Surrey Accountancy Limited

01/09/2026

VAT Return isn't just something to complete and submit every quarter.

The figures in your VAT Return can help you see whether your sales, business costs or VAT position have changed significantly from one quarter to the next.

If your VAT liability has increased significantly, it could simply reflect stronger sales. But it could also mean your VATable costs have fallen or your spending has changed.

Either way, it's worth understanding what's driving the change.

So, before you file your next VAT Return, take a moment to compare it with the previous one.

Your VAT Return is a compliance requirement, but it can also be a useful business tool.

27/08/2026

Securing a high-value client is a milestone to celebrate, but it can also change your VAT obligations.

Even though you haven't reached the £90,000 threshold yet, if that new contract means you expect to make more than £90,000 in taxable supplies within the next 30 days, you may already need to register for VAT.

In other words, a major contract can change your VAT position before you've been paid. So, it's important to factor VAT into your pricing from the start.

If you're taking on a major contract and aren't sure what it means for your VAT position, Surrey Accountancy Limited can help.

Contact us on 01372 632077 or send us a DM.

26/08/2026

VAT is one area where a small misunderstanding can quickly become an expensive mistake.

Here are five rules worth keeping in mind:

1. The £90,000 VAT threshold is not based on your financial year

VAT registration is based on your taxable turnover over a rolling 12-month period, not your business or tax year.

You may also need to register if you expect to go over £90,000 in taxable turnover in the next 30 days alone.

2. Zero-rated does not mean exempt

Both may mean you don't charge VAT to your customer, but they are treated differently.

Zero-rated sales are still taxable supplies and count towards the VAT registration threshold. Exempt supplies generally do not.

3. You can't reclaim VAT just because it's a business expense

You need the right evidence to reclaim input VAT, usually a valid VAT invoice.

Keep your VAT records and invoices organised so you're not trying to piece everything together later.

4. Business entertainment is not always VAT reclaimable

Just because something is a business expense doesn't mean you can reclaim the VAT.

Business entertainment has specific rules, so it's worth checking before including it in your VAT return.

5. Don't wait until you've already crossed the threshold

If you're getting close to £90,000 in taxable turnover, keep a close eye on your figures.

Knowing where you stand early gives you time to register and get your records and systems ready.

VAT mistakes can lead to penalties, unexpected VAT bills or missed opportunities to reclaim what you're entitled to.

If you're approaching the VAT threshold or you're unsure about your VAT position, we're happy to help.

Call us on 01372 632077 or send us a DM.

SurreyAccountancy

25/08/2026

From September, HMRC will begin signing up sole traders and landlords who should already be using Making Tax Digital for Income Tax but haven't registered.

If that's you, don't wait for HMRC to make the move.

And if you missed the first quarterly deadline, there's no need to panic.

There are no penalty points for late quarterly updates in 2026/27, but the update is still required.

To learn what this means for you, what happens if you missed the first quarterly deadline, and what you should do next, read our latest newsletter.

Link: https://www.linkedin.com/pulse/hmrc-start-signing-businesses-up-mtd-from-september-bhtqe

22/08/2026

21/08/2026

The weekend is here, but here's a question you need to answer before the new week begins.

Does your current pricing still work for your business?

Well, it's easy to assume your prices are still working because you're still making a profit. But remember, making a profit doesn't equate to having healthy margins.

With energy bills, raw material prices, transport and labour costs all increasing, the overall cost of running your business may have gone up significantly.

If your prices haven't changed alongside those costs, the margin you're making on each sale may be much smaller than it was when you first set your prices.

For some business owners, their first instinct can sometimes be to find ways to make more sales rather than increase their prices, especially when they're worried about losing customers.

But doing that isn't necessarily the solution. It's best to:

✅ Review how your costs have changed.
✅ Look at the margin you're currently making on each sale.
✅ Consider what you need to charge to make the business profitable.
✅ Think about how your customers may react to the change.

The aim of the review isn't simply to charge more. It's to make sure your pricing reflects what it now costs to run the business while still leaving you with a healthy margin.

To accurately assess your costs, margins and pricing, it's best to work with an experienced accountant.

They can help you understand what your numbers are telling you, work out what your pricing needs to look like and support you in making an informed decision.

At Surrey Accountancy Limited, we work with small business owners to help them make better-informed financial decisions.

Send us a DM or call 01372 632077.

19/08/2026

Let's say you win a £20,000 contract and you're expecting a healthy profit, but your customer won't make the final payment until 60 days after the work is completed.

This means you may need to fund a significant part of the work, including materials, staff and subcontractors, before you've received the full payment.

If you're already funding other jobs at the same time, those cash commitments can start to overlap.

Over time, funding these expenses can put pressure on your cash flow, which can leave you struggling to meet your other financial commitments.

And that's why the length of the payment terms you agree to matters, especially if you don't have much cash available to fund the work upfront.

So, whenever you're looking at a contract, don't just focus on how profitable it will be. Try to work out whether your business can comfortably fund the work until you're paid.

Also, a cash-flow forecast can help you see how taking on the project could affect your cash position before you commit to it.

18/08/2026

If you're running a small business or just starting out, here's what I want you to know.

A profitable business can run out of cash.
A growing business can run out of cash.
A busy business can run out of cash.

And even if you have £50,000 sitting in the bank, you could still have a cash-flow problem coming.
That's why I don't think it's enough to look at one number and assume you know how the business is doing.

When you're looking at your finances, you need to consider five things:
●Turnover
●Profit
●Your bank balance
●Account receivable reports
●Account payable reports

Each tells you something about your business. But none of them, on its own, shows you what your cash position could look like in the weeks ahead.

For me, the more useful question is:
What will my cash position look like in 4, 8 or 13 weeks?

That's because today's bank balance tells you where you are today.

A cash-flow forecast helps you see what's coming.
And when you can see what's coming, you have more time to make decisions before a cash-flow problem becomes urgent.

If you're not sure what your cash position could look like over the coming weeks, speak to our team today to learn how cash-flow forecasting can help you plan ahead.

Call 01372 632077 or send us a DM.

14/08/2026

Another happy client🤩

It’s always good to hear when our advice and support have made things easier for a business owner.

Thank you for trusting Surrey Accountancy

13/08/2026

Experiencing one warning sign doesn't necessarily mean there's a serious problem. However, several appearing together are worth investigating before they start affecting your ability to meet your commitments.

Need help planning ahead? Our trained accountant can help you create a cash flow forecast to identify where pressure may arise before it becomes a problem.

Feel free to reach out — 01372 632077 or send us a DM.