Some advice from Gravesend Accountants, AW Accounting on how to change accountants. Accountants like banks tend to have loyal clients however the time may come where service or fee issue mean you have looked elsewhere and want to change. There is no easy way to say good bye to a longstanding business relationship but it always pays to part on good terms to ensure all of the information is passed over to the new accountant. For this reason I would not recommend setting out a catalogue of failures! So the process should proceed as follows:
1. Discuss with the new accountant the best time to take over, best done before year end records are handed over or after they are completed.
2. You should write to the old accountant to explain that you are leaving and who will be taking over. There is no reason why you should not telephone first if you did get on well, be aware that they may try and talk you out of changing. You should confirm in writing nonetheless.
3. The new accountant can then write to the outgoing accountant to ask for “professional clearance” which is a confirmation that there is no reason why they should not act. At the same time they will ask for various accounting and tax records for the previous year.
4. The new accountant should not act for you until they have responded but there are steps they can take should the response be slow or non- existent.
5. You will already have agreed the basic terms and conditions which will include the price, and you should receive a formal engagement letter from the new accountant – this is recommended by all of the professional bodies and beware if you do not have one.
6. Similarly you will have to provide ID, both photo and address to prove who you are and where you live, once again this is a requirement by the professional bodies.
7. In order to act efficiently the accountant will want authority to act as your agent and this process will either be completed using a paper HMRC form, or more efficiently using an online procedure.
8. Finally if you have been using your accountants address as registered office you will need to change this to the new accountant or your own business address.
In summary it is a relatively straightforward process and the most important consideration is that you get the best service for your business. This article may not apply to your specific circumstance so please seek advice before taking any steps based on the information shown. If you would like advice in this or other areas feel free to call. Alastair Wood, AW Accounting, Gravesend – Accountants who “speak your language”