IT & Accounting Solutions Limited provides specialist accountancy, financial management, governance and technology support to charities, charitable incorporated organisations, social enterprises and other not-for-profit organisations.
We understand that charities operate within a distinctive financial and regulatory environment. Trustees must balance the delivery of charitable objectives with responsibilities for financial stewardship, governance, reserves, restricted funds, reporting and compliance.
Established in March 2004, we provide practical support that helps trustees, boards and senior management teams understand their financial position, meet their obligations and make informed decisions.
Charity accounts
We prepare annual accounts for a range of charitable and not-for-profit organisations, including:
- charitable incorporated organisations;
- charitable companies;
- unincorporated charities;
- community interest companies;
- social enterprises;
- churches and faith-based organisations;
- membership organisations;
- grant-funded organisations; and
- education and community organisations.
Our charity accounts service may include:
- preparation of annual accounts;
- application of the Charities SORP where relevant;
- restricted and unrestricted fund accounting;
- year-end accounting adjustments;
- review of reserves and designated funds;
- grant and project reporting;
- balance-sheet reconciliations;
- preparation of trustees’ report information;
- annual return support; and
- filing with the Charity Commission and Companies House where applicable.
We aim to present the accounts clearly and help trustees understand the key financial messages.
Independent examinations
Where a charity is eligible for an independent examination, we can undertake this work in accordance with the applicable statutory requirements.
An independent examination is a form of external scrutiny of a charity’s accounts. It is less extensive than an audit but still provides an important level of independent review and assurance for trustees, funders and other stakeholders.
Our independent examination work may include:
- reviewing the accounting records;
- considering the form and content of the accounts;
- checking compliance with relevant charity reporting requirements;
- reviewing material balances and transactions;
- considering restricted and unrestricted funds;
- reviewing trustee and related-party disclosures;
- checking consistency between the accounts and trustees’ report; and
- issuing the independent examiner’s report.
The trustees remain responsible for maintaining adequate accounting records, preparing the accounts and ensuring compliance with charity law.
Management accounts and trustee reporting
Trustees need timely and understandable financial information throughout the year, not only at the year end.
We can provide monthly, quarterly or periodic management accounts, including:
- income and expenditure reports;
- balance sheets;
- cashflow reports;
- budget comparisons;
- fund-by-fund reporting;
- project and grant reporting;
- departmental analysis;
- reserves reporting;
- commentary on significant variances;
- key financial indicators; and
- reports for trustees, finance committees and senior management.
We can also attend trustee or finance committee meetings where appropriate to explain the financial information and answer questions.
Restricted and unrestricted funds
Charities must account properly for funds that are subject to restrictions.
We can assist with:
- identifying restricted, designated and unrestricted funds;
- setting up appropriate accounting records;
- allocating income and expenditure correctly;
- reviewing fund balances;
- identifying overspent restricted funds;
- reconciling grant expenditure;
- preparing fund notes for the annual accounts;
- reviewing transfers between funds; and
- explaining fund accounting to trustees and staff.
Good fund accounting helps ensure that money is used only for its intended purpose and that reporting to funders is accurate.
Grant and project accounting
Grant-funded organisations often need detailed financial records and reports for different projects and funders.
We can assist with:
- grant budgets;
- project cost tracking;
- restricted-fund accounting;
- staff and overhead allocations;
- claims and drawdown schedules;
- funder reports;
- budget monitoring;
- supporting schedules;
- cashflow planning; and
- preparation for grant audits or reviews.
We can also help design systems that make grant reporting easier and reduce the risk of errors or unsupported claims.
Budgeting and cashflow forecasting
Charities frequently operate with uncertain income, restricted funding and significant fixed commitments.
We can prepare:
- annual budgets;
- rolling forecasts;
- cashflow forecasts;
- scenario models;
- funding-gap analysis;
- cost-saving options;
- payroll and staffing forecasts;
- project forecasts;
- reserve projections; and
- going-concern assessments.
This information can help trustees assess affordability, sustainability and the financial impact of strategic decisions.
Reserves and financial sustainability
A charity’s reserves policy should reflect its risks, commitments and future plans.
We can assist trustees with:
- reviewing unrestricted reserves;
- distinguishing free reserves from restricted and designated funds;
- calculating appropriate reserve levels;
- documenting the reserves policy;
- considering financial risks;
- assessing future commitments;
- reviewing liquidity;
- monitoring progress against the policy; and
- explaining reserves in the trustees’ annual report.
A clear reserves policy helps trustees demonstrate that they are managing resources responsibly.
Charity governance and financial controls
Strong financial controls reduce the risk of error, fraud, misuse of funds and poor decision-making.
We can review and help improve controls over:
- income collection;
- cash handling;
- online giving;
- purchasing;
- expense claims;
- payment approvals;
- payroll;
- banking;
- restricted funds;
- delegated authority;
- trustee expenses;
- related-party transactions;
- financial reporting; and
- record retention.
