What Is Included in a Start Up Accountant Package and What Is Extra

Launching a new business is exciting but the financial side can feel overwhelming. Many founders decide early on that they need an accountant to help them avoid mistakes, stay compliant and build strong financial systems from day one. The challenge is knowing what an accountant typically includes in a start up package and what is considered an additional paid service. The answer is important because it helps you choose the right level of support and budget accurately for your first year.

In the UK there is no single definition of a “start up package.” Each firm structures theirs differently but most follow a similar pattern. They offer a core set of essentials to get you legally compliant and financially organised then optional extras that cover more advanced tax planning, bookkeeping and ongoing support. This guide breaks everything down clearly so you know what you are paying for, why it matters and what you should consider when comparing accountants.

Why Start Ups Benefit from an Accountant in the First Place

Starting a business brings both freedom and responsibility. You must follow HMRC rules, submit tax returns, keep accurate records and make decisions that affect your financial future. Even simple mistakes can lead to penalties or unnecessary tax bills.

An accountant helps by:

• setting things up correctly from day one

• preventing expensive errors

• giving you clarity about your finances

• saving you time

• making sure you stay compliant throughout the year

For many founders this support is worth the investment because it lets them focus on building the business rather than grappling with paperwork.

Understanding what is included in your package ensures you get the right level of help without paying for unnecessary extras.

What Is Usually Included in a Start Up Accountant Package

Although packages vary, most start up bundles include the following core elements.

Business registration and setup support

Many accountants help register your business with HMRC or Companies House. This may include:

• registering a limited company

• setting up Corporation Tax

• registering a sole trader with HMRC

• advising on VAT registration

• helping you choose the correct SIC code

• assisting with business bank account setup

This step creates the legal structure you need to begin trading officially.

Initial tax and structure advice

Most packages include a consultation about:

• whether to trade as a sole trader or limited company

• how you should pay yourself

• how tax works for your chosen structure

• what records you must keep

• whether you need VAT or PAYE

• what expenses are allowable

In my opinion this is one of the most valuable parts because it helps you avoid mistakes that are hard to undo later.

Basic bookkeeping setup

Many accountants help new businesses set up:

• accounting software

• receipt recording apps

• bank feed connections

• chart of accounts

• basic training so you can record transactions

This is the foundation of all future accounting.

Annual accounts and Corporation Tax return (for limited companies)

For limited companies it is standard for a start up package to include:

• preparation and submission of annual accounts

• Corporation Tax calculation

• CT600 filing with HMRC

• Companies House submissions

This ensures you stay compliant with company law.

Self Assessment for the director

Many packages include one Self Assessment tax return for the business owner. This covers salary, dividends and any other income.

If there are multiple directors or partners, additional Self Assessments may be charged as extras.

Basic payroll for one director

If you choose to pay yourself a small monthly salary through PAYE, the accountant will usually include:

• payroll setup

• monthly payroll submissions

• payslips

• statutory year end reporting

The Employment Allowance usually does not apply to companies with a single employee who is also the director. Your accountant will explain this at setup.

Basic tax support

Most start up packages include access to an accountant for general queries such as:

• understanding expenses

• questions about bookkeeping

• guidance on how to pay yourself

• basic tax questions

Note that this is usually general advice rather than in depth tax planning.

Annual confirmation statement

A standard package often includes filing your yearly confirmation statement with Companies House. This is a legal requirement for all limited companies.

Basic compliance monitoring

This may include reminders for deadlines and alerts for HMRC or Companies House obligations.

These core services form the backbone of a start up package. They cover all the essentials required to run a small business in its first year.

What Is Often Considered Extra or Charged Separately

Accountants define their extras differently but most firms charge separately for anything that requires more time, more detail or specialist knowledge. Understanding these extras helps you avoid surprise fees.

Bookkeeping services

Bookkeeping involves recording transactions, matching bank feeds, categorising expenses and generating monthly records. Many start ups do this themselves to keep costs low. If you want the accountant to handle your bookkeeping:

• it is usually billed monthly

• the price depends on transaction volume

• it is almost always separate from the start up package

VAT returns

VAT rules are complex and time consuming. Most accountants charge separately for:

• quarterly VAT returns

• VAT registration

• VAT advice

• Making Tax Digital support

A VAT registered business usually pays extra in every practice.

