Home – New Forums Starting your journey Outsourcing & Finding a Good Accountant???

  • This topic is empty.
Viewing 9 posts - 1 through 9 (of 9 total)
  • Author
    Posts
  • #979042
    MJ.Bart
    Member
    • Total posts: 43
    Up
    0
    ::

    Hello everyone,

    I have not been very active on FlyingSolo recently until now. How is everyone? I hope you are all well & having fun!

    I want to start a company but I know running a company entails alot more paperwork & guidelines etc. when compared to operating as a sole trader. I have never run a company before, I am not interested in doing a course at this point, and I can’t stand paperwork.

    Do you think it would be a great idea to pay an accountant to handle such work for me provided I check over everything to ensure I fulfil my obliagtion to know of and approve of everything that is going on in my company?

    If you do believe this is a worthwhile solution, how might I go about finding the right accountant?

    Also, I aim to do some traveling while I work, as my company will mostly be operated via my phone & the internet. Ergo would it be a good idea to ask my accountant (once I find one) to be the ‘occupier’ of my company so all correspondence can be sent to them while I am away etc.? Or would it better for me to remain the ‘occupier’ and just take short trips overseas to ensure I spend 95% or more of my time here where I am in full control?

    I ask these questions becuase at this point in time I intend only to outsource all work that I cannot do (or do not have the time to do). I do not intend on hiring employees any time soon.

    All advice will be greatly appreciated and if I can help you in any way, please let me know.

    Cheers,

    Michael.

    #1111580
    SmartBizBlog
    Member
    • Total posts: 101
    Up
    0
    ::

    I ran a company for 12mths being out of the country for the whole time. I had the company registered at a virtual office and the mail forwarded to someone I trust to open, scan and send to me.

    As far as accounting goes – if you plan to be a sole director/employee company – then it’s not much more than a sole trader. Use one of the many online services to create your company; then you just need to find a bookkeeper (or do it yourself with myob online service).

    If you don’t plan on getting into fringe benefits or tricky write-offs, then it’s not too hard. MYOB will handle the PAYG and superannuation stuff, you just need to approve the online transfers.

    #1111581
    MJ.Bart
    Member
    • Total posts: 43
    Up
    0
    ::

    Thank you for your advice. It has definitely given me more confidence that I can pursue both goals to run my business and travel at the same time.

    Great blog / site by the way. I’m sure I will find more useful hints there at the smartbizblog.

    Cheers.

    #1111582
    JacquiPryor
    Member
    • Total posts: 2,344
    Up
    0
    ::

    Hi Michael,

    I completely agree that running a company doesn’t have to be any more complicated than operating as a sole trader. I run a company (sole director) and actually find it simpler. It keeps the business quite separate to me as a person. I don’t have to worry about income/expenses getting muddled up in my own personal finances come tax time etc and find it much easier on the bookkeeping front.

    I think at least an initial consultation with a good accountant is a great idea. They will be able to advise on the right structure for your circumstances, and the best way to treat yourself within that structure. For example, I treat myself simply as an employee of the company. I pay myself a wage and the company withholds tax and then gives me a group certificate at the end of the year etc. The company has its tax return done and I do my own personal one. No different really to if I was actually employed by any other person/company, only I just so happen to be the director of the company as well.

    An accountant will also be able to register the company for you if you are not comfortable doing so yourself. Like SmartBizBlog said, there are plenty of corporate service providers that make it easy to move forwards and register the company yourself. There are plenty around, but I can suggest Shelcom Corporate Services who are a member of Flying Solo too. I have several clients that have used their services and all are happy customers.

    I also use MYOB for my bookkeeping within the company, and it really is quite simple once you’re used to it and most accountants will accept your MYOB files at the end of financial year in order to prepare returns etc.

    As to finding a good accountant, there are plenty on here and I am sure some will be along soon to offer their services. If not, perhaps try adding a thread in the ‘need a resource’ section of the forum?

