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The gHawk Blog

Browse our articles on all the latest accounting Developments you need to know.

Lenah Oduor

Latest Blog!

Household living costs are skyrocketing and seem set to keep rising throughout the year. Here are our 12 top tips for coping with the rapidly increasing cost of living – ways to earn more, spend less, and invest in your future.

Tax & Accountancy

Getting ready for HMRC’s new penalty regime

Paying your tax bill on time can be a struggle. The HM Revenue & Customs’ (HMRC’s) penalty regime exists, to act as a deterrent for late payment and overdue submissions.

But did you know that HMRC is planning to update and change its penalty regime?

Budget 2021: gHawk Rundown

All you need to know about the budget reading from The Chancellor on 3rd March 2021. Here is our infographic with summary of the key items affecting small businesses.

Fundamentals of a business budget

A business budget is one of the essential tools in managing your business finances and actively building your business.

Transferring Your VAT Registration Number

VAT can be complex and confusing at times. Under current guidelines, you need only register for VAT if your VAT taxable turnover exceeds £85,000. You can also register voluntarily, if you wish.

Breakdown of: The self-employment Income Support Scheme

Being self-employed is challenging at the best of times not to mention having to deal with the effects of Coronavirus, but there is support out there for everyone.

Understanding your working capital to maintain business success

Cash is oxygen for your business and measuring working capital is your regular health check to keep your business alive; especially in turbulent times. We can help identify strategies to increase working capital.

Millions to get a Tax Cut from April 2020

New legislation introduced in January 2020 will see millions of taxpayers save around £100 in the financial year 2020-21.

Changes For VAT Registered Businesses Post Brexit

The UK left the European Union on 31 January 2020. From 1 February 2020, the UK enters a transition period that lasts until 31 December 2020.

Off-payroll working (IR35) rules affecting the private sector

From 6th April 2020, contractors working through a Personal Service Company, or Recruitment Agency providing services to Medium and Large businesses will be at risk of being deemed to work as an employee.

Creating A One-page Marketing Plan

Need a marketing plan? A short one-page marketing plan gives you the foundations you need for success including your business strategy, your target audience, and the marketing techniques that deliver the best results.

Difference between profit and cash

You’re working like crazy and sending out invoices left, right and centre. However, the money doesn’t seem to be piling up in your bank account – why is that?

How to pay your taxes: Income Tax, VAT and Corporation tax

Taxes don’t have to be difficult or confusing. If you’re a freelancer or sole trader, it can be much easier to keep on top of your tax contributions than you might think.

Claiming VAT on Directors Mileage

Questions surrounding VAT on mileage claims are common. It can be difficult to work out and hard to ensure that you have the correct evidence to give HMRC.

Common Contractor Finance Concerns &amp;amp;amp;amp;amp;amp;amp; How To Avoid Them

Common Contractor Finance Concerns & How To Avoid Them

If you are a contractor or are just stepping into the world of contracting – congratulations! Fluctuating income and financial concerns may be brewing, but don’t worry.

Purchases you didn't know were TAX DEDUCTABLE

Purchases you didn't know were TAX DEDUCTIBLE

There are many benefits of running your own business – flexibility, uncapped earning potential, freedom and a sense of self.

VAT on Postage of Orders

VAT isn’t always utterly straight-forward to understand. When it comes to postage, it can get even more confusing. Is postage exempt? Do I charge VAT on packaging and delivery? Who pays the VAT on my carrier charges?

The 411 on VAT and Making Tax Digital

From April 2019, all VAT registered businesses are required to keep digital VAT business records and send returns using Making Tax Digital Software.

Making Tax Digital – what you need to do now

The Making Tax Digital countdown has started! If you’re a VAT registered business with a with a turnover of over £85,000, you will no longer be able to submit VAT returns through the HMRC website.

Self-Assessment penalties to watch out for!

As a sole trader or ‘freelancer’ in the UK, you’re liable to file a tax return. A tax return allows HMRC to calculate how much tax you owe for the year. Unlike an employed role, you must pay your tax in a lump sum and it may vary year on year, dependant on your income.

5 Ways financial forecasting could SAVE your business

A financial forecast is an estimate of future financial outcomes for a company or project, usually in the context of budgeting, capital budgeting and/or valuation.

