Charities and Not-for-Profit

Professional Accountancy Support for Charities and Not-for-Profit Organisations

The mandatory reporting requirements and audit and examination obligations for organisations in the charitable sector differ significantly from those impacting commercial, for-profit businesses. Our specialist team offers in-depth knowledge, ongoing financial management and accounting services to philanthropic enterprises of all sizes, focused on compliance and minimising risk.

The Importance of Expert Accountancy Assistance for the Charitable Sector

James Todd & Co works with a diverse array of clients, ranging from trustees responsible for the management and custodianship of a charitable organisation to not-for-profit enterprises looking for insights from an experienced accounting team that can offer balanced, accurate guidance.

Whether you require general accounting services such as help preparing statutory reports and submissions for the Charity Commission, are keen to explore opportunities to diversify and expand the work you do in your community or region, or would like to ensure you achieve full compliance with legislation related to audit, independent examinations, tax, employment or digital record-keeping, we can assist.

Many charities and not-for-profit organisations rely on our services to adhere to the strict obligations placed upon them, where all charities with an annual income over £25,000 are expected to have their accounts audited or independently examined yearly.

Putting the right assessments and audit procedures in place is essential. This ensures supporters, beneficiaries, partners, and trustees have full assurance that the finances and controls are well managed and that the accounts represent a true picture of the organisations’ financial status.

For other charities, issues around fundraising sources and the need to evolve to keep pace with digitisation are paramount. They may also focus on managing changes to overheads and operating costs that affect net revenues and how funds are utilised to achieve overarching organisational aims.

Seeking input from an accomplished accountancy firm is an excellent way to ensure a charitable or non-profit organisation is fully aware of its obligations, liabilities, and performance while steering clear of long-standing and emerging risks.

Accounting Services Applicable to Non-Profit and Charitable Organisations

Every charity is different, and the services you require may depend on the structure, leadership, size and location of the organisation. For example, you may need professional support to ensure your statutory reports are accurate and timely or have a critical need to review your compliance with aspects of your bookkeeping, such as Gift Aid.

We support organisations of all types, including:

    • Incorporated charitable companies and organisations
    • Charitable trusts managed by their trustees
    • Social enterprises and unincorporated charitable associations

Larger charities often have more complex strategic objectives, which may affect the way they allocate or safeguard reserves. Concerns around ring-fenced financing, grant funding, and donations must be accurately accounted for, managed, and reported alongside the need to conduct a full independent audit where the charities’ revenues exceed £1 million or gross assets are worth £3.26 million or more.

Adding tax reliefs to the equation can add further importance to the need for astute financial support. This ensures that a charity fulfils its objectives while optimising its tax position and exposure to VAT and claiming all eligible reliefs, allowances, and exemptions.

Accessing Specialist Support From the Charity Accounting Experts

Our role as your accountant isn’t only to manage reporting obligations and taxation affairs. We work with our clients on a long-term basis to add value and contribute guidance and information wherever necessary. 

The far-reaching expertise within the James Todd & Co team enables us to assist charities of every nature, helping with areas such as VAT management, internal control appraisals, and audit processes.

Alongside core services such as year-end reporting and bookkeeping to keep your financial management in good health, we can implement additional support on demand, whether offering recommendations around compliance, advising on changes to the Statement of Recommended Practice and how this impacts your organisation, or addressing challenges as they arise.

If you are a trustee or board member of a charity operating in a fast-moving sector, collaborating with a trusted team of charity accountants allows you to access our resources, knowledge, and up-to-date guidance at any time.

Our Charitable and Not-for-Profit Sector Accounting Services

The areas that you would like to discuss with your accountant or that affect your reporting obligations will depend entirely on the circumstances of your charitable organisation. We aim to be as flexible as possible, offering a range of services that clients can select from based on their requirements.

Year-End Charity Accounting

Preparing compliant reports and financial statements at year-end is essential. We can assist with compiling and formatting your reports, filing accounts with Companies House and the Charity Commission, and ensuring the trustee’s report is prepared in good time.

Audit and Examination Compliance

Charities are subject to statutory audit requirements around having their financial statements independently examined or audited, depending on the organisation’s size. Our comprehensive audit services cover all requirements, including internal audits and analyses of specific areas based on the trustee’s instructions.

Tax and VAT Planning

Managing tax obligations, including exposure to corporation tax, VAT, payroll costs, and liabilities associated with employment, can be a significant challenge. We assist with preparing and filing returns and liaising with HMRC on your behalf.

Bookkeeping Services

The James Todd & Co in-house team can manage accurate and up-to-date record keeping, helping to balance time constraints. We can also advise on cloud-based software that may assist in the availability of on-demand reports to keep pace with balances and spending within charitable funds.

Ongoing Reporting and Analysis

Regular reporting and evaluations can identify areas for development at any stage during the financial year, producing reports to assist trustees in making decisions or understanding how performance aligns with objectives and targets.

Governance Controls

Trustees often benefit from independent guidance on their responsibilities, ensuring they have the skills and resources to identify inefficiencies within their accounting processes or can set up reliable best practice internal controls.

What we offer at a glance

Full accounting service

Business start-ups and company formation
Stress-free bookkeeping
Stress-free payroll
Cloud-based accounting

Quarterly review and management accounts

Goals to Growth consulting
Taxation support & advice
Fee protection service
Statutory audit

Trust us we’re Xero and Sage experts

Schedule a Meeting With the James Todd & Co Charitable Accounting Team

For further information about how our charitable and not-for-profit team can assist your organisation, please get in touch at your convenience. We will be happy to discuss the services we provide and where these may be beneficial.

Some words from our wonderful clients..

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"We have worked with Michelle and Kevin for many years. We were a small Partnership when we started using them for our annual accounts; as they grew as company so did we. With all their expertise and advice we turned our 500K turnover business into a 3.5 million Turnover business. They do our monthly management accounts and review and advise us on strategies to help us continually grow. The wide range of services they offer is amazing from Tax advice to Payroll and much more!"

- Danny Knight, Director, Knight Fencing Ltd. - client since 2007

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"Running your own business can be incredibly stressful, You need someone you trust who is on your side and who you can call whenever you need help or advice. I have that with James Todd & Co."

- Julia Haviland, Director, Brittain Marketing Services Ltd

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"James Todd & Co have been our accountants since 1997 and have provided excellent services throughout our time together. They have undertaken our CIS, Payroll, VAT and end of year accounts during this period and have been excellent throughout. They have a great team, all of which are a credit to the company."

- Steve Carder, Director, Facilities Fire Protection Ltd - client since 1997