1. Helping your Clients out of Recession www.ifa.org.uk Richard Simms Managing Director, FA Simms 12.40 - 13.20

2. 0845 200 8271 www.fasimms.com HELPING YOUR CLIENTS OUT OF RECESSION 29 APRIL 2014 BY Richard Simms FCA

3. 0845 200 8271 www.fasimms.com PRESENTATION OVERVIEW (1) Compliance v Consultancy Customer Service Non-bank funding Marketing

4. 0845 200 8271 www.fasimms.com PRESENTATION OVERVIEW (2) Management accounts Cash flow indicators Solvent liquidations

5. 0845 200 8271 www.fasimms.com Compliance v Consultancy (1) Accountants are now the people directors turn to for business advice Role of the accountant is adapting to include a consultancy role

6. 0845 200 8271 www.fasimms.com Compliance v Consultancy (2) Directors are looking for an accountant who has an opinion on their business not just their books Creating a closer relationship will benefit both parties

7. 0845 200 8271 www.fasimms.com Customer Service Not just something for the retail industry Take more care of clients leading to better relations Turn a small fee into a larger fee

8. 0845 200 8271 www.fasimms.com Non-Bank Funding (1) Growth in non-bank funding Alternative sources of finance Peer to peer lending Grants and Start Up funds

9. 0845 200 8271 www.fasimms.com Non-Bank Funding (2) Always seek security if re- investing personally Last minute protection is too late!

10. 0845 200 8271 www.fasimms.com Marketing (1) Increase in competition from both old and new businesses Find clients unique selling point (USP) Extend reach into new markets

11. 0845 200 8271 www.fasimms.com Marketing (2) Regular market sector & competitor analysis Always need to stay ahead of the competition Can any of your clients help each other?

12. 0845 200 8271 www.fasimms.com Management Accounts How many of accountants currently do management accounts? Is there benefit to management accounts? Is the pricing different to annual accounts?

13. 0845 200 8271 www.fasimms.com Benefits of Management Accounts Keep a closer eye on the cash flow Spot any issues early Create a closer relationship with clients

14. 0845 200 8271 www.fasimms.com Cash flow indicators There is an inherent lag between an underlying problem and evidence of it showing up in cash flow

15. 0845 200 8271 www.fasimms.com Cash flow indicators Drawing dividends v drawing a salary Year end review of director’s loan account position

16. 0845 200 8271 www.fasimms.com Cash flow indicators Directors/shareholders constantly propping up the company personally

17. 0845 200 8271 www.fasimms.com Cash flow indicators Threat of legal action or steps taken by creditors to collect unpaid debts We expect businesses to become less patient as the marketplace picks up

18. 0845 200 8271 www.fasimms.com Cash flow indicators Constant reliance on the company’s overdraft Need for funding for growth

19. 0845 200 8271 www.fasimms.com Cash flow indicators Dealing with an employee dispute/tribunal

20. 0845 200 8271 www.fasimms.com Cash flow indicators- What you can do May need to think for your client Be pro-active Stay informed

21. 0845 200 8271 www.fasimms.com Members’ Voluntary Liquidation Can be straightforward Tax advantages HMRC clearance Fast distribution

22. 0845 200 8271 www.fasimms.com HELPING YOUR CLIENTS OUT OF RECESSION 29 APRIL 2014 BY Richard F Simms FCA