incorrectly? Do you believe that your tax liabilities are too high? These are in fact many reasons why freelancers need an accountant in their disposal.

Working with a specialist accountant can offer reassurance and reliability. You will feel confident that your tax liabilities are correct, that HMRC guidelines are followed, that deadlines are met, that tax penalties are avoided, and that legislations are prioritised.

For some freelancers, managing their books and those all-important dates can be simple. Yet, if you’re overwhelmed by a consistent workload, utilising the services of an accountant will take those hassles away, by avoiding late penalty fines, sometimes carrying a £1,500 charge.

Avoid the stresses, complexities and potential risks linked to lone bookkeeping by understanding why freelancers, like yourself, need an accountant.

3. Increase your time and effort

Feeling like there aren’t enough hours in the day is very common for freelancers, contractors and business owners. Juggling every hat of the business can be engulfing. Working with a specialist business accountant can however alleviate this overwhelming feeling.

Although you’ll have full involvement, handing over your financial responsibilities and commitments can offer greater time and effort to invest elsewhere into your business. If you’re a freelancer, hoping for greater freedom, working with our accountants here at TFMC will offer flexibility, accountability and reliability.

4. Embrace specialist knowledge and processes

Working with generalist accountants may feel pointless. You may believe that independent efforts will serve you best, while benefiting your finances. Yet, by working with a specialist business accountant, you will have expert knowledge and processes to hand.

Business accountancy is niche. There are many areas to consider including personal tax claims, corporate tax payments, VAT, business expenses and payroll activity, while understanding future tax projections and commitments. The financial world for freelancers is also different, where insurance, where IR35 rules, where invoice guidelines affect accountancy activity.

Via specialist accountancy services, you’ll have the knowledge that niche areas are covered, future-proofing the health of your books and business.

5. Grow your business with a specialist accountant

By combining all of the above benefits, highlighting exactly why freelancers need an accountant, you will have the chance to grow your business.

Through greater time and effort to invest into your daily responsibilities and accurate tax returns, to future financial projections and a continuously maintained forecast of your books, you’ll have greater scope to scale up.

Our accountancy services here at The Financial Management Centre

If the above reasons why freelancers need an accountant stand out to you, our services here at TFMC are invaluable.

We specialise in supporting businesses of all sizes, including freelancers, by taking the burden of financial management away. You can expect support with your year-end accounts, your tax returns, VAT submissions, corporate tax liabilities and payroll activity, while also controlling comms with HMRC and adhering to all guidelines, regulations and processes.

You can expect a personal accountant, specialising in business accountancy at your disposal, helping you run the day to day of your finances. Avoid the complexities, the time-consuming tasks, the sometimes-blurred lines of bookkeeping, by embracing the support of specialist accountants.

Here’s exactly why freelancers need an accountant, precisely what you can also experience. Reach out today to benefit from a hand-help approach to protecting and preserving your financial health and capabilities. z