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My client, let’s call him Dave, was pretty trusting with his money. He knew his accounts and bookkeeping were important. However, he left the financials to his other half, thinking all was ticking along fine and under control. By financials, I mean his wife ran his payroll, did his books and payments. In fact, there were many bank accounts that his wife was the only signatory for. After all, they were both in it together and wanted the same things. Didn’t they?
But unfortunately, this wasn’t the case. As with many things, relationships often go well when the business and money is good. When Covid hit, many of Dave’s projects were put on a ‘stop’ and several large outstanding invoices were left ‘pending’. These were not the only serious issues Dave faced. He’d stopped looking at his finances and accounts. He just believed that his wife had it all in hand. His accounts were a mess and Dave didn’t know what he owed and how much he could take out of his bank account. A number of tax payments to the revenue had been missed and the brown envelopes were mounting up.
As you can imagine the pressure mounted up. As with many husband and wife teams, the relationship needs to be pretty strong to cope with a business under immense strain. Sadly for Dave, his wife decided to chuck him out and ask him for a divorce. I then get a very distressed phone call as Dave now realises that he hasn’t got access to his bank accounts and his wife is holding the dog and his passport as hostage until Dave agrees to her demands. By the way, no word of a lie, this part of the story is absolutely true.
Oooops.
As an accountant with decades of experience of cleaning up messes often in hospitality and construction, you could call me an expert in this scenario. I will confess that sorting out husband and wife relationships are not my thing. But getting Dave back up and straightened out with the tax man and solvent again is my thing.
Here’s how I saved Dave and his firm from going under.
With a bit of hard graft and some sharpness, we managed to turn it around:
There’s several lessons learnt here:
Bad things happen, even to the best of us. But with the right accountants behind you, you can pull through anything—just like Dave did.
So, moral of the story: Don’t be too trusting and if your finances are looking a bit off, don’t hesitate to give me a shout. Let’s get you sorted before the ref blows the whistle.
You’ve probably been hearing about Making Tax Digital (MTD) for the past couple of years now. Maybe you’ve buried your head in the sand a bit, hoping it might all blow over. If that’s the case, I’ve got some bad news for you, it hasn’t. It’s not going anywhere and it’s changing the way businesses keep their records and submit tax returns.
There is a but. As a business owner you’ll know what I mean when I say like most things, once you’ve got the right set up, it’s manageable. It’s the same for everything.
In one of my previous articles I’ve gone through everything you need to know about MTD, and what it’ll cost you if you don’t. But this time it’s all about why you need proper MTD-compatible software and what your options are, especially if you’re in construction, property, hospitality, or you’re a self-employed doctor or dentist.
Let’s just touch on the basics. MTD is HMRC’s plan to make the UK tax system more efficient and easier for taxpayers to get right.
Basically, no more stuffing receipts in a folder or filling out a spreadsheet once or twice a year. Instead what you’ll need to do is:
MTD for Income Tax Self Assessment (ITSA) is coming in April 2026 for self-employed people and landlords earning over £50,000 a year, and in April 2027 for those earning over £30,000. That’s tomorrow in tax terms.
So, if you’re still manually keying things in at year-end or passing your accountant a wad of receipts, it’s time to upgrade.
The thing is MTD isn’t just about doing things online. You need to use approved, compatible software that talks to HMRC’s systems.
Take it from me, the sooner you switch, the smoother your tax life becomes.
The right software will:
You can forget about using your personal bank account and hoping for the best. Now you need to get a proper business bank account that feeds directly into your accounting software. It keeps everything clean and makes both your life and mine (and HMRC’s) ten times easier.
Not all software is the same. Some are more complicated than they need to be, some are overpriced and some of them just aren’t fit for purpose.
Here are a couple we regularly recommend to our clients:
If you’re with NatWest, Royal Bank of Scotland and others, you may already have FreeAgent included as part of your account. That’s a win.
It’s a solid MTD-compliant platform, with:
Great for small business owners, freelancers, and contractors who want to keep things simple but compliant.
LimeBooks is a newer option but a great one. It’s low-cost, easy to navigate, and fully HMRC-approved for MTD VAT and Income Tax.
We like it for:
It’s ideal if you’re self-employed, especially in construction or property where margins are tight and you don’t want to pay for bells and whistles you’ll never use.
If you’re already using something else, it’s not a problem. Maybe you already use software like QuickBooks or some other setups, and that’s fine. We’re not here to force you to switch if what you’ve got works.
The main thing is that it’s MTD-compliant and helps keep your records accurate. If you’re managing your own books and it’s all ticking along nicely, we’ll support that.
I’m no software snob, I’m just here to make sure you’re compliant and not heading towards a nasty fine from HMRC.
Whether you’re running a hospitality venue, managing property portfolios, overseeing a building site, or running your own dental practice – MTD applies. The admin might look a bit different, but the rules don’t change.
Construction: You’ll likely need MTD-compatible software that can handle CIS deductions, VAT reverse charges, and project-specific costs. FreeAgent or QuickBooks are good for this.