Additional payroll

If you have employees beyond the director payroll often becomes an additional service. Extra charges may apply for:

• weekly or monthly payroll

• multiple employees

• pension auto enrolment

• P45s and P60s

Payroll can become a full service on its own.

Director’s loan account support

If your director’s loan account becomes complicated or overdrawn, additional work is often required. This is usually billed separately because it involves detailed reconciliation and tax advice.

Management accounts

Management accounts are monthly or quarterly performance reports. They help you make informed decisions but take time to prepare. These are normally charged separately because they go beyond basic compliance.

Business planning or cashflow forecasting

Forecasting, budgeting or creating financial models is specialist work. Accountants usually offer this as an add on service.

Tax planning

General tax advice is included in most start up packages but detailed tax planning is not. Additional fees apply for:

• tax restructuring

• dividend planning

• property tax advice

• R&D tax credit claims

• capital gains tax support

• inheritance tax planning

These services use specialist expertise that goes beyond standard bookkeeping or accounts.

Registered office address

Some accountants charge extra for letting you use their office as your company’s registered address. Others include it in their premium packages.

Limited company closure

If you decide to stop trading, closing a limited company requires paperwork and statutory filings. This is billed separately.

Specialist industry services

Businesses that operate in regulated or complex industries may need extras such as:

• CIS returns for construction

• FCA reporting for financial services

• charity accounts

• audits

• sector specific compliance

These are outside the scope of normal start up packages.

Real World Examples of What Is Included and What Is Extra

Example 1: A simple service business

Emma becomes a freelance social media manager. She forms a limited company and hires an accountant. Her start up package includes:

• company formation

• basic payroll

• annual accounts

• Corporation Tax

• one Self Assessment

• simple advice

Extras she pays for separately:

• VAT registration

• quarterly VAT returns

Example 2: A tradesperson

Jack starts a plumbing business. His package includes:

• company formation

• annual accounts

• payroll for himself

Extras he pays for:

• CIS submissions

• bookkeeping

• tool and van expense analysis

Example 3: An ecommerce seller

Laura launches an Amazon and Shopify store. Her package includes basic accounts but she pays for extras such as:

• bookkeeping due to high transaction volume

• VAT MOSS advice

• stock reconciliations

• monthly management accounts

Ecommerce can require more detailed accounting.

Why Extras Exist in the First Place

Extras exist because accounting is not a single fixed service. Some tasks take minutes while others take hours. Some require basic bookkeeping skills while others require specialist tax knowledge.

In many practices the start up package is priced to keep costs low for new businesses. Extras are then added as the business grows. This helps ensure:

• fair pricing

• flexibility

• scalability

• correct use of specialist expertise

You can start small, then add services as your needs change.

How to Choose the Right Package for Your First Year

When comparing accountants you should look beyond price. Think about what you really need. In my opinion the best start up package is the one that:

• gives you full compliance

• includes annual accounts and tax

• supports you with questions

• provides payroll if you need it

• offers software and bookkeeping setup

Extras should only be added when they genuinely help your business.

Ask these questions

When speaking to an accountant ask:

• What exactly is included in the monthly fee

• Which services cost extra

• How much bookkeeping I need to do myself

• Whether VAT support is included

• If there are fees for year end adjustments

• Whether you get unlimited support or capped calls

• Whether multiple directors’ Self Assessments are included

Clear answers help you choose confidently.

In My Opinion: What Every Start Up Should Include

Based on experience, I believe your first year package should include:

• business setup

• annual accounts

• Corporation Tax

• one Self Assessment

• payroll for one director

• bookkeeping setup

• access to advice

• confirmation statement

Then add extras like VAT returns, bookkeeping or forecasting only when needed.

Conclusion

A start up accountant package is designed to give new business owners the essentials they need to stay compliant and financially organised. Most packages include registration support, annual accounts, Corporation Tax filing, payroll for one director, basic advice and your yearly confirmation statement. Anything that involves extra time, specialist knowledge or higher volume work is usually billed separately. This includes bookkeeping, VAT returns, multiple payrolls, tax planning and detailed forecasting.

Choosing the right package depends on your business type, your expected workload and how much support you want throughout the year. Understanding what is included and what is extra helps you budget accurately and pick the level of service that supports your goals without unnecessary cost. With the right accountant behind you your business can grow confidently from day one.