Hi,

Accounting for e-commerce

E-commerce platforms make it possible for businesses to trade with anyone in the world. This is obviously a massive opportunity. But it can also be an accounting nightmare. Not least because the default marketing message from software and platform providers is often that the bookkeeping and accounting is easy and seamless. 

Our advice is “don’t run before you can walk” which is summarised in our guide to getting started with e-commerce accounting. 

Making Tax Digital for Income Tax (MTD) 

MTD arrives next month for all self-employed people and landlords whose rental income plus business sales exceed £50,000 p.a. 

Our view of MTD is that it’s mainly about good bookkeeping and having separate bank accounts for self-employment and for your property activities. 

Find out more about how to get on top of MTD. 

Cashflow

Sooner or later we come back to cashflow.  

We favour a very simple approach which is to build your own simple cashflow model in a spreadsheet and keep it running for as long as you need to. 

This is how you can get going with your own cashflow model. 

The Joy of AI

“The Joy of AI” is one-hour documentary on BBC iPLAYER, presented by Jim Al-Khalili, which takes a look at the evolution of AI.  

Definitely worth a watch, the programme is available here  

 Nothing to declare – except dividends 

We’re coming to the end of the tax year and time is running out if your company wants to declare dividends that will be included in your 2025-26 tax return. 

There are three general points to note about dividends:

• Dividend decisions must be documented properly and cannot be backdated.

• There must be sufficient retained profit after tax in your company to cover the dividends declared.

• Dividends are due to each shareholder in proportion to their shareholding.

The clock is ticking, so take advice if you need to and make your dividend decisions.

Want more guidance?

Whether you're navigating e-commerce accounting for the first time, getting ready for Making Tax Digital, or simply keeping a closer eye on cashflow, these are exactly the kinds of things Blue Dot Consulting helps owner-managed businesses get on top of — clearly, practically and without the jargon.

If any of these topics have landed close to home, it may be a good time to have a conversation. 

Reply to this email, call us on 020 7125 0270 or use the links below to get in touch.