Covid- 19 updates

Covid- 19 updates

With CJRS and CBILS in full flow, most of the businesses have now availed benefits provided under these schemes. Most of the employers have now claimed their wages paid to furloughed employee up to 30 April 2020, while small and medium business have geared up and applied for business interruption loans.

Coronavirus Bounce Back Loan

The Bounce Back Loan scheme is intended to help small and medium-sized businesses to borrow between £2,000 and £50,000. However, the scheme is not available for those who have already claimed grant Coronavirus Business Interruption Loan Scheme. The scheme is supposed to launch on 04 May 2020 where the UK Government guarantees 100% loan with no fees and interest payable for first 12 months. Although the full scheme is not yet declared, government has confirmed the loan term to be 6 years with no repayment to be made within first 12 months.

We at Affinity Associates believe that this scheme will support even the smallest business that are not able to claim benefits under other schemes due to weak financials. In particular, Sole traders and Partnerships with turnover below VAT threshold might be benefited with this scheme. Although HMRC has not confirmed anything, but Government guarantee suggests benefit to reach many small businesses with weak financials.

Financial support

Considering various schemes, it become difficult for business or individual to find out support that they can get from Government. We at Affinity Associates have visualized the sectors that will be worst affected by this pandemic and have already published blogs that can help making all possible claims for Grants and loans. If you are Self-employed, please  visit https://www.affinityassociates.com/covid-19-possible-action-self-employed-can-take-subsist/ . IF you are into Restaurants/Pubs/Clubs Business, which is one of the worst hit area within economy. Please visit https://www.affinityassociates.com/covid-19-sustainability-measures-restaurants-pubs-clubs/ to see how you can make best out of benefits and grants from government.

You may also use a support finder developed by HMRC. Just follow the link https://www.gov.uk/business-coronavirus-support-finder

Affinity Associates have an experienced team of Chartered Certified Accountants that can assist you in further understanding claim processes. You can also contact us to learn more about how those relief packages can be used to benefit your business amid the COVID19 pandemic. To schedule a free consultation, you can call us at +44 20 8903 2077 or email us your queries at info@affinityassociates.com. We will be more than happy to help you in this tough time.

Coronavirus Bounce Back Loan and Financial supportContact us

Covid – 19, Possible action that a Self-employed can take to subsist

Covid – 19, Possible action that a Self-employed can take to subsist

Current pandemic has forced the entire country to stand still. Along with registered businesses, Sole traders and partnerships have suffered an equal hardship to generate revenues to survive. The UK Government has established a way to support self-employed individuals and are in the process of designing an application method.

The scheme will allow individuals to claim a taxable grant worth 80% of the trading profits during the period of three month till June 2020. However, the claim amount is restricted to £2,500 a month. HMRC has set process in a way that they will contact individuals by mid May 2020 if they are eligible for the scheme and will invite them to apply online. Once your application is successful, HMRC will evaluate the eligible amount and confirm that with you.

Considering the above, it will be really a tough time for Self-employed and survival will become a major issue. We at Affinity Associates has worked out possible steps an individual should take in order to overcome this.

Firstly, a claim for Universal Credit can be made while you wait for the grant, but any grant received will be treated as part of your self-employment income and may affect the amount of Universal Credit you get.

Secondly, we can follow three step process as below:

Below 3 step process will help in taking right decision –

  1. Evaluating the loss of turnover during and after close down period. This can be achieved by estimating the loss in turnover per day (otherwise earned) by comparing it to historical data. A forecast need to be prepared keeping in mind that future revenues once the lockdown is over will also be minimal.
  2. Identification to be made between fixed costs and variable costs that can be avoided or curtailed. This step will help you to calculate the liquidity required for the business to survive. i.e. you will know your breakeven point.
  3. Once both above ‘projections and liquidity requirement are calculated, next step will be taking advantage of government funding and support. There are various schemes and grants offered by the UK Government which are as below –

Coronavirus Job Retention Scheme – This scheme will help you to cover major fixed cost (Salaries) that any business will have. If your business is registered for PAYE scheme, then you will be eligible to claim this benefit.  80% of the wages (up to £2,500) along with 80% of Employer’s NI and pension costs will be reimbursed by HMRC for March, April and May 2020. Employers will need to pay salaries for all three months and then by end of April 2020 HMRC will update on the process to obtain this relief.

VAT payments (if registered) due between April 2020 and June 2020 are now deferred until March 2021. Thus, liability can be settled anytime up to end of March 2021 and there will be no interest payable on due amounts.

Interim payment for tax year 05/04/2021 can be differed. Further if there are any liabilities pending to pay, we can request HMRC to defer those payments too.

