Black and White offer a broad range of general charity accounting, bookkeeping and development services to charities including:
- accounting software selection, implementation, advise, support, and training;
- accounting standards – assurance and compliance;
- advice on charity formation and suggestion structure;
- advice on gift aid;
- charity trading subsidiary usage;
- due diligence procedures;
- general taxation advice;
- governance reviews;
- independent examinations;
- management accounts;
- National Insurance contributions;
- primary/non primary purpose trading;
- training for trustees and boards;
- VAT advice (a complex area!); and
- workplace pensions
To name but a few…
If you would like to hear more about how we can support you, get in touch with us today for a free initial one hour consultation, please contact us and fill out the form or call us on 0800 140 4644.
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What does a charity accountant do?
Charity accountants manage the finances and statutory reporting requirements of charities, community interest companies, and not-for-profit organisations. If this is you, we’d love to hear more from you.
File charity accounts
Black and White’s accountants prepare charity clients’ annual accordance in accordance with the Companies Act, the Charities Act, and the Charities Statement of Recommended Practice. We can also support you with the Annual Returns and other annual filing requirements.
Charity accountants FAQs
Charity accounting software
In addition to being Xero gold partners, we are certified partners of QuickBooks and Sage. We also work with clients using FreeAgent and Wave, to name but a few. We work exactly how you want to work, so whatever software solution you want, we can deliver.
We are able to advise charities on the selection of online accounting and bookkeeping software, implementation and introduction of this type of software into your organisation and on training you and your staff on how to use it.
What are the key advantages of being a Charity?
The key pros of being a Charity include:
- Generally, charities do not pay income/corporation tax, capital gains tax, or stamp duty, and gifts to charities are usually free of inheritance tax and gifts can be grossed up using Gift Aid. There are also special rules for VAT;
- They pay no more than 20% of normal business rates, which can be reduced to 0%; and
- Funds from the public, grant-making trusts and local government can often be achieved more easily for Charities than from non-charitable bodies.
What are the key disadvantages of being a Charity?
The key cons of being a Charity include:
- To enjoy the benefits, a charity must have exclusively charitable purposes and there are strict rules which apply to trade by charities, with charities also restricted on political and campaigning activities;
- If the Charity was incorporated as a company limited guarantee, there are two Regulators to deal with: OSCR and Companies House; and
- Trustees need to avoid any situation where charitable and personal interests conflict. Financial benefits and remuneration are also very restricted.
Specialist accountant for Charity
We offer a range of specialist charity accounting services including:
- hiring a part-time charity financial accountant;
- charity management accountant;
- charity project accountant;
- small charity accounting;
- charity payroll outsourcing;
- services for non-profits below and above the charity audit threshold;
- charity finance management; and
- setting up of charity bank accounts.
Community interest companies (CIC)
CICs are special limited companies either with a defined social purpose or set up to benefit a specific community. They are not profit driven and they offer distinct advantages over other forms of socially-motivated legal organisational structures in providing limited liability to their owners and in the ability to access certain types of finance. There are however restrictions over the use of assets as a result.
We offer a full range of services to new and existing community interest companies including set up, remuneration, payroll, CIC34 form completion and submission, VAT, and much, much more besides. Please get in touch by filling out the form on the page if you would like to learn more about how we can help you.
What are the key advantages of being a CIC?
The key pros of being a CIC include:
- Clear commitment to social goals prescribed in the Articles of Association and confirmed by an annual commitment;
- Access to certain forms of finance due to the protection they offer that funds will be used for the stated purpose;
- Limitation of liability and protection of personal assets, assuming Director duties are all fulfilled.
- Flexibility of company structure and continuity of purpose; and
- Quicker to set up, less governance and regulation, greater social aims and focus available and no need to choose between strategic control and being paid, unlike Charities.
What are the key disadvantages of being a CIC?
The key cons of being a CIC include:
- They are more complicated to set up than other types of limited companies, with a form CIC36 also required to be submitted;
- The annual ongoing compliance obligations can seem too much for occasional or part-time basis individuals in their social cause;
- They do not have the tax breaks available to Charities. Not only that, some of the funding available is only available to Charities and not CICs and less people are aware of CICs;
- Compared with other limited companies, there are also more restrictions on dividends, use of company assets and it can be very complicated to convert to other structures; and
- They also have more governance requirements with annual reporting to the CIC regulator via the CIC34
Not-for-profit entities (clubs and societies)
Non-profit businesses, occasionally referred to as not-for-profit entities are not registered with the Charity Commission, are often small clubs or sporting associations (unincorporated associations). They operate like regular businesses in that money comes in and goes out of their account but there is not a profit imperative among the members. Not-for-profit entities are often companies limited by guarantee.
We assist not-for-profit entities with a comprehensive range of services including fundraising planning, applications for tax exemptions, cash flow management, business plan creation, and the setting up of merchant accounts and direct debit facilities to easier collect member contributions.
What are the key advantages of clubs or societies?
The key pros of being a club or society include:
- Simple to set up, with members creating an agreement between them and no further steps such as registration required. Compliance costs are also lower;
- No accounts need to be filed with Companies House or Registrar of Friendly Societies (if unincorporated);
- Usually brewers, banks and other suppliers are happy to deal with the officers.
What are the key disadvantages of clubs or societies?
The key cons of being a club or society include:
- Without limitation of liability, the officers and sometime the members can be held liable for debts of the club and can be sued without a separate legal existence;
- Land and investments cannot be held, other than in the name of officers or trustees;
- There are no statutory liquidation procedures and an unincorporated club cannot be voluntarily wound up under the Insolvency Act 1986; and
- The club cannot make formal contracts, any contract which has been entered into in the club’s name could be null and void.
Charity accounting in Hampshire and Surrey
We’re offering one hour’s free consultation to charities, community interest companies, and not-for-profit entities and we’d love the opportunity to get to know you, your organisation and how we can bet support you in your objectives.
Not only do we provide our complete package of Accounts & Tax, Book Keeping & Payroll, Business Planning and Software Training to support you, we also offer highly specialised services for organisations in this sector, in addition to a unlimited energy, passion and pride to help support you.
After our meeting, we’ll put together a bespoke quote for you on a range of services for you, to best help you succeed. To arrange your free hour’s consultation, please fill in the form on the page, call us free on 0800 140 4644, or email [email protected].