Management accounting helps to provide a powerful insight into business performance, supports a forward looking approach through forecasting, creates a clearer understanding of working capital requirements and how a business can be measured against similar businesses through benchmarking in addition to the traditional periodic reports.

A Chartered Management Accountant is qualified to the highest standard Accountancy, Business and Finance. Backed up by professional ethics and Quality Assurance that Chartership conveys.

Business format

Below is a brief overview of the main business formats.

It is best to discuss your needs with an Accountant or advisor to tailor the format to your needs.

While tax planning is a consideration it should not be the main driver for the choice of business structure.

Simplest form of trading

Simple to account for, simple to administer

Profits reported through Self assessment to HMRC

An agreement to share the profits and liabilities of the organisation between partners.

Often equal shares, but does not have to be.

Common form for lawyers and Accountants although LLP is a popular alternative.

Most common form of trading organisation.

Separates the personal from the business, so is good for risk management.

Can have tax efficiency advantages over a sole trader although Tax should never be the main consideration when choosing an organisation structure.


A Partnership that enjoys the Limited Liability status similar to that of a Limited Company.

A Special form of Limited Company that is formed for and serves it’s community.

Similar objectives to a charity, but does not necessarily need to follow Charity Guidance.

Often not for profit but can be for profit, subject to the guidance laid down by companies house.

Able to trade in line with the memorandum and articles.

Has Charitable aims and objectives.
Can be a registered charity but does not have to be.
Accounts need to comply with relevant guidance about solvency and format.
Main costs will be incurred in furtherance of the charitable aims and objectives.
Will have trustees to oversee the organisation.
Does not normally trade except in a restricted capacity as a means of raising funds to further the charitable objectives.

Trading for Charities is often carried out through Ltd company or CIC structure to separate the risks inherent in trading and protect the charity’s assets.


Usually incorporated companies, formed for a specific project or purpose.