Business rates relief – Your local council will forgo the rates for financial year 20/21. No application to be made.

an application can be made for Coronavirus Business Interruption Loan Scheme. This scheme helps small and medium-sized businesses affected by coronavirus (COVID-19) to access finance of up to £5 millionThe government will also make a Business Interruption Payment to cover the first 12 months of interest payments and any lender-levied fees. This means smaller businesses will benefit from no upfront costs and lower initial repayments. To check your eligibility and apply for loan please click here

Small Business Grants Fund (SBGF) and Retail, Hospitality and Leisure Grant Fund (RHLGF) – Government has further announced that Local authorities will provide grants to business based on their rateable value. Under the Small Business Grant Fund (SBGF) all eligible businesses in England in receipt of either Small Business Rates Relief (SBRR) or Rural Rates Relief (RRR) in the business rates system will be eligible for a payment of £10,000. Further details can be found  here.

Affinity Associates Limited is committed to provide advice and support that is required in sustaining your business. We provide impeccable service in evaluating businesses and also preparation of management information (including projections). Call now for consultation on 02089032077 or submit your request in contact us.

Covid – 19, Possible action that a Self-employed can take to subsistContact us

Covid – 19 Sustainability measures for Restaurants, Pubs and Clubs

Covid – 19 Sustainability measures for Restaurants, Pubs and Clubs

The Foreign Secretary Dominic Raab on Monday, 13 April quoted that “the UK has not yet reached the peak of the virus”. He further indicated that countrywide lockdown may be extended by 3 weeks more for which decision will be taken by end of this week. Further lockdown will question the survival of businesses within leisure industry. It has become imperative for owners and managers of these businesses to evaluate the sustainability. We at Affinity Associates have prepared a small list of measures that can be followed to survive during this pandemic.

Below 3 step process will help in taking right decision –

  1. Evaluating the loss of turnover during and after close down period. This can be achieved by estimating the loss in turnover per day (otherwise earned) by comparing it to historical data. A forecast need to be prepared keeping in mind that future revenues once the lockdown is over will also be minimal.
  2. Identification to be made between fixed costs and variable costs that can be avoided or curtailed. This step will help you to calculate the liquidity required for the business to survive. i.e. you will know your breakeven point.
  3. Once both above ‘projections and liquidity requirement is calculated, next step will be take advantage of government funding and support. There are various schemes and grants offered by the UK Government which are as below –

Coronavirus Job Retention Scheme – This scheme will help you to cover major fixed cost that any business will have. 80% of the wages (up to £2,500) along with 80% of Employer’s NI  and pension costs will be reimbursed by  HMRC for March, April and May 2020. Employers will need to pay salaries for all three months and then by end of April 2020 HMRC will update on process to obtain this relief.

Business rates relief – Your local council will forgo the rates for financial year 20/21. No application to be made.

VAT payments due between April 2020 and June 2020 are now deferred until March 2021. Thus liability can be settled anytime up to end of  March 2021 and there will be no interest payable on due amounts.

Small Business Grants Fund (SBGF) and Retail, Hospitality and Leisure Grant Fund (RHLGF) – Government has further announced that Local authorities will provide grants to business based on their rateable value.  Eligible businesses with a property that has a rateable value of up to and including £15,000 will receive a grant of £10,000 and with a property that has a rateable value of over £15,000 and less than £51,000 will receive a grant of £25,000.

Further details can be found  here.

Further an application can be made for Coronavirus Business Interruption Loan Scheme. This scheme helps small and medium-sized businesses affected by coronavirus (COVID-19) to access finance of up to £5 millionThe government will also make a Business Interruption Payment to cover the first 12 months of interest payments and any lender-levied fees. This means smaller businesses will benefit from no upfront costs and lower initial repayments. To check your eligibility and apply for loan please click here

Affinity Associates Limited is committed to provide advice and support that is required in sustaining your business. We provide impeccable service in evaluating business and preparing management information (including projections). Call now for consultation on 02089032077 or submit your request in contact us.

Covid – 19 Sustainability measures for Restaurants, Pubs and ClubsContact us

Small Business Bookkeeping Services in London: 3 Things to Help You Prepare for 2020

Small Business Bookkeeping Services in London: 3 Things to Help You Prepare for 2020

 

When you are running a business, then one of the most crucial aspects of the business is to take important notes. By taking the notes, a business can keep tabs on every move they make, and that’s never been more important than with company finances.

Closing monitoring finances is extremely important for any business. Money not only keeps your business going but at the same time, it also cares for your employees and overall ensures that your company’s financial ship is sailing. In other words, it’s the last thing that you can afford to slack on with your accounting.

