If you’ve ever had that sinking feeling that your accountant is just… ticking boxes, then it might be time to look elsewhere.
Maybe you only hear from them at year-end. Maybe you’re constantly chasing them for answers. Or maybe your business has grown, your offers have evolved, and you need someone who doesn’t just file returns but actually helps you create profitable offers, plan ahead and make smarter decisions.
The good news? It’s much easier to switch accountants than most business owners think. It’s a very normal, professional process with clear steps, and (luckily for you) most of the admin is handled between your old and new accountant behind the scenes.
First Things First: Is It Time to Switch Accountants?
Before we dive into the “how”, let’s touch on the “why”. You don’t need a dramatic disaster to justify a change. Sometimes it’s just a quiet feeling that you’ve outgrown your current accountant.
Common reasons business owners switch accountants:
1️⃣ You only hear from them once a year.
If the only time your accountant shows up is when your year-end is due, you’re not getting proactive support.
2️⃣ You’re always chasing, never guided.
You’re the one asking about tax planning, director’s salaries, dividends, or how to structure new services, rather than them bringing it to you.
3️⃣ They don’t understand your business model.
If you sell retainers, packages, or digital products, you want someone who gets modern, service-based businesses and can help you create profitable offers, not just record numbers.
4️⃣ You’re surprised by tax bills.
Regular, nasty surprises are a sign that forecasting and communication aren’t where they should be.
5️⃣ You’ve grown, but the support hasn’t.
What worked when you were a sole trader might not cut it now that you’ve got staff, bigger projects, or multiple income streams.
If any of those resonate, switching isn’t “disloyal”; it’s part of being a responsible director. Your job is to build a business on strong financial foundations and that includes having the right accountant in your corner.
Switch Accountants Without Drama
A lot of business owners put up with a poor fit because they’re worried switching will be:
- Awkward
- Time-consuming
- “Unprofessional”
- A massive risk
In reality:
- Accountants are used to clients moving on.
It’s a standard part of the profession. The process is usually calm and polite, not dramatic.
- There’s a formal handover process.
In the UK, professional bodies expect accountants to co-operate with each other and share key information, as long as you’ve given permission.
- Most of the legwork is done for you.
Once you’ve chosen a new accountant and signed their engagement letter, they handle the bulk of the handover with your old firm.
Yes, there are steps to follow. But you shouldn’t be doing them alone and if you pick the right new accountant, they’ll walk you through every stage.
The Step-by-Step Process of When You Switch Accountants
Step 1: Decide what you want from your next accountant
Before you move, get clear on what you’re moving towards. Ask yourself:
- Do I want more advice and planning, not just compliance?
- Do I want regular check-ins (monthly/quarterly), not just year-end?
- Do they need to understand my sector or model (e.g. service-based, online, e-commerce, construction)?
- Do I want support with things like forecasting, pricing, or helping me create profitable offers?
- What absolutely hasn’t worked with my current accountant that I want to avoid repeating?
Write this down. It becomes your checklist when you’re choosing your new firm.
Step 2: Shortlist and chat to new accountants
Have conversations with 2–3 firms. Notice:
- Do they ask questions about your goals or just your turnover?
- Do they talk in plain English or drown you in jargon?
- Do they offer a clear, transparent fee structure?
- Do they talk about systems (Xero, Dext, connected apps) and regular reporting?
- Do you actually like them? You’ll be sharing a lot of financial info with these people.
Don’t be afraid to ask directly:
- “How will you help me improve profit, not just stay compliant?”
- “What does your onboarding process look like?”
- “What do your most successful clients do differently from the rest?”
Once you’ve found someone who feels like a solid partner, you’re ready to move.
Step 3: Sign engagement letters and onboarding forms
Your new accountant will send you:
- An engagement letter – this sets out what they’ll do, what you’ll pay, and both sides’ responsibilities.
- AML (anti-money laundering) checks – they’ll need ID, proof of address, and sometimes company documents. This is a legal requirement, not them being nosy.
- Possibly an onboarding questionnaire – info about your business, systems, deadlines, pain points.
Once you’ve signed and they’ve completed checks, they’re “officially” your new accountant.
Step 4: Tell your old accountant you’re leaving
Generally, it’s best practice to drop your current accountant a short, polite email such as:
“We’ve decided to move our accounting services to a new firm with immediate effect. Please take this as notice of disengagement.
You’ll shortly receive a professional clearance and information request from them. Thank you for your support to date.”
You don’t need to justify, argue, or get into detail. Keep it simple and professional (as long as you aren’t tied into a contract).
Step 5: The professional clearance and handover
This is the part most business owners never see and that’s a good thing, because your new accountant will normally handle it.
They will write to your previous accountant asking for:
- Professional clearance – basically, “Is there any reason we shouldn’t take on this client?” (e.g. ethical or legal concerns).
- Handover information which might include:
- Last set of accounts and Corporation Tax computation
- Last completed Self Assessment returns for directors
- Trial balance and detailed nominal ledger
- PAYE/payroll information
- VAT history and any ongoing discussions with HMRC
- Details of any outstanding issues, time limits, or enquiries
Once you switch accountants, professional bodies expect the new accountants to respond within a reasonable timeframe and to co-operate, as long as you’ve authorised it.
