by Pi Accountancy | Aug 26, 2026 | Advisory and Resources, Business
Depreciation is the reduction in value of a business asset over time. If you purchase a laptop today, it will gradually become less useful and less valuable over the next few years. This loss in value happens for many reasons: Regular use Aging Wear and tear New...
by Pi Accountancy | Aug 25, 2026 | Advisory and Resources, Business, Regulations and Schemes
Capital Expenditure is the money a business spends on long-term assets that support operations over several years. These assets include: Buildings Equipment Machinery Technology Moreover, these assets allow businesses to stay competitive and plan for the future. It...
by Pi Accountancy | Aug 19, 2026 | Business, Companies House
SIC Codes are five-digit numbers that describe a company’s main area of economic activity. These codes therefore help categorise businesses into industry sectors and are useful for official statistics and government planning. Companies House manage SIC Codes and...
by Pi Accountancy | Aug 13, 2026 | Advisory and Resources, Business
Hire Purchase is a finance agreement for buying goods over time. Instead of paying the full amount upfront, the buyer pays through instalments across an agreed period. Most hire purchase agreements include: A deposit at the start Fixed monthly repayments Interest...
by Pi Accountancy | Aug 12, 2026 | Advisory and Resources, Business, Companies House, Regulations and Schemes
A Company Registration Number (CRN) is a unique eight-character identifier assigned to every limited company and Limited Liability Partnership (LLP) registered with Companies House. Think of it as your company’s fingerprint, as it remains the same for the...
by Pi Accountancy | Aug 5, 2026 | Advisory and Resources, Business, Corporation Tax, Taxes
Terminal Loss Relief is available when a business permanently stops trading and makes a loss in its final 12 months. You can carry back trading losses from the last year of trading and offset them against profits from the previous 3 years. This can reduce your...
by Pi Accountancy | Jul 29, 2026 | Advisory and Resources, Business, Regulations and Schemes
When you sell or close your business, the profits you make may be subject to Capital Gains Tax (CGT). This tax can significantly reduce your final earnings. Business Asset Disposal Relief (BADR) helps lower that burden by allowing eligible business owners to pay a...
by Pi Accountancy | Jul 28, 2026 | Business, Regulations and Schemes
If you sell a business asset, you will likely face a Capital Gains Tax bill. However, if you plan to reinvest the proceeds into another business asset, you may be able to delay paying the tax by claiming Business Asset Rollover Relief. What is Business Asset Rollover...
by Pi Accountancy | Jul 14, 2026 | Advisory and Resources, Business, Frequently Asked Questions
Your Gross Profit Margin shows the percentage of sales revenue that remains after you subtract the Cost of Goods Sold (COGS). Simply, it tells you how much profit you keep from each pound earned before you pay overhead costs. For example: A Gross Profit Margin of 60%...
by Pi Accountancy | Jun 24, 2026 | Advisory and Resources, Business, Frequently Asked Questions
Accounts Payable and Accounts Receivable help you answer two questions: How much do I owe? How much am I owed? When you understand both clearly, you can make better financial decisions and keep your business running smoothly. Accounts Payable Accounts Payable is the...
by Pi Accountancy | Jun 19, 2026 | Advisory and Resources, Business, HMRC, Payroll and Employment, Regulations and Schemes
Subsistence is the cost of meals and necessary expenses during business travel. These costs must arise because an employee works away from their normal place of work. In other words, the expense must links directly to a qualifying business journey. For instance,...
by Pi Accountancy | Jun 17, 2026 | Advisory and Resources, Business, Companies House, Regulations and Schemes
Articles of Association act as your company’s internal rulebook. They set out how the business runs and define the roles of directors and shareholders. They create a clear structure for decision-making so everyone involved understands their rights and...
by Pi Accountancy | Jun 11, 2026 | Advisory and Resources, Business, Frequently Asked Questions
Double Entry Bookkeeping forms the foundation of modern accounting. It records every transaction twice. One entry appears as a debit and the other appears as a credit. This shows how each transaction affects your business in two ways. In other words, money always...
by Pi Accountancy | Jun 11, 2026 | Advisory and Resources, Business, Frequently Asked Questions
Gross Profit shows how much money a business earns from its core activities. It measures the difference between sales revenue and the direct cost of producing goods or services. Simply, it shows how much money remains after covering production costs. This figure...
by Pi Accountancy | Jun 11, 2026 | Advisory and Resources, Business, Frequently Asked Questions
Net Profit is the money left after you pay all business costs. These costs include: Materials Wages Rent Interest Taxes Simply, it is your “bottom line” which shows what you actually keep from your sales once everything gets paid. This figure reflects the...
by Pi Accountancy | Jun 10, 2026 | Advisory and Resources, Business, Frequently Asked Questions
Debits and Credits form the backbone of accounting. Once you understand them, you can record transactions with confidence and accuracy. You will also gain a stronger understanding of how your business finances operate. Explaining Debits and Credits Every financial...
by Pi Accountancy | Jun 3, 2026 | Advisory and Resources, Business, Regulations and Schemes
Trivial benefits are small gifts or perks an employer gives to an employee. They offer a simple and effective way to reward employees. To qualify as a trivial benefit, it must meet all of the following conditions: It costs £50 or less (including VAT) It is not cash or...
by Pi Accountancy | May 14, 2026 | Advisory and Resources, Business
Working Papers are documents that accountants prepare while completing a client’s work. They support the information included in accounts and tax returns. These records provide evidence that the accountant completed the work correctly. Additionally, they help...
by Pi Accountancy | May 13, 2026 | Advisory and Resources, Business, Frequently Asked Questions, Regulations and Schemes
Management Accounts are internal financial reports which help business owners and senior managers monitor performance. They contain detailed financial information as well as commentary and analysis. Businesses usually prepare them either monthly or quarterly. Unlike...
by Pi Accountancy | May 6, 2026 | Advisory and Resources, Business, Frequently Asked Questions
Overheads are the ongoing costs required to run your business. However, they do not link directly to one product, service or job. Simply, these costs support your business as a whole. You should still pay them even if sales slowed down for a period. When a bakery...
by Pi Accountancy | Apr 29, 2026 | Advisory and Resources, Business
Alphabet Shares can add flexibility to a company’s share structure. They can also introduce extra legal steps and tax considerations. Many owner-managed limited companies use these shares to tailor dividends and voting power. However, the structure must comply...
by Pi Accountancy | Apr 21, 2026 | Advisory and Resources, Business, Companies House, Frequently Asked Questions, Regulations and Schemes
A registered office address is the official location of a company. It is where government bodies send important correspondence. Companies House and HMRC use this address for all formal communication. This communication can include: Statutory notices and filing...
by Pi Accountancy | Apr 13, 2026 | Advisory and Resources, Business, Self-Employment and SMEs, Software
Bank reconciliation involves comparing your accounting records with your bank statement. The goal is to ensure every transaction appears in both places. This includes the opening balance, individual transactions and the closing balance. Simply, you check that the...
by Pi Accountancy | Apr 8, 2026 | Advisory and Resources, Business, Taxes
Business rates will change significantly for pubs and live music venues from April 2026. These changes follow a national revaluation and the removal of pandemic-era reliefs. As a result, many businesses will face higher costs despite new support measures. What are...
