Gymboree Play & Music - Case Study
Gymboree provides an extensive range of activities for pre-school children in Edinburgh.
The Background
At the point where we initially met, the directors had become disillusioned with their existing accounting provision, outlining a history of late filed returns, penalties incurred and poor communications.
The business did not have an up to date view of their numbers, relying on the production of annual accounts - which inevitably report on a picture which is already out of date.
We knew we could add value - not least in ensuring that late filing penalties would be a thing of the past and ensuring that the business complied with Making Tax Digital obligations.
The real value we knew we could add was by giving them control of their numbers - and by making sure that we get this as live and accurate as possible.
The Proposal
We assured Gymboree that they would speak to us a lot. We love to get hands on with our clients - to understand their businesses and getting stuck into the nitty gritty!
We recommended an initial set up to look after:
Set up of Xero to manage the accounts ‘live’ - and to ensure bookkeeping processes were as automated as possible.
We would provide Dext Prepare to manage supplier paperwork.
One to one training delivery for the client team - supported by a library of process maps to make sure that they had a manual to refer to.
Payroll migration mid tax year. This is often off-putting to clients, but this should be very straight-forward.
This was to be followed up with:
Review of transactional recording, review of accounts to make sure all was reconciled appropriately and control accounts were clear.
Preparation and review of quarterly VAT returns - and advice on VAT affairs.
Ongoing support package included - so that the client team should never feel anxious about picking up the phone, or booking in for a support call so that we could help with unusual / unfamiliar transactions.
Monthly payroll processing.
The Delivery
The Xero set up was delivered in good time - with the Xero and Dext set up being completed within 10 days of engagement.
The first training sessions were scheduled in for the next couple of weeks - and we demonstrated the routes we had set up for them to really maximise the power of the two software packages.
Payroll was migrated in good time for the next monthly payroll to be run - and during the course of this, we identified that Employment Allowance had not been previously claimed. This meant we were able to go back and retrospectively make a claim - which more than paid for our entire annual fee.
We noted that the client had not yet been signed up for Making Tax Digital for VAT - so were able to resolve this obligation.
During the course of the year VAT returns have been filed in good time - and Xero is all set up and ready to prepare the year end - within 1 month of the financial year ending.
The Result
Gymboree now have software which is up to date - and are empowered to use it - and use it well!
VAT and Payroll returns are submitted on time - and without any penalties being incurred. In face - we’ve SAVED them money in excess of our fees, just by claiming the allowances to which they were entitled.
We’re now looking at next steps for the client - which could involve cashflow forecasting, regular finance meetings to enable financial planning, or whatever else we can do to continue to support out clients!
How the Client feels:
“Before becoming an Accountability client, we dreaded everything to do with our accounts. We never felt like we knew what was happening, when payments were due, when deadlines were and we had no idea how the business was really performing.
Accountability have changed everything for us.
They are reliable, which for us is the best part. We know if we ask a question it will be answered quickly, nothing is too silly a question to ask, and 9 times out of 10 we don’t even need to ask because the information has already been provided.
We feel like we have control of our accounts and ultimately our business again. We can’t thank everyone at Accountability enough.”