£££ - The Financial Management Team - £££
I know this area can feel like a bit of a mystery at times - so I thought I'd share the primary role of the different team members in this area of business. Credit to Detail Dave for pulling this together!
Questions and comments welcome below.
· Bookkeeper: UK £15ph - £25ph / Philippines £2ph - £5ph (Internal Role)
Primary Role: Reconcile transactions and keep the accounts in order Secondary Role: Can also feed into a financial management Strategy with monthly management accounts if briefed and may be able to help with chasing overdue accounts and other account admin roles within the business if competent. Possible liaison with accountant.
· Financial Controller (FC): UK £30ph - £60ph / Philippines £6ph - £12ph (Internal Role)
Primary Role: Oversee internal Accounts to ensure the accuracy of reconciling and help make decisions regarding transaction organisation so that they can feed more easily into the management accounts. Directly manage the financial management Strategy from an operational level, creating and refining detailed management accounts and providing the first level of feedback on the data being provided to highlight risks and anomalies as soon as they occur. Responsible for all internally facing accounts and and financial reporting methods.
Secondary Roles: Can also help with the day to day bookkeeping if needed, as well as help with chasing overdue accounts and other account admin roles within the business. Primary liaison with the Accountant if no Financial Director
· Financial Director (FD) or Chief Financial Officer (CFO): very dependent on size of business, level of experience and type of employment (I.e. freelance vs. Salary) - UK c. £100ph - £250ph / Philippines Unsure, Probably c. £13ph - £50ph (Internal Role)
Primary Role: Overseeing the entire Financial management Strategy of the business. Directly responsible for initial Strategy Creation in conjunction with primary business aims, and full oversight of management accounts and key metrics. Responsible for assessing financial health of the company at all times, including risk assessment, capital management planning, efficiency monitoring, etc. primarily strategical position which should be providing regular financial feedback to enable better decision making in all other areas of the business. Full oversight of internally facing accounts and financial reporting methods.
Secondary Role: Oversight of internal accounts department, ensuring all overdue accounts are being chased and nothing is being missed. Can also help with management account creation and refinement as well as updating of the cashflow forecasting where necessary. Primary Liaison with the accountant, but could also file accounts for smaller company if knowledgeable enough.
· Accountant: £500 - £2000 per company per annum (Usually external Role for smaller companies)
Primary Role: Ensuring Company Accounts and tax returns are filed correctly, and that the company is properly utilising all available tax reliefs and allocating expenses correctly as per HMRC regulation. Responsible for the external facing accounts of the company – but unless also acting as primary Bookkeeper/Financial controller ideally should not be making amendments to the raw data if possible, as this will affect the internal facing accounts.
Secondary Role: helping to ensure the accounts are correct and up to date so that they are in a suitable condition should the company be audited. Providing simple tax advice when needed to help make decisions and understand where there may be tax implications to how the business is operating. May provide some a specialist tax advisor role within niche areas. Can also help with providing bookkeeping services and management accounts sometimes if included in their service offering.
· Tax Advisor: £150ph - £250ph (External Role)
Primary Role: Providing high level tax advice for more complex situations such as group company structures, inter-company transfers, complex inter relationships between multiple forms of income, more specialist areas of specific tax law, Strategic planning to ensure future tax efficiencies based on expected business and personal future development, Identifying all possible tax implications to any given scenario, etc.
Secondary Role: often involved with filing the accounts as this is often rolled up into their service. Can also help with providing management accounts sometimes if included in their range of service offerings.
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