Step 6: Updating HMRC and Companies House
Your new accountant will usually:
- Ask you to authorise them as your agent with HMRC for:
- Corporation Tax
- Self Assessment
- PAYE
- VAT
- Make sure your Companies House record is up to date (e.g. if they act as your registered office or company secretarial agent).
Most of this is done online now either via HMRC’s agent authorisation service or by submitting 64-8 authorisation details.
Step 7: Setting up systems and regular processes
This is where things should start to feel better than before. When you switch accountants, your new accountant will help you:
- Connect your bookkeeping software (e.g. Xero) to bank feeds and apps.
- Clean up any messy data from the past year or two.
- Clarify your reporting cadence (monthly/quarterly updates, KPI reports).
- Agree how you’ll share records (e.g. Dext for receipts, shared drives, portals).
- Map out key deadlines for the year (VAT returns, PAYE submissions, accounts, tax returns).
This is also the perfect time to have a bigger-picture conversation:
- Are you pricing correctly?
- Are your services structured in a way that lets you create profitable offers, not just sell time?
- Is your current business structure (sole trader vs limited company etc.) still the best fit?
A good accountant won’t just plug into your old systems, they’ll actively look for improvements.
What a Good New Accountant Will Actually Do Differently
Changing for the sake of it isn’t the goal. You want to switch accountants for a material improvement. Here’s what a strong accountant relationship typically looks like.
Proactive, not just reactive
Instead of you sending a panicked email about a tax bill, they’re:
- Flagging upcoming tax liabilities throughout the year.
- Suggesting ways to save tax before the year-end closes.
- Highlighting margin, pricing, or cash-flow issues you might not have seen.
Regular, meaningful conversations
You should expect:
- Monthly or quarterly check-ins (even brief ones)
- Time to talk about your plans, not just forms
- Space to ask “silly questions” without feeling judged
The best accountants understand that every decision you make – hiring, increasing prices, investing, even creating a new product has financial consequences. They help you think them through.
Joined-up advisory
A modern accountant might help you with:
- Budgeting and forecasts
- Cash-flow planning
- Scenario modelling (“What happens if we hire?” “What happens if we drop this service?”)
- Reviewing your pricing structure and helping you create profitable offers that reflect your costs, capacity, and goals
That’s a very different relationship from just getting an email saying “your accounts are attached, please sign”.
Timing: When Is the Best Moment to Move?
There’s no single “perfect” time to switch accountants, but there are moments that make the handover smoother.
Ideally, after a year-end is finalised
If your old accountant has just completed a year-end and filed everything:
- Accounts are tidy and up-to-date
- Tax returns have been submitted
- Your new accountant can start fresh from a clean closing balance
That said, if things are really not working, don’t feel you must “wait 8 months” to move. Just be aware there may be a little extra work to piece things together mid-year.
Avoid leaving it until the last minute
If your filing deadlines are close (e.g. accounts due in 3 weeks), most good accountants will be hesitant to take over only to be blamed for the crunch.
If possible, give your new accountant a bit of runway to:
- Get onboarded
- Request information
- Review your prior years
- Spot any issues before they become urgent
Red Flags to Avoid When Choosing Your Next Accountant
Since you’re here to switch, let’s make sure you don’t jump from one bad fit to another.
Watch out for:
- Vague pricing: “We’ll just bill you at the end based on time.” That’s a recipe for surprise invoices and misaligned expectations. Look for clear, fixed or at least well-scoped fees.
- No interest in your goals: If they don’t ask what you want to earn, how you want to work, or what your growth plans are, they’re not really a strategic partner.
- Poor communication from the start: If they’re slow, disorganised, or unclear during the sales process… it won’t magically improve later.
- Tech resistance: If they’re still wedded to desktop software and hate cloud tools, that’s a sign they’re not keeping up—which matters in an MTD / digital-first world.
- Everything is “just compliance”: You want someone who can talk confidently about cash flow, pricing, profit, and helping you create profitable offers, not just ticking HMRC boxes.
How to Make the Switch as Smooth as Possible
To keep things calm and efficient, you can:
- Be upfront with your old accountant.
You don’t have to give a reason, but clear notice and polite communication are appreciated.
- Have your key documents ready.
UTRs, company number, VAT number, PAYE reference, payroll software logins, bookkeeping logins. Your new accountant will ask for them.
- Answer onboarding questions honestly.
If your records are behind or there are skeletons in the closet (e.g. missed returns, late VAT), tell your new accountant. They can only fix what they know about.
- Agree communication expectations early.
Ask your new accountant how best to contact them, typical response times, and how urgent issues are handled.
- Give feedback if needed.
If something isn’t working in the first few months, say so. Good accountants want long-term relationships and will adjust.
When you switch accountants can feel like a big step, but in reality, it’s just another part of running a business well.
If you’re even thinking about switching, that’s usually a sign something isn’t quite right. Have the conversations. Ask the questions. Get a feel for what it’s like to be properly supported financially.
Because once you’ve experienced a proactive, communicative accountant, you’ll wonder how you ever put up with anything less.
Get in touch with our team of local accountants in Bedford.