How are NATIONAL INSURANCE contributions calculated for a sole trader

As a sole trader, there are 2 types of national Insurance payable in your self-assessment tax return. There is Class 2 National Insurance and Class 4 National Insurance.

Proof of self-assessment income for MORTGAGE APPLICATION - Form SA302

If you have applied for a mortgage, you will have encountered the requirement to prove your income for the lender to assess your eligibility based on your ability to pay.

8 things to consider if you are a sole trader looking to turn into a LIMITED COMPANY

Want to move from a sole trader to limited company? in this blog we go through the definitions of a sole trader and limited company and advantages and disadvantages.

Redefining success

For those of us in business, it’s important to redefine our plan and goals that ensure the business delivers our definition of success. The natural extension, for those with team members, is to revise what the business needs to deliver to the team.

Strategic Planning

Reinventing Your Product and/or Service Post-Covid

During times of crisis, we’re forced to reinvent the way we work and what we work on to remain sustainable.

8 Key Points to Continuing Your Business Through Covid-19

To feel like you are in control of your business during this pandemic we have chosen 8 things that every business owner should keep on top of.

Efficiency Through Automation

Technology can be transformative: improving leverage, consistency, efficiency, risk management, induction and training, scalability and saleability. What software have you adopted as part of your business recovery Plan?

20 Principles of excellent financial management – For business owners – Part 1

As a small business owner, there can be a lot to remember when it comes to finances.

25 Principles of excellent financial management – For business owners – Part 2

Following on from our post, we’re covering the next 10 steps to great financial management for your small business.

Benefits of investing in property using a limited company

According to brokers, up to 80% of new mortgage applications are now for limited companies.

Optimum salary for company directors in 2019-2020

As a limited company owner, there are certain ways in which to take money from your company in salary and dividends, maximising on your untaxed allowances.

7 things to discuss with your accountant

As business owners, many of us know that we need an accountant. This might be because we don’t have the time or expertise to keep up with our finances, or because we are concerned about being properly tax compliant.

Brexit implications on exports for small businesses – for people with online shops selling to the EU

With so much confusion and so few answers surrounding Brexit, it’s a stressful time for those with European customers. While 66% of UK companies say Brexit will impact them, only 21% of small businesses have actually started adapting their business processes to prepare.

Managing your business expenses automatically

Managing your business expenses AUTOMATICALY

You can automate the process of entering your bills, receipts and expenses by using AutoEntry. AutoEntry helps to save time by eliminating the manual entering of expenses.

How to budget for your business without complicating things

What is a budget? Put simply, a budget is a tool for planning income and expenditure.

Business purpose

Many businesses will have been through a tough and transformative period through 2020 and into 2021. In some cases, companies have had to update, change and pivot just to survive – and this means having to rethink the core mission behind your enterprise.

The Four Kinds of Seller

We’ve all had a bad salesperson experience.
From being jumped on as you enter a store (leaving with unwanted steak knives) to being completely ignored. Chances are, we’ve shared that experience with family, on social media, or maybe even left a scathing online review.

So, how do you ensure your customers have a great experience and rave about it to everyone? Teach them how to be the right kind of seller.

5 top goal-setting tips for the year

Wouldn’t it be great to have your best year ever, this year? Whether you want to grow your business or take more time for yourself, these goal-setting tips can help you achieve your long-term plans.

From Solopreneur to Employer

As your business grows, the demands on your time as a small business owner will increase and you may want to take on your first employee and eventually grow your team. The transition from working by yourself to employing people has additional responsibilities. These are the 5 additional responsibilities you need to be aware of when you take on an employee.

Household living costs are skyrocketing and seem set to keep rising throughout the year. Here are our 12 top tips for coping with the rapidly increasing cost of living – ways to earn more, spend less, and invest in your future.

Coping with the skyrocketing cost of living

Apps & Business Advice

The top tax benefits to offer your team

The top tax-effective benefits to offer your team.
If you want to offer employee benefits, but don’t want these benefits-in-kind to end up attracting significant tax penalties for the employee, there are several useful benefits to consider.

