Why Healthcare Businesses Need a Specialist (Not a General Accountant)

Healthcare is not like retail, tech or construction.

Your income may be:

• Exempt from VAT
• Partially exempt
• Funded through third parties
• Spread across multiple services and contracts

A general accountant may:

• Misapply VAT exemptions
• Miss partial exemption calculations
• Misclassify staff and payroll costs
• Ignore sector-specific risks
• Underestimate regulatory consequences

This can lead to:

• Overpaid or underpaid VAT
• HMRC penalties and assessments
• Cashflow strain
• Incorrect profit figures
• Stress during inspections or audits

A specialist Healthcare Accountant builds your finance function around how healthcare really works, not generic assumptions.

Who We Help

We work with healthcare and care-sector organisations across the UK, including:

• GP practices and medical centres
• Private medical clinics
• Care homes and supported living providers
• Dental practices
• Pharmacies
• Physiotherapy, osteopathy and therapy clinics
• Mental health service providers
• Domiciliary care agencies
• Medical consultants and locums
• Healthcare groups and multi-site operators

From small owner-managed practices to groups turning over £500K to £20M+, we support healthcare businesses at every stage.

Common Financial Problems We See in Healthcare

1. VAT Confusion and Partial Exemption

Many healthcare services are VAT-exempt, but not all. Mixing exempt and taxable income without proper calculations leads to risk.

We ensure VAT is applied correctly and defensibly.

2. Payroll Pressure and Staffing Costs

Healthcare payroll involves:

• Shift patterns
• Overtime
• Agency staff
• Pensions and auto-enrolment
• Director remuneration planning

We structure payroll efficiently while staying compliant.

3. Cashflow Stress

Delayed payments, funding gaps and rising costs often mean cashflow doesn’t match profitability.

We build cashflow forecasts so you can plan ahead, not react.

4. Lack of Clear Profitability by Service

Many providers don’t know which services, locations or contracts are actually profitable.

We create clear management accounts and service-level reporting.

5. Compliance Anxiety

Regulators, HMRC and pension duties create ongoing pressure.

We reduce risk through proper systems, documentation and reviews.

Our Healthcare Accounting Services

1. Cloud Accounting & Management Accounts

We set up finance systems designed for healthcare operations.

What we do:

• Xero or cloud accounting setup
• Income stream mapping (NHS, private, mixed)
• Expense categorisation by service or site
• Monthly or quarterly management accounts
• Clear profitability reporting

Outcome: You understand your numbers, not just your bank balance.

2. Year-End Accounts & Tax Returns

We prepare compliant statutory accounts with healthcare-specific insight:

• Correct treatment of exempt income
• Allowable expense optimisation
• Director remuneration planning
• Partnership or company structures
• Corporation tax or personal tax filings

Outcome: Accurate accounts that stand up to scrutiny.

3. VAT for Healthcare & Care Providers

Healthcare VAT is complex — we handle:

• VAT exemption reviews
• Partial exemption calculations
• VAT registrations (where required)
• Historic VAT reviews and corrections
• HMRC correspondence and queries

Outcome: VAT done properly, without nasty surprises.

4. Payroll, Pensions & Staffing

We manage:

• PAYE and payroll for care and clinical staff
• Directors’ payroll and dividends
• Auto-enrolment pensions
• Payroll compliance reviews
• HMRC submissions and year-end filings

Outcome: Staff paid correctly, stress reduced, compliance assured.

5. Cashflow Forecasting & Financial Planning

We help you plan ahead with:

• Rolling cashflow forecasts
• Funding and expansion planning
• Cost control analysis
• Scenario planning (“what if” modelling)

Outcome: Confidence and control, even in uncertain periods.

6. Virtual Finance Office & Virtual CFO

For growing healthcare businesses, we act as your:

• Virtual Finance Office – bookkeeping, reconciliations, reporting
• Virtual CFO – strategic finance and board-level insight

Virtual CFO support includes:

• Financial strategy
• Pricing and margin analysis
• Growth and acquisition planning
• Board packs and stakeholder reporting

Outcome: Senior-level financial support without a full-time hire.

7. Group Structures & Growth Planning

For healthcare groups and multi-site operators, we advise on:

• Group and holding company structures
• Profit extraction strategies
• Expansion planning
• Exit and succession planning

Outcome: A structure that supports long-term growth and value.

Our Process – How We Work with Healthcare Clients

Step 1 – Discovery Call
We understand your services, structure and challenges.

Step 2 – Financial & Compliance Review
We identify risks, inefficiencies and quick wins.

Step 3 – Clear Proposal & Roadmap
Fixed fees, clear scope, no surprises.

Step 4 – Onboarding & Clean-Up
We bring systems and records up to standard.

Step 5 – Ongoing Support
Proactive advice, reporting and compliance — all year round.

Indicative Packages (Guide Only)

Starter Package

• Bookkeeping
• Annual accounts
• Tax returns
• Basic payroll support

Growth Package (£500K–£2M turnover)

• Monthly management accounts
• VAT support
• Payroll & pensions
• Cashflow planning
• Quarterly review meetings

Scale-Up Package (£2M+ turnover)

• Full Virtual Finance Office
• Virtual CFO support
• Advanced reporting
• Group and growth planning

All packages are tailoredm no one-size-fits-all healthcare pricing..

Speak to a Specialist Accountant for Healthcare

If you want to:

• Stay compliant
• Reduce tax and financial risk
• Improve cashflow
• Understand your true profitability
• Focus more on patient care

…then let’s talk.

Book Your Free Healthcare Strategy Call

Call: 020 3740 7074
Email: info@accountaxzone.com
Website: accountaxzone.com

Join Hundreds of Happy SMEs getting services from our expert Accountant in London

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