Charity Accounting Services for Accountancy Practices in the UK
Oct 26, 2020
It is no wonder why many accounting practices across the UK get exhausted, considering that they are bogged down with petty tasks, such as bookkeeping, taxation and payroll, which are time-consuming and not much profitable.
In order to survive the fierce competition and to stay on top of it, accountancy practices do not only have to offer best accounting services consistently at affordable prices, but they also have to be more elastic in their work schedules.
We are seeing a huge number of UK Accountancy practices adapting to the post-pandemic landscape by outsourcing many different functions such as VAT, Financial reporting, Management Accounting, Charity Accounting Services for UK Accountancy Practices etc. Outsourcing brings with it flexibility, agility and access to a superior skill set that is available 24*7 even during challenging times.
SandMartin has been a lead provider of outsourced charity/non for profit accounting services to UK accounting firms for over 20 years. Our services include Independent examination of small and medium charities, financial statements preparation for small charities (exempt from IE) and Trusts, Bookkeeping and management accounting services for medium and large charities and Trusts etc.
Below are the key tasks we perform in the Independent examination under Charity Accounting Services for UK Accountancy Practices.
- Records Log
After receiving the first set of information/records from the client, we prepare a log of documents received and the documents required to complete the independent examination.
Once we receive the documents that meet the minimum requirements, we complete the planning of the Independent examination. This includes, preparing a summary of information of the charity, worksheet to confirm audit exemption status, materiality calculation etc.
- Working Papers
Once the planning is completed we start preparing working papers, below are some common working papers required for charities:
- Investment analysis
- Reconciliation of bank accounts
- Analysis of donations received
- Analysis of charitable activities
- Analysis of grants paid
- Analytical review of SOFA and Balance sheet
- Backing Info
After finishing the working papers, a thorough review of incoming and outgoing is done. On that basis we request backing info e.g. agreements, invoices, statements etc.
- Fund Analysis
An analysis and reconciliation of different funds are prepared and related disclosures are made in the financial statements.
- Trustees’ Report
In most cases Trustees reports are provided by the trustees, we generally review it and ensure that it is making sense, disclosures are correct etc.
- Related Party Transactions
A report with details for all related parties is prepared with appointment, termination of appointment, transactions with entities during the year etc. and disclosures are made in the financial statements accordingly.
- Going Concern Review
To ensure that charity is a going concern, we do a going concern review. In this, we analyse post year end bank transactions, review post year end management accounts and prepare a forecast (if required)
- Meeting Minutes Review
For meetings held during the current and future period, a summary of significant decisions taken is prepared, which may affect not only the accounts but also the disclosures in financial statements.
- Financial Reporting Disclosure Checklist
Last but not the least, the charity’s SORP (FRS 102) checklist is completed to ensure all disclosures’ requirements are fulfilled.
In general, the financial statements are prepared on CCH AP and working papers on Audit Automation (Pro-audit), we regularly finalize both on word and excel files as per client’s requirements. The bookkeeping for charity accounts received is generally prepared on Sage, Xero, QBO, Troika etc.
How SandMartin brings value to your Charity Clients
Our ACCA Qualified and ex Big 4 employees have a specialist knowledge of the accounting requirements of the voluntary sector and are ideally placed to provide such an examination – either as a standalone exercise or in conjunction with preparation of the year-end financial statements.
With the combined pressure of raising funds, managing finances, meeting stakeholder demands and keeping on top of the constantly changing regulatory and legal framework, Charity organisations need the help of their trusted accountants more than ever in these uncharted waters.
Outsourcing charity accounting functions to SandMartin can make all the difference. SandMartin can help you meet all these challenging demands of your charity clients by delivering a comprehensive range of charity accounting services as well as a wide range of other specially tailored offerings for the not for profit sector including charity bookkeeping, payroll processing and VAT.
SandMartin specialises in helping UK chartered accountancy practices to be more efficient by allowing their in house resources to be better utilised for risk assessment, business continuity, governance etc. work for their charity clients. We allow you to either outsource your full (/or part of) your accounting work; be it the day to day record keeping, payroll or tax returns preparation.
Save Cost & Time
The most rewarding part of the outsourced charity accounting services is that it can help you save a fortune and spares you more time on activities to make your business grow. It is also one of the most common reasons why UK accounting firms are switching to outsourcing.
Being affordable, SandMartin’s outsourcing services can increase your profit margin without making any compromise in the quality of the work. Moreover, you don’t have to worry about the deadlines, as all your tasks will be finished with quick turnaround time.
Contact us for your Charity Accounting Work
To learn more about our outsourced charity accounting services and to register for the free trial, please feel free to email us at firstname.lastname@example.org or you can also fill out the Contact Form. Our team members will be happy to meet you to discuss solutions for your unique requirements.