Property: Landlords need to track rental income, repairs, and mortgage interest. MTD for ITSA will apply from 2026 if your property income is above £50k.
Hospitality: Pubs, restaurants, hotels, you’ve got VAT, tips, staff wages, and stock. Integrated POS systems and a good bookkeeping platform can save you hours.
Self-Employed Doctors/Dentists: You’ve got a mix of NHS and private income, and likely a combination of bank accounts and payment processors. MTD-compliant software brings it all into one place. And keeps you from getting overwhelmed at tax return time.
Don’t wait for HMRC to send you a reminder. MTD isn’t going away, and the fines for non-compliance won’t be friendly. Trust me.
Set yourself up with:
Not sure which software is best for you? I can talk you through the pros and cons over a brew, help get you set up, and keep you on track all year, not just at tax time.
Interested to find out more?
Call us on 01617 985789
Or book a meeting at https://calendly.com/d/ckfd-tzk-zbb
If someone asked you right now how your business is doing, what would you say? In my experience, most business owners give a casual response about it being good and that’s that. After all, isn’t that what you are meant to say at a networking event? But if you were asked to prove why, would you know what to say? I’m talking about a proper explanation that can be backed up with up-to-date figures. Not just a gut feeling or guess.
This happened to me recently with my business coach. I was asked how things were going, and in true Graeme style I gave the usual line “yeah, everything’s good”. But then I was asked about my margin. I realised I didn’t know my figures, and I couldn’t back it up. I knew I was going to get a bit of a telling off, it’s exactly the sort of conversations I often have with my clients. Except this time it was me with the ‘oh sh*t’ expression on my face.
Whether you’re in construction, property development, or hospitality, you’ve probably had moments where you think things are going well, but deep down you know you’re just assuming. Just because you’ve got a fully booked restaurant or a few big jobs lined up and the bank account is looking half decent, it doesn’t always mean that your business is fine.
It doesn’t matter whether you run a chain of restaurants or a small building firm. You need to understand what your books are telling you. That means more than just a quick butchers at your bank balance or checking if payroll has gone out. It means knowing your income, costs, margins, cash flow, and upcoming outgoings.
The truth is, many business owners get caught up in the day-to-day. You’re managing staff, back and forth with clients, ordering in the stock or materials, and firefighting as problems arise. Before you know it, a few months have passed and you’ve not looked at your accounts properly. You don’t have a clue if that big invoice has been paid. You’re not sure which suppliers are overdue. And you definitely haven’t compared your actual profit to what you expected this quarter.
Running your business without understanding the financial side of things is like trying to build a house without the floor plans. You might get something that looks right, but underneath, it’s not sound.
One of my clients, a Manchester-based construction business, came to me after they hit a brick wall with cash flow. On paper, it all looked good. Plenty of jobs booked, staff on site, and invoices being raised. But when we took a closer look, we found just over £20,000 in unpaid invoices going back five months. Worse still, they’d taken on a new job that needed a lump sum paid upfront, without checking whether they could actually afford it.
There was no foul play or bad intentions. They were just busy and didn’t have a proper bookkeeping system in place to keep track of what was coming in, going out, and what was overdue. Nothing that a bit of structure and some regular reporting couldn’t sort out. Within a few months, I helped them back on top of their cash flow and better still, they knew exactly what each job was bringing in.
To keep your business running smoothly and make better decisions, there are a few key things you need to know at all times:
These are the basics. You don’t need a finance degree to understand them, but you do need systems in place to track them. Whether that’s decent accounting software or an experienced accountant who specialises in your industry. I can help with setting you up with the right software for your business, or if you need someone to look after your accounts month in month out, I can be that too.
Here are a few steps you can start straight away to get more control over your business:
Understanding your books isn’t about ticking boxes or staying on the right side of your accountant. It’s about putting yourself in control. When you know your margins, your costs, your forecasted income and your biggest risk areas, you can make better and more confident business decisions. Want to take on a new member of staff? Thinking of opening another venue or investing in new equipment? Your accounts will soon let you know whether you should, don’t rely on just a gut feeling.
It also gives you the peace of mind that you’re not just working hard, but working smart. Plenty of businesses look busy on the outside but are quietly leaking cash in the background. When you understand your finances, you avoid that.
If you’re a business owner in construction, property development, or hospitality, and you’re ready to stop blagging your way through the finances, let’s get it sorted properly.
I’ve got decades of experience in these areas, and I’m definitely a lot better at keeping on top of my clients’ books than my own. I’ll help you set up the right software, create simple dashboards and run regular reports. Most importantly, I’ll help make it easier to keep on top of your business and confidently answer what would normally be uncomfortable business questions.
We can have a brew, go through where you’re at, and get your business set up to run the right way.
Let me set the scene. You’re here because you’ve signed a fixed price contract on a building job. Materials are ordered. Labour’s lined up. Your profit margin is as tight as ever. Then out of nowhere, international tariffs go up. Suddenly your steel is 15% more expensive. Copper has gone through the roof. Materials from Europe now cost more, take longer to arrive, and no one seems to know what’s going on.