We can also assist with finance policies, procedures and approval workflows appropriate to the size and complexity of the organisation.
Charity bookkeeping
We provide bookkeeping services tailored to charities and not-for-profit organisations.
This may include:
- bank reconciliations;
- purchase and sales ledger processing;
- donation and grant recording;
- fund coding;
- payroll journals;
- expense claims;
- VAT records;
- deferred and accrued income;
- supplier payments;
- management reports; and
- year-end preparation.
We work with cloud accounting systems and can help structure the chart of accounts, classes, departments, projects and funds to support meaningful reporting.
Payroll and workplace pensions
We provide payroll support to charities and other not-for-profit employers.
Our service may include:
- regular payroll processing;
- HMRC Real Time Information submissions;
- workplace pension administration;
- statutory payments;
- starter and leaver processing;
- payroll journals;
- departmental or project reporting;
- benefits and expenses support; and
- year-end payroll procedures.
We can also help charities establish clear payroll approval and information-submission procedures.
VAT for charities
Charities are not automatically exempt from VAT, and the treatment of income and expenditure can be complex.
We can assist with:
- VAT registration;
- VAT returns;
- Making Tax Digital;
- business and non-business activities;
- grants and contracts;
- donations and sponsorship;
- membership income;
- fundraising activities;
- room hire;
- education and training;
- partial exemption;
- input VAT recovery;
- property transactions; and
- VAT control account reconciliations.
We help charities understand the distinction between income that is taxable, exempt, zero-rated or outside the scope of VAT.
Trading subsidiaries and social enterprises
Some charities use trading subsidiaries or other structures to carry out commercial activities or protect charitable assets.
We can assist with:
- accounting for trading subsidiaries;
- intercompany balances;
- management charges;
- Gift Aid payments;
- corporation tax returns;
- related-party disclosures;
- consolidation considerations;
- governance and financial reporting; and
- coordination between the charity and its trading activities.
Where complex legal or tax advice is required, we will work alongside appropriate specialist advisers.
Outsourced finance director support
For charities requiring more senior-level support, we provide outsourced finance director services.
This may include:
- strategic financial planning;
- board and committee reporting;
- cashflow and reserve management;
- budget preparation;
- financial risk reviews;
- support with funding and contracts;
- finance-team development;
- policy and procedure reviews;
- systems implementation;
- liaison with auditors, examiners, banks and funders;
- financial input into major projects; and
- support during periods of change.
This gives charities access to experienced financial leadership without the cost of employing a full-time finance director.
Charity formation and registration support
We can assist organisations considering the formation of a new charity or not-for-profit entity.
Our support may include:
- considering the appropriate legal structure;
- financial projections;
- initial budgets;
- charity registration support;
- Companies House registration where relevant;
- accounting system setup;
- payroll and VAT considerations;
- governance documentation support; and
- coordination with legal advisers.
The choice of structure can have important legal, tax and governance consequences, so specialist legal advice may also be required.
Cloud accounting and technology
Our combination of accountancy and technology experience is particularly useful to charities seeking to improve efficiency and controls.
We can assist with:
- QuickBooks Online implementation;
- cloud bookkeeping;
- digital receipt capture;
- expense claim workflows;
- purchase approval systems;
- management reporting;
- Microsoft 365 administration;
- document storage;
- backup and business continuity;
- user access controls;
- cybersecurity support;
- VoIP and communications; and
- technology process reviews.
We aim to recommend systems that are proportionate, practical and affordable.
Who we support
We work with:
- charitable incorporated organisations;
- charitable companies;
- churches and faith-based organisations;
- community charities;
- education and training charities;
- grant-funded organisations;
- membership bodies;
- social enterprises;
- community interest companies;
- trading subsidiaries; and
- other not-for-profit organisations.
Why choose IT & Accounting Solutions?
- Established in March 2004
- More than 20 years of accountancy and business experience
- Strong charity and not-for-profit expertise
- Experience supporting trustees, boards and finance committees
- Practical fund accounting and management reporting
- Independent examination capability where applicable
- Outsourced finance director support
- Accountancy and technology expertise in one practice
- Clear, proportionate and responsive advice
- Based in Maidstone and supporting organisations across the UK
Trustee responsibilities
Trustees remain responsible for:
- safeguarding the charity’s assets;
- maintaining adequate accounting records;
- preparing and approving the annual accounts;
- ensuring funds are used for their intended purposes;
- managing financial risks;
- complying with charity law and governing documents; and
- ensuring that appropriate systems and controls are in place.
Our role is to provide professional support, advice and independent scrutiny within the scope of the engagement.
Professional regulation
IT & Accounting Solutions Limited is an accountancy practice regulated by the Association of International Accountants for the provision of accountancy services.
The practice is supervised by the Association of International Accountants for compliance with the Money Laundering Regulations 2017.
Marcel Jung is a Fellow of the Association of International Accountants and holds an AIA practising certificate.