The Positive Accountant - Vol 2 Ed 19
Updated: Aug 5
Isn't hindsight a wonderful thing ? I really wish I hadn't mentioned how close we are to next Christmas last night. Today I've heard from two people who - I think they were serious - were getting their Christmas cards out ready to be written. As someone who hasn't written last year's yet, that is too depressing.
Meanwhile today in Parliament MP's were debating the powers that HMRC will have to investigate and penalise incorrect furlough and SEIS grant claims. It's always worrying with any sort of tax relief that the politicians give, but leave the power to administer with HMRC. There are all sorts of tax reliefs that should be really generous ruined by bureaucracy of HMRC (Enterprise Investment Scheme anyone ?).
It's a bit like putting a vegan in charge of the local butchers shop!
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What are my positives today:-:
1. It's Super Saturday at the Weekend
Although I don't think I'll bother joining the celebrations. Not because I'm concerned about transmission, it's just that I can't be bothered with the endless queues with everyone trying to do the same.
2. But it might mean I get a haircut soon
Otherwise I've been debating dreadlocks or topknot. Both of which would (a) look ridiculous, but (b) would embarrass the children.
So maybe not such a bad thing after all.
3. Our office opens tomorrow - as in officially
As from tomorrow reception will be manned. Which is great.
For those that don't know, our offices are in a serviced office suite. In other words we don't have to be there for things to be dropped off/picked up. Which is great - even before lockdown we often weren't in, in the new world we'll be there less frequently.
But it does give us a secure way of having books collected and picked up. And it also gives the building some energy, it's felt very unvibrant (is that a word ?) over the past few months.
What am I talking to clients about ?
Cashflow and debtors....Following on from last night's comments, I've had a couple of people ask me today about debt collection, and how to go about it.
It's a really awkward situation. None of us want to upset a relationship by bringing money up, but equally if we don't get paid then there is no point to having that relationship in the first place.
In my opinion, I think you look at each case on its own merits. There will be some unpaid debts where the person owing has simply forgotten, or maybe never got the letter/email. A simple chasing reminder will deal with this. Maybe something automatic.
At the other extreme you will have customers who always take advantage. Perhaps the best way to deal with this is simply part company (once they are up to date). Sometimes the threat of doing this is enough to shock them into behaving better in the future.
In between that there will be those that need regular managing, regular reminding, cajoling, etc. Remember that the older a debt gets, the less chance there is of successful recovery so it is something you need to be looking at constantly.
In absolute the worst case scenario I will get a debt collection agency involved. I've done that in a very small handful of cases, always with complete success and the exercise costing me nothing. It has invariably always led to the client leaving which, if I'm honest, is fine - I don't like working for nothing !
Until tomorrow, stay safe, stay positive
Adrian