Just joined the forum and looking forward to building up my knowledge with your advice.
My first question - A potential new client has just informed his current accountant that he intends to leave and use my office instead (not uncommon obviously). His current accountant replied with the following " ...we will await contact from your new accountants, providing details of their MLR registration and practicing licence, at which point we can forward the necessary details to them to take on the work for you."
I have been doing this for 10 years, and have never come across this before. Although I do hold the necessary registrations, insurance, etc, and will happily provide copies of these for the prospective client, I would like to know if anything has changed recently ? I have taken clients from the top 4/5 accountants in the UK, and have never had this issue before.
We have never come across this before either. I don't think it's a new requirement (although I stand to be corrected), but it sounds to me like sour grapes and a way for the old accountant to put doubt into the minds of their (ex) client about you!
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Accountancy services for contractors, freelancers and the self-employed.
Never come across that but I wouldn't worry about it. I would suggest just doing the usual professional clearance on your letterhead etc. If the accountant does not comply accordingly just remind of their professional requirements. It is up to the client to check your credentials, not the outgoing accountant.
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Phil Hendy, The Accountancy Mentor
Are you thinking of setting up your own practice or have you set up and need some help?
If so a mentor may be the way forward - feel free to get in touch and see how I can assist you.
Oops, let me just pop and grab my message from the other thread and then delete that one.
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Shaun
Responses are not meant as a substitute for professional advice. Answers are intended as outline only the advice of a qualified professional with access to all relevant information should be sought before acting on any response given.
The rules are implemented by the various professional bodies and relate to ethical guidance over confidentiality (S140 of the IFAC code). These are not new rules but they are not always adhered to properly. Which is strange as to not adhere to them could see one disciplined by their professional body.
One is expected to send an ettiquette letter to the incumbant giving them your details and requesting that you be given access to client information (that is at least the last set of accounts and the trial balance upon which such was based. There is no necessity for the incumbant to share their working papers with you).
The incumbant is not allowed to respond to you until they have received permission to talk to you by the client which would appear to have been given in this instance.
kind regards,
Shaun.
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Shaun
Responses are not meant as a substitute for professional advice. Answers are intended as outline only the advice of a qualified professional with access to all relevant information should be sought before acting on any response given.
Thanks everyone. That's confirmed my thoughts on the matter, although Shamus, that was something that I was not aware of - so thank you very much for the additional information. I will send the usual professional clearance letter, and see what they come back with.
