How our fees are calculated
Please read this carefully as it may avoid any confusion later!
Basically our fees are quoted as if you joined us for a full year in your first month of your financial year. We then charge you 1/12th of this annual fee which arrives at our monthly headline rates.
So when you join us your annual fees would total £1,020. When you are with us for 12 months you will be charged 1/12th of this per month which will work out to £85 per month. However if you join in month 10, you will still be charged £1,020 for the full year but be charged £340 per month for months 10,11 and 12. When you start your new financial year it will revert to £85 per month.
Why do you do this?
The monthly fee structure is really designed to help you with your cashflow. The time we spend on your work will vary during the year. For example, when we do your personal tax return you will hear from us far more than in the month after it has been lodged. However rather than hit you with a bigger bill once a year, we smooth the payments across the 12 months. In these times, cashflow is even more important so we try to help where we can by having this fee structure.
It also acts as a safeguard for us and our existing clients. After all it would be
nice to join up in month 12 of your year and get your personal tax return, Corporation
Tax return, VAT and accounts completed before resigning from our services in month
1 of the next year and getting it all done for £85! -
What if I decide to go elsewhere part way through the year before a full year of services have been received?
Firstly we hope you never leave us! However we are realistic and on occasion people
may no longer decide to use our services -
When you stop paying for us then our services to you will also cease.
We can however quote you separately to complete any remaining work. Before leaving we can help you with your exit strategy from us which will cost you the least in terms of getting your accounts and tax affairs to completion.
We also ensure any handovers of information to be as smooth and efficient as possible but we regret that no refunds will be given unless you have prepaid for a month and leave part way through a month.
Are there alternatives?
Yes, for your first year, if you join part way through then we can provide a bespoke quote for you which will be determined by the time it would take us to fully look after your affairs. You would then be billed after the work is completed. You can then join our monthly service as soon as your first full financial year with us commences.
Again, why do you do this?
As before it really is to safeguard both existing clients and ensure that everybody gets a fair deal. If you were to join us in month 1 of a year and then leave in month 2 we would make a loss if you expected the full accounts and tax return completing for only £85 and it wouldn’t be fair on continuing clients.