My clients accountant has sent me their Trial Blanace as at their last year end. The problem I have is there is 3 shops which they did a separate P&L for each but only one Balance Sheet which combines the 3 shops.
I asked for a breakdown of the Balance Sheet totals on the TB for the 3 shops and they said they didn't have them.
How can I set each shop up individually without a breakdown?
Is it possible to get the detailed nominal ledger from the clients accountant as may be able to use this to separate out the balance sheets. Were the balance sheets accounts separated by shop when your client gave to the accountant. If so then the balance sheet accounts should just be a total of the 3 shops plus/minus any year end adjustments that the accountant did.
If the balance sheets werent separate to start with then only thing could do would be to post in the opening balance adjustments so the opening position is correct then try yourself with your client to summarise each balance sheet account by shop.
You could always carry on in the same way. That is.....create one set of accounts and set up deprtments for each shop. So all sales, cost of sales, direct costs and overheads will be shown per shop......the balance sheet will be consolidated as it is now. So no messing around????
Are you saying that the same partnership runs all three shops?
In that case from a VAT viewpoint it is one business and it doesnt matter that the business is run from separate shops. They are treated as one business and all should be VAT registered if above the VAT registration threshold when you combine the turnover of the shops.
Dont know why your clients accountant hasnt pointed this out.