But your client? They still want the same job for the same money. Make it make sense.
I’ve got decades of experience working with construction business owners and know the ins and outs of the trade, so I’m going to explain what to do in this situation.
Tariffs are essentially import taxes on goods crossing borders. Whether it’s the UK reacting to global trade tensions or other countries adjusting their policies, the knock-on effect is price uncertainty. For the construction industry, which depends heavily on imported materials and equipment, you’ve got yourself a big problem.
If it’s coming from overseas, it’s probably going to cost more.
As of 2025, UK-EU trade relations are still looking a bit worse for wear. We’ve seen fresh tariffs and paperwork delays on everything from European timber and aluminium to specialist energy-efficient materials. It’s not just cost anymore, it’s time, reliability and regulation ballaches all wrapped up in one.
One of my clients, a construction business owner based in the North West, found themselves in exactly this spot. They were midway through a commercial build when the cost of key materials suddenly spiked. Most of it was imported, and the changes came out of nowhere. The problem here was the contract was fixed from day one. No adjustment clause. No way to recover the extra spend. They had to absorb the cost. And the worrying thing is, that’s not unusual.
Let’s be brutally honest. If you’re working under a fixed price contract and tariffs cause costs to rise, that extra spend lands on your plate. Unless you’ve got something in the contract that says otherwise, you’re picking up the bill whether you like it or not.
You price a job based on today’s market. But when tomorrow’s market changes and the contract’s locked in, your hands are tied. The client’s happy and your team’s working hard. But your margin is being squeezed to bits.
Now, not all hope is lost. But you’ve got to know where to look in the contract. Let’s have a look at the usual suspects:
These are more common in big infrastructure projects but not so much in smaller commercial or residential builds. A price adjustment clause lets you increase your price if material costs rise due to certain factors; like tariffs. If your contract’s got one, you’re in better shape. If it doesn’t, and the price of your materials goes up, you’ll likely have to absorb it.
I had one client who insisted on a price adjustment clause in their Joint Contracts Tribunal (JCT) contract after getting burnt the year before. Good thing they did. When lead times doubled and steel prices went through the roof mid-way through the job, they were covered. It wasn’t easy negotiating that clause up front, but it saved them from working at a loss.
These can be useful, if they include tariffs. But that depends on how the clause is written. Some contracts only account for changes in UK law. If tariffs are imposed by another country or part of an international trade shift, you may be out of luck unless the clause is broad enough to catch that. You also need to look at whether the clause only covers unforeseeable changes. If tariffs were being debated or reported in the news, there’s a chance the client’s solicitor argues you should’ve seen it coming. This is where wording matters. A lot.
People often ask, “Can I claim force majeure?” Short answer, probably not. English law doesn’t treat higher costs or delays as force majeure events unless they’re truly outside your control and make the job impossible. Most force majeure clauses won’t cover tariffs. If you can still get materials, even at a higher price, you’re expected to crack on. Harsh, but true.
Another long shot. Frustration in legal terms means the contract becomes impossible to perform. Not just more expensive. Unless the tariffs are so extreme they completely change the nature of the job or make it illegal, the courts won’t have it. At the end of the day, if the work can be done, even at a loss, complaints won’t be entertained. So save your breath.
Right. Enough doom and gloom. Let’s talk about what you can actually do, whether you’re mid contract or preparing to sign one.
Bonus tip: Keep an eye on government guidance. From time to time, the UK Government offers temporary support or guidance for importers, especially when new trade rules kick in. It’s worth checking the official gov.uk trade and construction pages to see if any schemes apply to you. These won’t always offset the cost, but may help with customs paperwork or delayed timelines.
Construction contracts haven’t kept up with global volatility. Tariffs, trade shifts and political rows now affect material costs on a regular basis. But too many builders and contractors are stuck with outdated contract templates that don’t account for it.
The fact of the matter is, you can’t control what happens in Brussels, Washington or Beijing. But you can control what’s in your contract. And in a world where prices can shoot up overnight, not protecting yourself is a risk you just don’t need.
So next time you price up a job, don’t just check the drawings and schedule. Read the clauses. Ask the awkward questions. Protect your margin. Because if tariffs hit and your contract’s silent, the silence can be very expensive.
Simple as that.
If you can relate, or you want to be sure about what’s written in the small print, let’s have a chat. I can help you review your contracts before you sign, flag where you might be carrying too much risk, and make sure you’ve got proper wording around things like tariffs, supply chain delays, and price increases. Whether it’s reviewing a fixed price contract, tightening up a change in law clause, or making sure your force majeure wording actually covers something useful. I’ll make sure you’re not left carrying the load.
Bonus points if you like dogs, the senior partner, Toto, might just join us for the meeting.
Interested to find out more?
Call us on 01617 985789
Or book a meeting at https://calendly.com/d/ckfd-tzk-zbb
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