Setting up your practice
Be your own boss
The rewards of setting up and being your own boss are huge. But how do you do it? Annie Makoff finds out
At a glance
Ask yourself if being your own boss is right for you
Make sure you are compliant with the law and regulations
Read AAT’s guidance before applying
There are roughly 77,000 small accountancy practices and bookkeepers in the UK, statistics from IRIS Software Group show. AAT Licensed Accountants and Bookkeepers account for at least 6,000 of these. So you’d be forgiven for thinking that setting up in practice can be done in a matter of days. Spoiler: it can’t. Yes, it’s a fairly involved process, but hard work pays off. AAT members who run their own business say they enjoy better job satisfaction, flexibility and a better work/life balance.
Is being your own boss right for you?
Becoming a licensed member and setting up your own practice is not a decision to take lightly. While those who have established their own practices often enjoy a good work/life balance, the early period is extremely busy, which often means less time for yourself, friends and family.
Paul's story
Paul Donno set up his own firm, 1Accounts. Here's how he did it...
CRAIG DYER MAAT, MD, A DYER ACCOUNTS AND BOOKKEEPING
“I left teaching”
“At 18, I worked in a small accounting firm in Cornwall but then moved into teaching. Fifteen years later, I was experiencing work-related stress and I was missing out on being a father. I wanted a career which gave me better work/life balance, so I decided to start my own practice. My aim was to build up a team from scratch, so I enrolled with AAT, studying every hour I could to get while working part-time to build up my bookkeeping portfolio.
“I set up officially in December 2019 on a self-employed basis and by 2022, with a team of four, I was in a position to convert the business into a limited company.”
FARHEEN USMANI MAAT, OWNER OF BALANCED FIGURES ACCOUNTING
“I moved from industry”
“I used to run a fashion business, importing traditional clothes from Pakistan to the UK. Once I had my daughter I began studying with AAT. I worked for several years in various accounts departments for a car manufacturer, a primary school and, more recently, I worked as a bookkeeper in a financial services firm. By then, I had two young children and my mother, back in Pakistan, was very ill. It was hard juggling work with family.
“I followed several accountants on social media and listened to podcasts from those who had their own businesses and that’s when I realised that I could get a practice licence with AAT, which I had no idea was possible. After that, everything seemed to fall into place.
“I launched my business in October 2023 and I’m currently building up my client base.”
HEATHER PALMER FMAAT, OWNER OF ASCOT BOOKKEEPING AND ACCOUNTANCY
“My practice was a natural progression”
“I previously ran several businesses when I lived in Scotland, including two specialist dance and bridal/occasion wear retailers. I used to employ bookkeepers and accountants, but I was always involved in the financial side. So when my husband’s work moved us down south, it felt like a natural progression to train as an accountant.
“I progressed through the ranks at AAT, and as soon as I qualified, I applied for a practice license. I’m very entrepreneurial and I don’t think there’s ever a ‘right’ time, I just wanted to jump right in and hit the ground running.
“‘Niche’ has become a bit of buzzword, but I’ve never wanted to specialise. My clients include ex-international rugby players, builders, electric car designers and crisis management companies. Some are micro enterprises and others are multi-million-pound businesses. Working across sectors gives you a much better understanding and I love the variety.”
How do I apply?
Members only: Only professional members of AAT can apply to be licensed by AAT
Business model: Are you launching a side hustle starting with friends and family? Targeting local businesses or a national niche?
Prepare for online application: See AAT’s website to understand the supporting information you will need to provide
Get up to speed with practice management, ethics and AML: You will need to prove your understanding in these three key areas. AAT has technical resources to help you
Complete DBS check: You will need a basic disclosure certificate as part of the process
Make your application: When you have prepared well, complete AAT’s online application
Pay your fee: You’ll pay a fee through AAT’s secure platform at the end of the process
Pass the test: After your application, you will have three months (and three attempts) to pass AAT’s tests in practice management, ethics and AML
