Accounting for the Beauty Industry

Unlock the potential of your beauty business with expert bookkeeping tailored to your needs.

As a sole trader in the beauty industry, it’s essential to manage your accounting effectively to track your income, expenses, and comply with tax regulations. 

Here are some key steps and considerations for accounting as a sole trader in the beauty industry:

  • Business Bank Account: Open a separate business bank account to keep your personal and business finances separate. This makes accounting and tax reporting much easier.
  • Record Income: Keep a detailed record of all your sources of income, such as revenue from beauty services, product sales, or any other income related to your business.
  • Expense Tracking: Maintain a record of all your business expenses, including costs for products, equipment, rent for your workspace, marketing and advertising, and any other costs associated with your beauty services.
  • Receipts and Invoices: Keep receipts and invoices for all your business transactions. This documentation is crucial for tax purposes and may be required for deductions.
  • Bookkeeping Software: Consider using accounting software like QuickBooks, Xero, or FreshBooks to help manage your finances, track income and expenses, and generate financial reports.
  • Tax Responsibilities: Be aware of your tax obligations as a sole trader. You may need to pay income tax on your business profits, as well as National Insurance contributions. It’s advisable to consult with a tax professional or accountant to ensure you meet your tax requirements.
  • Self-Assessment: In the UK, sole traders typically complete a Self-Assessment tax return. This is where you report your income and expenses and calculate the tax you owe. The deadline for this is usually January 31st for the previous tax year.
  • VAT Registration: Depending on your income, you may need to register for Value Added Tax (VAT). If your turnover exceeds the VAT threshold, you must charge VAT on your services and products.
  • Financial Reports: Regularly review your financial reports, such as profit and loss statements and cash flow statements, to understand the financial health of your business.
  • Seek Professional Advice: Consider consulting with an accountant or tax advisor who specializes in the beauty industry to ensure you’re optimizing your financial management and tax strategies.
  • Business Insurance: Consider getting liability insurance to protect your business from potential claims or accidents.
  • Record Keeping: Maintain a well-organized filing system for your financial documents, making it easier to access information when needed.
 
Effective accounting is crucial for the success and compliance of your beauty business. It’s advisable to stay up to date with tax regulations and consult with a financial professional to ensure that you’re managing your finances correctly.

Why Choose Swan Books?

Swan Books brings over 16 years of trusted accounting experience in Essex. We don’t just see numbers; we see local businesses thriving and communities growing. We have many accounting clients in the beauty and health industry, and they often commend our friendly, professional, and approachable style. Beyond mere testimonials, our track record of success and our commitment to ensuring businesses flourish stands as our proud testament. Discover the Swan Books difference today.

There’s a reason we have nothing but 5 star reviews on Google.