Your Critical Numbers

Traditional ways of working are being challenged and we now need to innovate, adapt, re-engineer, and reinvent the way we work. Your critical numbers are the levers that, if pulled, make the biggest impact to your results.

Cash is not Profit and vice versa

The purpose of a business is to make money, and that means you have to know the difference between profit and cashflow. Note that a profitable business does not always have good cashflow. And a business with good cashflow is not always profitable.

Maximising your cash reserves

If the Covid-19 crisis highlighted the inadequacy of the cash reserves in your business, you must implement the 11 strategies, we outline in this blog to replenish your reserves and ensure you have enough cash to sustain your business.

Keeping your cashflow strong in though times

Weathering the storm? Small businesses are particularly vulnerable in tough economic times. We can help with strategies for healthy cash flow, so you can continue to thrive.

Get in control of cashflow

Does your business need to improve its cash position? Poor cashflow is a problem for many businesses, whether you’re a start-up or an established family business. Talk to us about how you can get proactive with cashflow management.

How to increase profit, cashflow and business value

Do you know the 5 critical Key Performance Indicators in your business? These KPIs increase profit, cashflow & business value. Not sure what yours are? First, establish them. Then, measure them. Following this, you can start improving them.

The value of cashflow forecasting during a crisis

To be able to navigate the future path of your cashflow, you need to start forecasting – so you can map out your financial position over the coming months and can take the appropriate action to safeguard your cash position.

Cashflow and Cost Control

Reduce debtor days and increase cashflow

Managing the gap between the receiving money into your business and paying money out of your business is vital for sustaining viability.
Debtor days is the average number of days taken for a business to receive payment for goods or services.

Maintaining Customer Relationships

With many businesses struggling to achieve pre-Covid sales levels, and the potential for unemployment to spawn a new breed of start-ups, having a customer retention plan has never been more important.

Top 10 Things to Consider When Buying a Business

Recently, I have been helping a young entrepreneur to buy a new business and thought to share my top ten things to consider when buying a business.

gHawk VS Remote Working

We have been lucky enough to continue providing our services during lockdown and we want to share how the gHawk team has been working remotely.

Five Steps To Better Cash Flow

Need a hand managing cash flow? You’re not alone. The key is getting your invoicing right, by invoicing customers as soon as possible and using tools like Xero’s invoice reminders to move payments along.

Responsibilities of a Company Director

No matter the size of your business, as a company director, you take control of all the pivotal decisions.

Ask gHawk: Charity Sponsorship

As accountants, we frequently get asked questions by business owners about different aspects of running their business.

7 ways to incentivise your employees and make them happy!

Employee retention is incredibly important – as is creating a pleasant and happy work environment.

7 ways to avoid Construction Industry Scheme pitfalls

The Construction Industry Scheme (CIS) is a compulsory scheme for contractors in the construction industry.

How to raise capital for your new business

Starting a business can be costly. If you require premises, manufacturing or staff, the start-up costs can mount up quickly.

6 things you didn't know about Quickbooks Online

We’re big fans of QuickBooks Online at gHawk Accounting – because by making our lives simpler, QuickBooks makes our clients lives simpler.

When do I have to show that my business has made a PROFIT

In self- employment, the individual is the taxable legal entity and all their business activity must be reported on a self-assessment tax return. As a self-employed person, it can sometimes be challenging to distinguish between what is a business and what is a hobby.

Pensions Automatic Enrolment and ongoing duties – what you need to know

Every employer has automatic enrolment duties. Automatic enrolment refers to the requirement by The Pension Regulator where UK employers are legally obliged.

World disclosure facility letter from HMRC

HMRC has recently issued a statement regarding assets owned abroad. If you have income or assets in off shore accounts which might be liable to UK tax then you might want to take advantage of the Worldwide Disclosure Facility if your tax affairs are not up-to-date.

15 Great reason to use CLOUD ACCOUNTING software

When you are running a business, the last thing you want to be worried about is wasting time trying to figure out how to do your accounting.

How does an accountant save you money?

Turning a profit will be high on your list of goals as a business owner. And if you want to generate the best margins, that means keeping an eye on the money that’s going out of the business, as well as what’s coming in.

So, how can your accountant help with this?

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