Findings from a 2021 report from Retail Economics and Natwest reveal that since the beginning of lockdown, 46% of consumers in the UK have purchased a product online which they had previously only ever purchased in store. More demand equals more business, and as a result, individuals and businesses alike have sought opportunity in setting up an eCommerce business. In fact, approximately 16,000 eCommerce businesses were created between March and July 2020.
Many online businesses local to East Anglia have popped up, selling on platforms such as Etsy, eBay, Amazon and Shopfiy, just to mention a few.
However, just as any business, those who sell online are also liable to tax on their earnings – this is where we can help. As specialist accountants, we understand how your eCommerce business operates. We have a holistic understanding of the complexities that come with eCommerce accounting thanks to our years of experience of managing accounts within the industry.
Many eCommerce businesses encounter VAT issues from selling overseas, are unsure of which tax rates to charge, and may not know what needs declaring to HMRC. Another obstacle which can occur is when your business grows, as it can be difficult to manage cash flow. We can also provide advice on VAT and distance-selling regulations which may directly affect your sales. Furthermore, if your business is already online, you can greatly benefit from our cloud accounting software. Our specialist accountants can help you know your inventory and ensure that you are in control of your cash flow. We aim to ensure that your eCommerce business can save time on bookkeeping, continues to grow, and to overcome any tax complexities you may face.
The digital world and the endless possibilities in eCommerce are everchanging, with new technologies and payment options emerging all the time. In tandem comes legislation governing everything from VAT to distance selling. Due to the abundance of new technologies it can often make it challenging to manage your books, figures and projects alone. It is therefore essential to have an accountant who is up to date with the fast paced digital environment, an accountant who recognises the complexities that come with eCommerce, and who can provide tailored advice and support to your business.
To find out more, get in touch with one of our friendly team by giving us a call or send us an email. We’re confident we can help you.