 
Vanessa Vieira
Vanessa Vieira
1 November 2023
Accounting done in THE most effective and efficient way. The technicalities that come with filing my accounts were daunting and overwhelming. When Stacey stepped in she was persistant, sendings me the continuous reminders and promtos that I needed to get things sort. She is also very felxible with communication using a cohintation of Whats App, SMS and calls. HIGHLY RECOMMEND!!
John Marling
John Marling
28 October 2023
I had some issues processing my Self Assessment Tax Return, and Stacey stepped right in knowing exactly what to do. Swan Books provides a secure web portal to allow me to upload all relevant documentation that Stacey needs to complete the process. I had some queries on the Summary and Calculation, which Stacey explained simply. I would 100% recommend Stacey and Swan Books, and will be using Stacey again in the future.
Nicole Dryden
Nicole Dryden
25 October 2023
Would highly recommend Stacey. She was super friendly in our initial chat and throughout my experience, put me at ease and answered any questions I had with quick response times. Will be using her services going forward without any worries!
Lottie Millington
Lottie Millington
14 September 2023
Stacey is absolutely incredible! Stacey has been handling my accounts for three years now, I’ve had many issues with the HMRC and stacey has handled everything for me with ease. Everything is done quickly and efficiently. I’m so grateful for Stacey how she’s taken a massive stress away from running my business and helping me grow my business and finances. I couldn’t recommend her enough
Liz Slade
Liz Slade
30 August 2023
Stacey @ Swan Books is really friendly, approachable and extremely efficient. She explains everything in an easy to understand way. I would 100% recommend Stacey to anyone in need of a great accountant!
Jordan Drummond
Jordan Drummond
30 August 2023
Very flexible and informative. Made everything very easy and straight forward for myself and made my tax situation a lot less stressful! Would recommend 😀
Lourdes Walsh
Lourdes Walsh
29 August 2023
Stacey did my books last tax year and I’m going to be using her every time! Professional, communicative & swift, while also explaining everything (numbers are not my forte). I’d recommend her again and again.
Emma Cook
Emma Cook
25 August 2023
Stacey is the best accountant we have would definitely recommend her to anyone, she’s so friendly and very helpful and always there to help us . Thank you for your hard work
Roxanne Hydes
Roxanne Hydes
7 August 2023
Stacey has been an absolute gem when it comes to providing advice on self-employment and tax. I had so many unanswered questions that needed detailed explaining, and she went above and beyond to make sure I got the correct information and that I understood everything. I would highly recommend Stacey to help you with all your accounting needs.
Anthony Fitzsimmons
Anthony Fitzsimmons
3 August 2023
Knows her stuff 👍
Stuart Wilson
Stuart Wilson
2023-02-02
Stacey has been fantastic, she does all my bookkeeping and submits all my tax returns. She has given me advise and is always there to answer my questions and provide support. Stacey has given me one less thing to worry about so I can focus on with running my business. 100% recommend Stacey!
Ross Cook
Ross Cook
2023-01-09
Friendly and extremely helpful. We had many questions about sole trading and Stacey was more than happy to help, even at 8pm in the evening!
Sharon Groves
Sharon Groves
2022-12-01
Stacey has been amazing in getting my books in order and submitting my tax returns. She has given invaluable advise and is always on hand to answer any questions and provide support. Stacey has been a god send and given me one less thing to worry about so I can get on with running my business. Thoroughly recommend Stacey!
Natalie Wooden
Natalie Wooden
2022-11-24
Stacey was so friendly and eager to help me from the start. Nothing was a problem. We did everything step by step and everything was taken care of for me. I’m so glad I found you Stacey! Thank you for your help and professionalism.
Looking Tidy
Looking Tidy
2022-07-20
Glad I found Swan Books! Stacey is super helpful and friendly, has helped me where needed and provided valuable advice. I'd have no hesitation recommending and will be back for all my book keeping in the future.
Emma Cook
Emma Cook
2022-07-20
We would definitely recommend Stacey she’s a lovely girl and very helpful and knows how to do her job very well , we are very happy 😃
Paula Buck
Paula Buck
2022-07-13
I was looking for a friendly yet professional accountant to help with my tax returns, Stacey is and did just that! Always at the end of the phone to help answer my “silly” questions. Politely chased me so i didn’t fall behind and made my life a lot easier and stress free. Highly recommend her.
Jodie Mckinnon
Jodie Mckinnon
2022-06-24
Thank you for being our accountant, highly recommended!
Istrate Adrian
Istrate Adrian
2022-06-24
I’ve been working with Stacey and she is extremely responsive , organised and efficient . I would recommend her services to anyone. Thank you for your support!!
Danny Newson
Danny Newson
2022-06-23
Brilliant So helpful with getting self assessment done and forming new company Would recommend swan books to everyone

Our Process

Initial Consultation

Understand your business, your challenges, and your aspirations.

Onboarding

Seamless integration with your existing systems, training provided if necessary.

Tailored Solutions

We propose a bookkeeping solution adapted to your unique needs.

Regular Check-ins

Periodic reviews to ensure your financials are on track and to address any concerns.

Year-End Finalisation

Ensure everything is aligned, compliant, and ready for HMRC submissions.

What Can Beauticians Expense?

