💻 Going Digital? Please Don’t Go It Alone

As we move closer to Making Tax Digital (MTD), many childcare businesses are understandably trying to “get ahead” by signing up for QuickBooks, FreeAgent, or other bookkeeping software alone, without their accountant’s input.

It sounds simple — but in reality, this often creates more work and confusion than expected. Recently, we’ve seen several clients start using software part-way through the year (after years of us managing their books), only to find things haven’t been set up quite right.

Why going digital alone can cause problems

Despite what the adverts suggest, bookkeeping software isn’t a plug-and-play solution. When it’s not set up correctly from the start, it can lead to issues such as:

Opening balances that don’t match your previous accounts
Reconciliations and brought-forward figures missing or duplicated
Products and services not linked to the correct income accounts
Customer and supplier lists not imported or coded properly
The wrong accounting basis (cash or accrual) being selected
VAT settings or VAT codes applied incorrectly
A chart of accounts that doesn’t reflect your business correctly

One of the most common things we hear is, “What’s a bank reconciliation?” — and that’s exactly why software setup shouldn’t be done without professional guidance.
Even if the totals look right on screen, unreconciled transactions can make your figures completely inaccurate.

Working collaboratively makes all the difference

When you work with us, we ensure your setup is done properly from day one. This includes:

Carrying forward opening balances accurately from your previous system
Making sure your products and services link to the correct income and expense accounts
Importing customer and supplier lists correctly
Setting the right accounting basis and VAT treatment
Ensuring your chart of accounts mirrors your previous system with us for complete consistency
Configuring bank connections and reconciliations before any data entry begins

This collaborative setup avoids errors, keeps your figures meaningful, and ensures you’re genuinely MTD-ready when digital reporting begins.

Don’t go digital alone — go digital correctly

If you’re thinking about going digital — or need to because you’ve now met the MTD threshold — please don’t do it on your own.
It should always be set up with your accountant so everything reconciles correctly and matches your previous records.

👉 Contact us if you’re ready to make the move to QuickBooks or FreeAgent. We’ll get you set up properly, make sure you’re truly MTD-ready, and work with you collaboratively every step of the way.

Childminder Accountancy Services Ltd
Supporting childcare professionals across the UK
📧 mtd@caservices.org.uk | ☎️ 020 8367 7319