    All the best with it :)

    #1111583
    Chris Brodie
    Member
    • Total posts: 94
    Up
    0
    ::

    Hi Michael

    I agree with Jacqui, running a company is not difficult. I do recommend you do consult with an accountant though to discuss your business and ensure that starting a company is the best business structure for you and your particular circumstances.

    I’m happy to have a chat with you to discuss your business and accounting requirements further. I’ll PM you with my contact details if you are interested in having an initial chat.

    All the best,

    #1111584
    ntgd
    Member
    • Total posts: 36
    Up
    0
    ::

    Michael,

    I agreed with the above, running a company does not mean it’s more complicated than a sole trader. You just need to understand what’s different in compliance and other requirement such as director’s duties. Most of time if you are doing the right thing you got nothing to worry about.

    With the internet and cloud accounting software, you for sure can have a handle on your business while you are traveling.

    You probably should talk to a few accoutants and see which one you feel more comfortable with and design how you and your accoutant will communicate and process your accounting needs.

    Find a way for the flow of paperwork and communication that’s bested suit your situation which will make life easier for you and your accountant, so you can have more time to focus on developing your business and your accountant spend less time to bring the books up-to-date and more time looking at what the numbers are telling him/her about your business and offer advise to improve accordingly.

    Besh wishes for your business.

    #1111585
    My Virtual Me
    Participant
    • Total posts: 26
    Up
    0
    ::

    Michael,

    I suggest if you’re going to go down the Virtual Assistant path that you hire one from Australia – there are two main VA networks, I can send you the links if you like.

    Alice

    #1111586
    MJ.Bart
    Member
    • Total posts: 43
    Up
    0
    ::

    Apologies for taking so long to reply. I am not that great (yet) with keeping up to date in the forums, but I would really like to thank you all for sharing your thoughts, expertise and ideas.

    I am currently a sole trader and have decided to remain so for the time being. I have looked into what it would take to be a sole director company and I do agree that provided I am aware of my obligations with ASIC & the ATO for example it really is no more difficult than being a sole trader. However I feel that lately I have been focusing on a few too many things which are not immediately relevant and/or necessary.

    As for travelling, I will likely travel for short periods of time a few times a year rather than going for a full 12 months. This is mostly because I actually want to start a couple of other start-ups throughout the year and I feel I will be more focused (hence more productive) having a place to go to everyday where I can be in “work mode” so to speak. Taking a few trips overseas each year will help to change things up a bit and refresh.

    In regards to finding an accountant I have found that as helpful as feedback is (and I truly appreciate all feedback) sometimes the best way to find what you’re looking for is to go out and look for it. In this case that means actually speaking to a range of accountants and asking myself “is this the accountant for me?” or something along those lines.

    Thank you all again,

    I look forward to seeing more of you around the forums.

    #1111587
    Lawyer-Matthew-1
    Member
    • Total posts: 29
    Up
    0
    ::

    Hi Michael

    There are both advantages and disadvantages of setting up as a company.

    The advantages of a company structure include:

    Limited liability
    The legal liability of your company’s shareholders is limited to their share capital (that is, how much money they pay for their shares in the company).

    Pay less tax
    Companies are taxed on their profits at the company tax rate, which may be lower than the marginal tax rates of its individual shareholders.

    Continuity
    A company structure can ensure continuity of management and ownership in the event of the death or disability of key people in the business because shares in companies may be transferred.

    Control
    You can use a company structure to effectively separate the management and ownership aspects of the business.

    The disadvantages of a company structure include:

    Operating costs
    These costs include ensuring compliance with the Corporations Act ie costs to prepare and submit annual statements, keeping ASIC informed of any changes to your company’s structure, officeholders or operations, and fees for accounting and legal services.

    Responsibilities of directors
    The directors of the company have certain legal obligations. If directors fail to meet these obligations they may be held personally liable for the debts of the company.

    There are other advantages and disadvantages to using a company structure for your business. They depend on the specific nature of your business and other aspects of your financial affairs.

    Feel free to contact me if you would like more information.

Viewing 9 posts - 1 through 9 (of 9 total)
  • You must be logged in to reply to this topic.