Inhouse Accountant

[Meg888]

Hi, not sure I'm posting in the right section but here goes - I work for a group of limited companies, 3 in total with a turnover approx. 30m per annum. The financial director is retiring (only director by name, not with Companies House) and I've pushed myself forward for the role. I do most of the management accounts stuff (slowly taken it on over the years) and currently I'm managing the accounts department. I've been told that they want an FD in-house - I offered myself up for the role as a promotion but not as a director and pointed out they'd save around £40k pa employing me in the role. But they're saying because we are a group of companies, they need an in-house accountant / FD, we're not a PLC, so can anyone advise if this this the case? Sorry if a bit long winded - that's how I roll :-)! Thanks in advance

[RocW]

That doesn't sound like a very good argument to me. There is no requirement for a company/group to have a qualified accountant to prepare the accounts etc. The accounts will have be audited by a qualified accountant but the in house accountant has to be competent, not necessarily qualified. in my previous role I was FD to a group. My successor was employed as Financial Controller (to justify a lower salary) but fulfilled much of the role I had played previously. If the previous "FD" wasn't actually a director, his successor doesn't need to be either. I suggest that you ask them to consider appointing you as Accountant, Financial Controller, whatever, on a probationary basis for (say) six months, even if it means they need to hire a temp to cover some of the work you were previously doing. If it doesn't work out, for whatever reason, their only cost is the difference between what they would have paid in salary and the temp cost. If it does work out, they have saved a lot and should increase your salary accordingly. Good luck!

[Meg888]

Thanks for your informative answer RocW, that's almost my situ at the mo - where I'd like to step into a role of Financial Controller; I'm not accountancy qualified, but I can prepare the accounts for audit. To be honest, I've taken on a lot more of my FD's work over the years, there is very little he does that I could not do, and in the past year (on promotion to Accounts Manager) I've proved myself time and again. I've worked here for 16yrs and can't really go any higher than this, so I'll grab this opportunity if I can. Thanks again RocW

[buildersmate]

The wording of your question suggests you are asking if there is a statutory reason why this cannot happen. Certainly there are Companies House rules about audit requirements and exceptions apply to some companies - specifically small turnover ones.
But irrespective of this, it is a policy decision for the individual company and its shareholders, so I'm not offering to trawl through the rules to see if there is a statutory reason as I'm afraid you are probably on a hiding to nothing.