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What a Good Accountant Should Be Doing for Your Garage (And Why Many Don’t)

Most garage and MOT centre owners have an accountant.
But many still feel:

  • Unsure about cash
  • Nervous about tax
  • Unclear on whether they’re actually doing “well”
  • Surprised when bills arrive

Which leads to an uncomfortable question:

If I have an accountant… why do I still feel in the dark?

This isn’t a criticism of garage owners — it’s a reflection of how accounting services are often delivered.

A good accountant should not just keep you compliant.

They should help you run a better garage.

This blog breaks down what a good accountant should actually be doing for a garage or MOT centre limited company — and why many fall short.

The Minimum vs the Value

Let’s start with an important distinction.

The Minimum

Many accountants provide:

  • Year-end accounts
  • Corporation Tax returns
  • Basic payroll
  • VAT returns (sometimes)

That keeps you legal.

But legality alone doesn’t:

  • Improve cashflow
  • Reduce stress
  • Help you grow
  • Prevent mistakes
  • Stop HMRC surprises

That’s the minimum.

What Garage Owners Actually Need

Garage businesses are not simple.

You deal with:

  • VAT
  • High transaction volumes
  • Stock and parts
  • Staff costs
  • Equipment investment
  • Director drawings
  • Fluctuating cashflow

A good accountant understands how garages actually operate, not just how spreadsheets work.

1. A Good Accountant Explains the Numbers (Properly)

If your accountant:

  • Sends accounts once a year
  • Uses jargon
  • Assumes you understand everything
  • Rushes through explanations

…they’re not doing their job properly.

A good accountant should:

  • Explain figures in plain English
  • Help you understand what matters
  • Show trends, not just totals
  • Highlight risks clearly

You should leave conversations thinking:

“That makes sense.”

Not:

“I’ll just trust them.”

2. They Talk About Cash — Not Just Profit

This is huge for garages.

Profit looks good on paper.

Cash keeps the ramps moving.

A good accountant should:

  • Help you understand cashflow
  • Explain why cash and profit differ
  • Flag upcoming pressure points
  • Help you plan for VAT and tax

If cashflow only comes up when you’re already stressed, that’s too late.

3. They Actively Manage Director Pay

Director pay is one of the most common problem areas we see in garages.

A good accountant should:

  • Help structure salary vs dividends
  • Monitor director drawings
  • Warn you about loan accounts early
  • Stop illegal dividends
  • Plan personal tax properly

If director pay is only reviewed at year end, problems are already baked in.

4. They Reduce HMRC Risk Quietly

A good accountant isn’t dramatic.

They don’t scare you — they protect you.

They should:

  • Keep records tidy
  • Flag risky behaviour early
  • Ensure filings are accurate
  • Reduce enquiry risk
  • Make HMRC interaction rare

You shouldn’t hear from HMRC often — and when you do, it shouldn’t be a panic.

5. They Don’t Let Problems Drift

One of the biggest failings we see is silence.

Problems that are ignored don’t disappear — they grow.

A good accountant:

  • Flags issues early
  • Has awkward conversations when needed
  • Stops “we’ll fix it later” thinking
  • Helps you course-correct quickly

Comfort isn’t always helpful.

Clarity is.

6. They Help You Plan — Not Just React

Good accountants think ahead.

They help you:

  • Understand upcoming tax bills
  • Plan equipment purchases
  • Assess staffing affordability
  • Make decisions with numbers, not gut feel

Bad accountants only react after the decision is made — and then tell you the consequences.

7. They Understand Your Industry

Garages are not cafés.

They’re not consultants.

They’re not online businesses.

A good accountant for garages understands:

  • MOT seasonality
  • Parts margins
  • Labour vs parts profitability
  • VAT complexities
  • Real-world cash pressures

Industry understanding matters more than most directors realise.

Why Many Accountants Don’t Do This

To be fair — not all failures are intentional.

Many accountants:

  • Are overloaded
  • Work reactively
  • Focus on compliance
  • Don’t have systems for proactive work
  • Aren’t set up for advisory conversations

But that doesn’t help you.

The Cost of a “Tick-Box” Accountant

A tick-box accountant may appear cheaper.

But the hidden costs are real:

  • Missed tax planning
  • Cashflow stress
  • HMRC risk
  • Director loan problems
  • Poor decisions made blindly

Good advice often pays for itself many times over.

What Good Garage Owners Expect Now

Garage owners today expect:

  • Transparency
  • Proactivity
  • Clear communication
  • Industry understanding
  • Support, not just submissions

The role of the accountant has changed — expectations should too.

A Simple Test: Is Your Accountant Doing This?

Ask yourself:

  • Do I understand my numbers?
  • Do I know what tax is coming?
  • Am I confident in how I pay myself?
  • Do I feel in control?
  • Do I speak to my accountant more than once a year?

If most answers are “no”, something is missing.

Final Thought: Your Accountant Should Reduce Stress, Not Add to It

Running a garage is hard enough.

Your accountant should:

  • Make things clearer
  • Reduce risk
  • Improve confidence
  • Support better decisions

Not leave you guessing.

How Accounting Matters Supports Garage & MOT Centre Directors

We work with garage and MOT centre limited companies who want:

  • Clear numbers
  • Predictable tax
  • Strong cashflow
  • Fewer surprises
  • An accountant who actually gets their business

If you want more than year-end compliance, it starts with a proper conversation.

Our Certification

We are Certified Platinum Xero Partners and Platinum Quickbooks Partners

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