Hi Louis,

yes and no.

Sage instants is aimed firmly at the simpler end of the market with restrictions as to bill of materials processing, stock control, order fulfilment processing etc.

Sage Instant is single user, single company so it's not generally enough to run an accounts shop. Although, if the client has it and doesn't need anything else then it's fine.

Thing is, if the accounts are simple enough to use sage instant then why use sage at all?

Take a look at VT Transaction+ (for bookkeeping) or VT Accounts (for accounting which includes VT Transaction+). You can get a free trial download and decide for yourself if it ticks all of your boxes.

VT software is cheap compared to Sage, easy to use (seems based more in spreadsheets) and you don't have the restrictions on the number of clients that you can have on it that you have with sage.

After your training I would estimate that as a minimum you need to budget an absolute minimum of around £600 for software, insurances and practicing certificates to get you started (If you take the Sage route you would need more than that just for the software).

If you're adamant that Sage is the route for you then take a look at the Sage bookkeepers club as that seems to be a cheaper way to using their software for multiple clients. This isn't something that I've ever used myself so can't give advice but if you search this site I know that there have been discussions on here in the past about it.

As I'm sure you are aware you need to be careful that the services that you offer to not go beyond what your PII covers you for.

General advice though on the question is that Sage Instant will not be enough for what you need if you are thinking of offering small (micro) company accounts.

Good luck with your studies,

Shaun.

Thanks Shamus, always good to hear sound advice.  The good thing is I can also take the ICB computerised exams using VT Transaction+ if I do decide to go down this route.  

The only reason I'm enquiring about sage is because most accountants tend to use it and if they were to send me their overflow bookkeeping work it is most likely to be on sage.  However I won't put all my eggs in one basket, I will strongly consider VT Transaction+ or VT accounts as I've read good things about it. 

Wella, I'm also looking forward to hearing from you.

You will be able to get management accounts from Sage Instant but it will not be able to produce statutory accounts if this is what you mean. It will be fine for pretty much all your bookkeeping requirements though.

Rob

Hi,

Sage is fine to produce a draft set of management accounts but is not sufficient to compile the financial statements for Limited Companies.

The accountant will use the trial balance from the sage to enter into their financial reporting package which can then produce a draft set of financial statements but it still requires a trained eye to ensure they make sense and there are no omissions and they comply with accounting standards/companies Act etc.

The financial statements should comply with the Financial Reporting Standard for Smaller Entities, this is quite a large document and you can download it from the Accounting Standards Board website (ASB). If you have a scan through this, you will see that there is quite a bit involved in producing accounts for limited companies, even for smaller entities. Whilst they do not require an accountant to audit or sign off the accounts, they still need to be prepared in accordance with this standard and comply with the companies act.

Not sure if this was what you were getting at, maybe you are aware of this already but just thought I would point this out.

Carole



-- Edited by littlebookkeeper on Monday 24th of May 2010 12:11:44 PM

Hi Rob,

the heat I can sort of put up with as got all of the office windows open. However, the normal tinkle of the wind chimes is being drowned out by someone having their patio cleaned so bit difficult to concentrate due to the noise.

If only Iris Accounts weren't so damn professional looking!

I know that one or two of the bods by me have dropped Iris and just use Sage for everything but I also know that all of the chartered accountants have the same setup as you so I'm figuring that you've still got the optimal setup for your accounts production.

Very good point about the FRSSE from Carole but as Louis states she's only contemplating the smallest, simplest of entities and passing everything else onto a properly qualified accountant.

I think that compliance with the FRSSE is a lot like bookkeeping in that software can do it all for you but you really need to know what's happening under the bonnet.

Louis is a long way off yet and by the time that she gets there I'm sure that knowing what goes on behind the scenes will frighten her off going beyond Trial Balance, VAT and Payroll which is really where I believe (helped by the fact that it's all that the ACCA will let me do) a bookkeepers role ends and an accountants begins.

Hi,

Shaun is right, you have to know your stuff in order to produce financial statements. A computer package can churn them out with the standard reports and notes but some things it will not be capable of. For example a computer will not really be able to use judgement in areas such as going concern. Some processes cannot be automated (thankfully for Accountants or they would be out of a job)!

Carole

I am aware that as a bookkeeper I will be unable to prepare financial statements for limited companies.  I was thinking long term as my goal would be to become AAT qualified in the future.

I am starting out with the bookkeeping qualifications so I can test the waters, without spending too much on qualifications.  The plan is to complete my bookkeeping qualifications, practice as a bookkeeper for a while to give me some practical experience.  I would then like to go on to complete the AAT qualifications.

Because all the learning providers seem to use Sage Instant I was wondering whether to go for it or do Sage Line 50 at a college instead.  I'm sure by doing instant I would probably beable to use Line 50 without any training.

If it wasn't viable to learn Sage I wouldn't even bother, I would just learn VT or another software but because most accountants use the software I would probably have to learn it as I may loose out on work.  I have also looked at quickbooks, but it seems too easy, can't see the double entry.  Does VT allow exportation of files to excel and other softwares like sage?

-- Edited by louis on Monday 24th of May 2010 05:33:51 PM

Louis

I would agree with Attila, if you are not to commited into your ICB qualifications, I would go straight to AAT. Like Attila, if I knew then what I know now (story of my life!!) I would have spent my money on AAT.

Bill

Louis,

before committing to ICB take a look at the IAB qualification which is more widely recognised by the other supervisory bodies (ACCA does not recognise ICB and vice versa).

It sounds as though the main use of the qualification will be to get exemptions from AAT papers once you decide that this is the career for you. Make sure that the qualification that you take is the most cost effective for exemptions.

The AAT bookkeeping qualification that you are talking about is the AAT ABC bookkeeping. This qualification is also offered by the Open University. If you take it via the OU you can go straight to IAB membership by exemptions.

Most cost effective route for you would be the OU course B190, IAB by exemption and then AAT by exemption from foundation level by using your IAB membership.

Taking ICB and then AAT ABC is really just doing the same studies twice... Not always a bad thing.

The downside to exemptions is normally that you have to pay for the exams that you don't sit to be granted the exemption.

Take a serious look at the above route but don't skip any exam where you are not comfortable that you would not be able to pass it.

If you end up doing AAT intermediate then if you do it with Premier Training I think that they throw Sage training at a very reasonable additional cost and they even throw in a full version of the software... I think that including Sage is an extra £100 on top of the normal cost of Premier AAT intermediate level.

Hope that this helps,

Shaun.