To achieve all those financial goals, you need highly professional bookkeeping services in place for your business. Bookkeeping is a simple way for you to manage your money and keep things in check at your business. Keep reading to find out more!

Small Business Bookkeeping Services Allows You to Keep Track of Your Statements

This may sound like a simple statement to make, but you will be shocked to know that plenty of businesses across the UK don’t follow up with it. In a year, a business goes through a ton of statements, which makes sense when you make multiple transactions each week. However, simply knowing that you make transactions isn’t enough.

With the help of professional bookkeeping services, a business can keep track of each statement you receive and track your expenses and earnings based on those statements. Moreover, small business bookkeeping services allow you to track your unnecessary financial expenses and where you need to improve with your financial habits.

Small Business Bookkeeping Services Allows You to Build and Understand the Balance Sheet

Do you know the value of your company? How much is your company really worth? Well, if you want to know the value of your company then you can do it with the help of a balance sheet. A balance sheet is yet another important aspect of professional bookkeeping services.

A balance sheet prepared by an experienced professional helps you cover multiple financial statements of your business assets. In simple to understand words, it highlights how much your company owns, how much you owe to other parties, and how much has been invested into you by shareholders.

Preparing a balance sheet is not only for big brands or big businesses, but it is even for small businesses who are planning a big future. The sooner you understand your stature in the business world, the sooner you’ll be able to grow and become better.

Small Business Bookkeeping Services Will Keep You Ready for Tax Season

Whether small or large, tax season is no fun for businesses of any size. Especially for small businesses, it is extremely complicated, because you are just starting to off the ground, and the government is heavily relieving on your hard-earned cash.

If you want o save yourself from paying heavy taxes, then you can take the help of professional bookkeeping and accounting services in London. For example, if your business had to purchase in-house necessities, you could record that and use it to help deduct the total amount you have to pay for your taxes. Writing down these necessities may very well save you money in the long run, so it’s best to start planning for it now.

Affinity Associates – We’re Here to Help

Now, as you know that small business bookkeeping services bring tons of advantages, you need o know where to go to get the best bookkeeping services in London at the right prices. Luckily for you, we’ve got you covered.

At Affinity Associates, we highly committed to helping all the small businesses in London and across the United Kingdom. We want to see every small business thrive in their field by offering them bookkeeping and accounting services at affordable process. We can take care of bookkeeping services, controller services, CFO services, Payroll services, and much more.

Are you ready to get started? Give us a call or send us a message and we’ll be more than happy to help. We look forward to getting you and your company to financial success!

Professional Small Business Tax Accounting Services in London, UK

Professional Small Business Tax Accounting Services in London, UK

Unless you are an accounting firm, there are higher chances that you might not have adequate knowledge about accounting and bookkeeping. That’s perfectly fine, as your expertise lies elsewhere. But the fact that you might be not aware is that accurate bookkeeping and accounting is extremely crucial for maintaining a financially sound business.

However, most small business owners across the United Kingdom are too busy running a business to spend countless hours educating themselves on the ins and outs of accounting. That’s where Affinity Associates of London comes in. Being a reputable small business accounting firm, we offer small business accounting and bookkeeping services to businesses throughout London, Harrow, and Wembley. When you hire small business tax accountants from our team in London, you’ll be able to invest your valuable time and energy on your own business activities knowing that your company’s finances are in the hand of experienced professionals.

At Affinity Associates, our certified accountants have been in the small business accounting services for many years. With that amount of experience and knowledge, we are enormously savvy at a full spectrum of small business accounting services. You can definitely hire our small business tax accountants in London to provide you with sharp attention to detail, efficient work, and personalized accounting service. Additionally, our comprehensive approach to accounting for small and medium-sized businesses means you get the best value for your investment.

When you hire the small business tax accountants from Affinity Associates, you can trust us to perform the following duties either monthly or quarterly:

  • Tax reduction planning
  • Cloud accounting and bookkeeping
  • Financial statement preparation
  • Budgets
  • Business plan development
  • Cash flow management
  • Payroll processing services
  • Succession planning
  • Retirement planning for you and your employees
  • Business loan assistance
  • College savings planning
  • QuickBooks set up and training
  • Compilations and financial reviews

In the stance of fierce competition around your small business in London, our small business accounting services can offer you the competitive edge. You can benefit from having highly qualified tax accountants in London to take care of your business finances. Affinity Associates work with business owners in a wide range of industries to help them stay on top of their accounting, tax and general business planning functions.

When you decide to work with Affinity Associates, you are getting much more than an accounting firm. You are gaining a reliable partner who will understand your business, evaluate your requirements, and offer the kind of advice that will help you succeed even when you face stiff competition. Call us at +44-020-8903-2077 to learn how we can help you.