CapitalCity vs InTouch

[mekool]

I have spoken to InTouch and they look alright to me, apart from the fact that if I have to take a break from contracting for a few months (finding new contract or other circumstances), they will continue charging me. They have an annual plan which is slightly lower accountancy fee, but there is still a charge

However, another friend of mine has recommended Capital City Accountants and has mentioned that if I take a break from contracting for a month of longer they will not charge me. This looks better to me than the InTouch offering. Here is an excerpt from their website:


Taking a break for A MONTH OR LONGER? When you take a break from contracting, your monthly fee does too. The monthly fee resumes once you come back to contracting. (We will continue to provide our usual accounting services for up to 6 months free! If however you require our support to continue after 6 months, then the following fees will be due (a) single payment of £150 + VAT for the six month period just elapsed, and (b) an on-going monthly fee of £25 + VAT.)

Also, If I go with an accountancy firm now - how easy it is to leave them if I am not happy with their service? I don't want to be tied down to something because of a legal clause and being reminded that I made an initial mistake in choosing the accountant.

[northernladuk]

Out of those two InTouch without a shadow of a doubt. They have a number of happy customers on here already and Clare from Intouch not only posts here but was forum babe advisor of the year last year. Craig also posts when he is allowed to.

[kevpuk]

InTouch are very good, and I would recommend......

On your point about free month(s), the reason that you will continue to be charged is that what firms such as InTouch are offering is a year's accounting, but split into monthly payments - just because you are not in contract for a month, your annual returns/VAT/taxation and so on will still need accounting for and hence the ongoing fee. Essentially, it is a repayment plan on the full year fee.

[mekool]

Thanks for your advice

[TheFaQQer]

How would Capital City define taking a break? For example, I'll take a break at the end of this contract for a month or so, but will continue to pay salary during that time. Would that count as taking a break so not being charged for that time?

I'm with InTouch - tell Clare I sent you her way, and I get freebies

[d000hg]

Out of those two InTouch without a shadow of a doubt. They have a number of happy customers on here already and Clare from Intouch not only posts here but was forum babe advisor of the year last year. Craig also posts when he is allowed to.

WHS

On taking a payment holiday, that is a nice idea although as already mentioned, most accountants treat paying monthly as splitting an annual fee into monthly instalments rather than a true pay-by-the month scheme.

[Jessica@WhiteFieldTax]

WHS

On taking a payment holiday, that is a nice idea although as already mentioned, most accountants treat paying monthly as splitting an annual fee into monthly instalments rather than a true pay-by-the month scheme.

Most, not all! For simplicity I'm moving towards getting as close to a monthly retainer system as possible, but it answers some problems and highlights others.

Anyway we reduce the monthly payment by 50% after three months inactivity, with an element of deminimus in defining that. It seemed the fairest and easiest way, we've done it for a few years now, and works reasonably well.

As always caveat emptor, make sure any accountant gives you a clear SLA showing how fees are determined.

[d000hg]

Indeed it's a bit of a blurred line because normally people only pay monthly to avoid large single payments... for a contractor that shouldn't be a problem and you'd normally in fact expect a discount for paying up front... or the option to pay your full year at year-end.

The "they have to do the same amount of work" line is probably pretty true but it's not necessarily about buying X hours of work per year. I'm sure all you service providers here have customers who take virtually no time each year and others who are phoning up every week asking a question or two, and you don't differentiate on price based on that

[Clare@InTouch]

Indeed it's a bit of a blurred line because normally people only pay monthly to avoid large single payments... for a contractor that shouldn't be a problem and you'd normally in fact expect a discount for paying up front... or the option to pay your full year at year-end.

The "they have to do the same amount of work" line is probably pretty true but it's not necessarily about buying X hours of work per year. I'm sure all you service providers here have customers who take virtually no time each year and others who are phoning up every week asking a question or two, and you don't differentiate on price based on that

Very true. I always advise potential clients that they're welcome to call me every day if they need to. Thankfully only a few take me up on that!

[captainham]

Very true. I always advise potential clients that they're welcome to call me every day if they need to. Thankfully only a few take me up on that!

Noted. I've added you to speed dial and set a daily reminder in my phone to call you. Get ready!