Sole traders

Running your own business is rewarding - but it comes with a long list of things to stay on top of that have nothing to do with the reason you started. Accounts, tax returns, VAT, payroll, HMRC correspondence - the admin side of self-employment can feel like a second job in itself, and it's one that carries real consequences if things slip.

At Facts & Figures, we work with sole traders across Edinburgh, Glasgow, and Scotland - taking the financial side of your business off your plate so you can focus on what you actually do. Whether you're just starting out or have been trading for years, we'll build a service around your specific situation rather than putting you in a standard package that may or may not fit.

What sole traders actually need

No two sole traders are quite the same. A freelance consultant has different needs to a self-employed tradesperson, and a sole trader who has been trading for ten years is in a different position to someone who has just left employment to go it alone. We take the time to understand your situation before recommending anything.

That said, the core things most sole traders need from an accountant include:

• Self assessment tax returns - prepared and filed on your behalf, making sure everything is correct and every allowable expense is claimed

• Bookkeeping - keeping your records organised and up to date throughout the year, not just at year end

• VAT - registration advice, return preparation, and MTD compliance if you're above the threshold

• Payroll - if you have any members of staff, we handle the full payroll process including RTI submissions and auto-enrolment

• CIS - if you work in the construction industry, we manage your CIS obligations whether you're a contractor, a subcontractor, or both

• Tax planning - making sure your tax position is as efficient as it can be throughout the year, not just when the return is due

• Ongoing support - being available when a question comes up, without the clock running

• Fixed fees - no surprises

All of our sole trader services are offered on transparent, fixed-fee pricing. That means you know exactly what you're paying before we start, the ongoing support of our team is built into that fee, and there are no unexpected invoices when you pick up the phone with a question. For sole traders who are used to watching every pound, that kind of predictability matters.

Making Tax Digital — what sole traders need to know

From April 2026, sole traders with income above £50,000 will be required to keep digital records and submit quarterly updates to HMRC under Making Tax Digital for Income Tax. The threshold drops to £30,000 from April 2027. If you fall into either category, now is a good time to make sure your bookkeeping is set up correctly - the transition is straightforward if your records are already on a cloud platform like Xero, and more disruptive if they're not.

We are already helping sole traders across Scotland prepare for MTD and are happy to talk through what it means for your specific situation.

Just starting out?

If you're new to self-employment, getting the basics right from the start makes everything easier later. We help new sole traders with:

• Registering for self assessment with HMRC

• Setting up bookkeeping and cloud accounting software

• Understanding what expenses you can and can't claim

• Working out whether VAT registration makes sense for your business

• Planning for your first tax bill so it doesn't come as a shock

Getting in touch early - even before you've made much money - is always worthwhile. The advice is most useful before decisions are made, not after.

Thinking of switching accountant?

If you're already with an accountant but feel like you're not getting the attention or value you deserve, switching is simpler than most people expect. Find out how moving to Facts & Figures works