Accounting Services Agreement Template for England and Wales

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Key Requirements PROMPT example:

Accounting Services Agreement

"I need an Accounting Services Agreement for my tech startup to engage a mid-sized accounting firm for monthly bookkeeping, tax preparation, and financial reporting services, starting from January 2025, with specific provisions for handling cloud-based accounting software."

Document background
The Accounting Services Agreement is essential for formalizing the relationship between accounting service providers and their clients in England and Wales. This document outlines the scope of accounting services, including bookkeeping, tax preparation, financial reporting, and advisory services. It incorporates requirements from relevant legislation such as the Companies Act 2006 and professional standards set by regulatory bodies. The agreement protects both parties by clearly defining responsibilities, service levels, fees, and confidentiality obligations while ensuring compliance with UK accounting and regulatory requirements.
Suggested Sections

1. Parties: Identification and details of the service provider and client

2. Background: Context and purpose of the agreement, including reference to relevant qualifications and regulatory bodies

3. Definitions: Key terms used throughout the agreement including accounting-specific terminology

4. Scope of Services: Detailed description of accounting services to be provided, including specific duties and responsibilities

5. Client Responsibilities: Obligations of the client including providing accurate information and timely responses

6. Fees and Payment Terms: Payment structure, rates, invoicing periods and payment conditions

7. Term and Termination: Duration of agreement and circumstances under which either party may terminate

8. Confidentiality: Provisions for handling confidential financial information and business secrets

9. Data Protection: Compliance with Data Protection Act 2018 and UK GDPR requirements

10. Liability and Indemnification: Limitations of liability and professional indemnity provisions

11. Regulatory Compliance: Compliance with relevant accounting standards and anti-money laundering regulations

Optional Sections

1. Professional Indemnity Insurance: Details of insurance coverage and limits for high-value engagements

2. Staff and Subcontractors: Terms regarding use of staff or third parties in service delivery

3. Intellectual Property: Rights and ownership of materials, especially relevant for custom accounting solutions

4. Force Majeure: Provisions for circumstances beyond reasonable control affecting service delivery

5. Non-Solicitation: Restrictions on hiring each party's employees or approaching clients

Suggested Schedules

1. Schedule 1: Detailed Services Description: Comprehensive breakdown of specific accounting services and deliverables

2. Schedule 2: Fee Schedule: Detailed pricing structure, hourly rates, and payment terms

3. Schedule 3: Service Levels: Performance metrics, response times, and service standards

4. Schedule 4: Key Personnel: Details of key team members and their qualifications

5. Appendix A: Data Processing Terms: Detailed GDPR and data protection requirements and procedures

6. Appendix B: Compliance Requirements: Specific regulatory and professional standards applicable to the services

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions
Clauses
Relevant Industries
Relevant Teams
Relevant Roles
Industries

Companies Act 2006: Primary legislation governing company accounting records and reporting requirements in the UK

Partnership Act 1890: Legislation governing partnerships in England and Wales, relevant if either party is a partnership

Data Protection Act 2018: UK's implementation of data protection requirements, crucial for handling financial and personal data

UK GDPR: Post-Brexit data protection regulations governing the processing and storage of personal data

Financial Services and Markets Act 2000: Legislation governing regulated financial services activities

ICAEW Code of Ethics: Professional ethical guidelines for chartered accountants in England and Wales

FRC Ethical Standard: Ethical standards set by the Financial Reporting Council for auditors and accountants

Money Laundering Regulations 2017: Regulations requiring procedures to prevent and detect money laundering activities

Proceeds of Crime Act 2002: Legislation concerning money laundering and proceeds of crime reporting obligations

International Financial Reporting Standards (IFRS): Global accounting standards for financial reporting and statements

UK Generally Accepted Accounting Practice (UK GAAP): UK-specific accounting standards and principles for financial reporting

Consumer Rights Act 2015: Legislation protecting consumer rights, applicable if the client is a consumer rather than a business

Supply of Goods and Services Act 1982: Legislation governing contracts for the supply of services, including implied terms

Unfair Contract Terms Act 1977: Legislation restricting how businesses can exclude or limit their liability

Late Payment of Commercial Debts (Interest) Act 1998: Legislation concerning interest on late payments in commercial transactions

Employment Rights Act 1996: Primary legislation governing employment rights, relevant if staff are involved in service delivery

Equality Act 2010: Legislation preventing discrimination and promoting equality in service provision and employment

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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