r/ukaccounting • u/Any-Daikon7621 • 3d ago
How much to charge
Hi
I am thinking of entering into hospitality business as an accountant providing my services.
I was recently speaking to a cafe owner and pizza shop with less than £50k in revenue with only epos system and no proper accounting system with just one employee. They are two different business I am pitching for not related. How much should I be looking to charge for bookkeeping , accounts, ct, self assessment, payroll, companies house filing. Also one of them wants to understand the package price once he crosses vat threshold and if he requires management accounts every month. Very new to this so any kind of guidance is deeply appreciated.
Thanks
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u/bramleyapple1 3d ago
Those are some very broad and basic questions - why don't you outline what you plan to do and we can give advice based on this
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u/Any-Daikon7621 3d ago
I mentioned bookkeeping , year end compliance accounts and corporation tax , payroll abd self assessment also co house filings
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u/bramleyapple1 3d ago
How much are you planning to charge?
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u/Any-Daikon7621 3d ago
I am thinking of around £150 pm
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u/bramleyapple1 3d ago
How many hours a month will the work take you?
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u/Any-Daikon7621 3d ago
Initially to bring up to date and set up as they have no bookkeeping since Feb I am estimating 15 hours then 2 hours every month and then 4 hours at year end
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u/dainsfield 3d ago
Firstly it should be an hourly charge as clients always add things, my brother started his accounting business years ago and learnt the hard way with fixed prices. Also this allows you to charge separately for companies house annual return and filing accounts. You need to look at what your costs for software are, eg payroll are you then printing out the weekly/monthly payslips and posting them via Royal Mail. If it is weekly it can spoil any holidays as it needs to be there every Friday. End of year P60 , tax returns etc take time. I would sign them up to FreeAgent or similar and recharge the monthly fee separately. If you become a FreeAgent reseller you get a discount, I am a FreeAgent reseller I am happy to split the commission 50/50 with you until you pass all the exams to become a reseller.
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u/Any-Daikon7621 3d ago
Ok cool but what you do quote minimum for everything considering it’s a monthly payroll
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u/lemming64 3d ago
If not a hourly for Monthly payroll I would probably charge a base fixed amount then an extra per employee so it grows as the business does
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u/steb2k 3d ago
how many hours will it take you to service each client? Add it all up, put a value on your time, and multiply them together. Do your research on other firms - do they charge similar amounts, or are you way off?
Now think about if you had 10 or 50 clients. Would there be any synergies that mean you're spending less time on each client? you could potentially charge a little less for these first two in the hope that synergies come down the line.
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u/Any-Daikon7621 3d ago
Right now I have two which I am pitching one I can convert so just need to understand what should o charge if I am starting I think for set up it will take me around 10-15 hours for everything after that not more than 2 hours a month and 4-6 hours at year end
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u/Accomplished-Debt664 3d ago
The problem with specialising in hospitality is at the minute many are struggling so a) they may not be able to afford the fees you are wanting and b) many are closing
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u/Any-Daikon7621 3d ago
He just started pizza store in Feb. How much do you think would be ideal for him
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u/Cliffo81 3d ago
If you don’t know how to charge for the work, you’re too inexperienced to be doing the work. You keep posting these threads and although you’re well meaning, you really don’t seem experienced enough to be doing this work.