Tips for choosing a chartered accountant

Legally anyone can call themselves an ‘accountant’ without any training or experience. To make the right financial decisions, you need the right financial advice. An ICAEW Chartered Accountant can help.

ICAEW Chartered Accountants can be recognised by the ACA or FCA after their name.

They are:

qualified chartered accountants who complete a minimum of three years in-depth training including practical experience
committed to continuing professional development training every year to keep their knowledge and skills up-to-date
members of ICAEW – The Institute of Chartered Accountants in England and Wales
bound by ICAEW’s Code of Ethics and subject to our disciplinary procedures
required to hold a practicing certificate and professional indemnity insurance if they offer professional services to the public
subject to review as part of ICAEW’s Practice Assurance scheme, which demonstrates their commitment to quality assurance, and upholding and developing the highest professional standards.

What do you need to know?

When you see an accountant make sure you ask them:

Are you a qualified chartered accountant?
Do you hold a practicing certificate?
Do you have professional indemnity insurance?
Do you offer the services and have the experience I need?
Are you authorised to do audit, investment business or insolvency work?

This directory gives you access to over 20,000 offices of accountancy firms with at least one chartered accountant working for them*

Making contact

Invest time in finding the right accountant. It's a long-term relationship.
Telephone between three and six firms and arrange to meet with at least three of these.
Check in advance whether the first meeting to discuss their appointment is free of charge; specific advice may be charged for. Firms in this directory who offer the ICAEW Business Advice Service offer SMEs and start-ups an initial consultation free of charge. Find out more about the ICAEW Business Advice Service.
Tell them what you are planning to do and check whether they offer the services you will need to build your business.
Tell them the accounting records you keep. Can they suggest improvements?
Ask for their comments on your business plan. If you need finance, you may need a plan. How much would they charge to do one with you?
Establish what the fees will be and when they are payable.
Establish who at the firm will be dealing with your work - it may not only be the person you are meeting with. Do you get on with this person; is this someone you can work with? Do you feel happy that he/she will be able to help you develop your business?
Ask to speak to existing clients - references are always important.
If you also want advice on investments check whether they can provide this as it can be a complex area. Advice on specific investments (such as pensions) can only be provided by advisers authorised by the Financial Services Authority (which some chartered accountants are). Other chartered accountants may be licensed by ICAEW in the ‘designated professional body’ arrangements and can provide a limited range of investment services. But all chartered accountants can give general advice, which may prove a useful basis for subsequent discussion.

After the appointment

After appointing your chartered accountant you should receive a letter setting out their terms and conditions.
Your chartered accountant should always keep in touch, not just at the year end.
You must tell your chartered accountant as soon as possible of changes in your business, problems, circumstances, etc.
After your accounts have been prepared you should receive a letter setting out future tax liabilities.
Don't be afraid to tap into your chartered accountant's knowledge for help with running your business.
Review your chartered accountant's charges every three to five years.
From time to time, assess whether your accountant's services still match your business needs. If you are not getting what you want – ask.
If you decide to sell your business, tell your chartered accountant - he/she could plan to minimise tax liabilities and even help with the sale.

Firms that have the following symbol against their entry are participating in the ICAEW Business Advice Service and offer an initial consultation free of charge to SMEs and start-ups. Find a chartered accountant offering the ICAEW Business Advice Service.

* Firms in the directory flagged as an 'associated firm' (marked with ) are an overseas organisation, which although associated with a member firm, does not usually include a member of ICAEW as either a partner or director, or a member in the case of an LLP.