Allowable expenses for a sole trader in the beauty industry are business-related costs that can be deducted from your business income when calculating your taxable profit. Here are some common allowable expenses in the beauty industry:

  • Beauty Products and Supplies: The cost of beauty products, cosmetics, skincare items, and other supplies used in your services is usually fully deductible.
  • Equipment: Expenses related to beauty equipment, such as chairs, mirrors, sterilizers, and beauty beds, can be claimed.
  • Rent or Workspace Costs: If you rent a salon space or workspace, those rental costs are allowable expenses.
  • Utilities: Costs for utilities, such as water, electricity, and heating, related to your workspace are deductible.
  • Insurance: Premiums for business insurance, including public liability insurance, are typically allowable expenses.
  • Advertising and Marketing: Costs associated with advertising your beauty services, creating a website, and running marketing campaigns can be deducted.
  • Training and Professional Development: Expenses for courses, workshops, and certifications to enhance your beauty skills are often allowable.
  • Travel: Travel costs for business-related trips, such as visiting clients or attending industry events, can be claimed. This includes mileage, public transportation, and accommodation.
  • Professional Fees: Fees paid to professional organizations, associations, or licensing bodies are deductible.
  • Office Supplies: Expenses for office supplies like stationery, paper, and printer ink used for your business are allowable.
  • Subcontractor Payments: If you hire other professionals on a freelance or subcontract basis, their payments are allowable expenses.
  • Telephone and Internet: Costs for business-related phone and internet services can be claimed, but only the portion used for your business.
  • Uniforms and Workwear: The cost of uniforms, workwear, and protective clothing used in your beauty services is generally deductible.
  • Cleaning and Maintenance: Expenses for cleaning and maintaining your workspace are allowable.
  • Accounting and Bookkeeping Fees: Fees paid to a professional accountant or bookkeeper to help manage your financial records are deductible.
 

It’s essential to keep detailed records and receipts for all these expenses, as well as any others specific to your business. When it’s time to complete your Self-Assessment tax return, you can deduct these allowable expenses from your total income to determine your taxable profit.

As qualified beautician accountants, Swan Books can assist you with all of the above. Be sure to get in touch to find out how we can take the hassle out of accounting for beauticians. 

Stacey is absolutely incredible! Stacey has been handling my accounts for three years now, I’ve had many issues with the HMRC and Stacey has handled everything for me with ease. Everything is done quickly and efficiently. I’m so grateful for Stacey how she’s taken a massive stress away from running my business and helping me grow my business and finances. I couldn’t recommend her enough
Lottie Millington
Owner - Lush by Lottie
Close up manicured womans hands on pink background. Manicure, pedicure spring summer design trends

Our Pricing

At Swan Books, we tailor our pricing to fit your business’s specific needs. Our bookkeeping services ensure that your business finances stay up-to-date using leading cloud accounting software like Quickbooks or Xero. Whether you prefer monthly or quarterly updates, we keep you informed about your business profits consistently. We cover all areas of bookkeeping, ensuring thoroughness and precision.

The pricing for our bookkeeping services varies based on the volume of transactions each month. For a customised quote and a detailed breakdown, please contact us.

Registration

£ 45
00
  • Registration of you and your business self employment with HMRC.

Self Assessment Tax Returns

£ 250
00
Prices From
  • Preparation of tax calculation, preparation and submission to HMRC and financial statements
  • Prices may vary based on your business records. Please get in contact for a free consultation.

Bookkeeping

varies
  • Keeping your business finances up to date with cloud accounting software Quickbooks or Xero. Monthly or Quarterly updates providing you updates of business profits. All areas of bookkeeping undertaken.
  • Prices vary permitting to volume of transactions each month.

Books Clean Up

varies
  • If your accounts are in need of a tidy up and you want to upgrade your internal procedures for easier processes, you have come to the right place!
  • Prices vary client by client, please get in touch to discuss further.

VAT Returns

£ 175
00
Prices From
  • Quarterly VAT returns prepared and submitted with Making Tax Digital compliant software with all deadlines met.
  • Prices start from £175.00 per quarter

Power Hour

£ 65
00
Prices From
  • One to one power hour discussing your business accounting and how to make improvements to make your finances run more efficiently within the cloud software of your business alongside training on how to get the best of your software.

Payroll

£ 20
00
Per Payroll
  • All aspects of payroll processes ensuring all tasks are carried out by all deadlines and RTI compliant.
    - Weekly or monthly payrolls
    - Pension administration completed
    - RTI compliant with HMRC
    - Payroll year end service and reporting

Ready to take your business to the next level?

Book a Call