Why Choose FreeAgent Accounting Software

Thanks to making-tax-digital (MTD) legislation, the days of doing accounting by hand or using multiple spreadsheets are becoming a thing of the past.

MTD is a Government initiative which aims to digitise and modernise the UK tax system to make it one of the most advanced in the world. The end goal is to increase accuracy and efficiency and, unsurprisingly, to close the tax gap.

To help achieve this, the use of MTD-compatible accounting software is now mandatory for many small business owners. Since April 2022, MTD for VAT has been mandatory meaning that all VAT-registered businesses must keep digital records and submit their VAT returns directly to HMRC using MTD-compliant software.

Over time, MTD will be rolled out to include landlords and sole traders and from April 2026 MTD for income tax will start to become mandatory.

It’s understandable that many small business owners might be reluctant to change accounting and bookkeeping practices and processes that may have been in place for years, but with change comes opportunity.

Dedicated digital accounting software has transformed accounting and bookkeeping for self-employed people.

When you appoint Gorilla Accounting, you’ll receive full access to FreeAgent accounting software free of charge included in our great value fixed-fee accounting packages.

Read on to find out more including why we have partnered with FreeAgent and how it can benefit you.

What is FreeAgent?

FreeAgent is cloud-based accounting software that allows you to easily manage your business finances from anywhere.

FreeAgent was born in 2007 when its founders, who were working as freelancers at the time, realised that a better way was needed to handle accounting and bookkeeping for small business owners.

The aim was a digital solution that would take the mess and stress out of bookkeeping to help self-employed people grow their businesses without the distraction of handling their accounts. FreeAgent gained traction quickly and was bought by the Royal Bank of Scotland for £53 million in 2018, but to this day remains fully independent.

FreeAgent has won multiple industry awards over the years including Best Small Business Accounting Software at the Accounting Excellence Software Awards and Best Business Software Provider at the Computing Technology Product Awards.

Trusted by over 150,000 small business owners, FreeAgent is perfect for a diverse range of businesses but is especially suited for service and project-based ones, making it a perfect fit for contractors and freelancers.

If you want greater control over your finances without having to forego the support of an accountant, Gorilla Accounting and FreeAgent may be the best solution for you. So, don’t worry about going at it alone; Gorilla Accounting can assist you every step of the way with both your accounting obligations and FreeAgent.

How FreeAgent Can Benefit You

FreeAgent gives you the power to run your business from anywhere at any time. Whether you want to check your cash flow, send an invoice or get an overview of your current tax position, you can fire up the mobile app or log in using your laptop and access it at any time.

FreeAgent’s automation allows for hands-free accounting. This means that you only need to upload your bank statements, receipts, invoices and expenses and the software will do everything else for you. You can view your business accounts in real-time with no manual calculation or spreadsheets required.

Read on for some key benefits of FreeAgent accounting software…

Insightful Reporting

FreeAgent provides real-time reports of key financial metrics including balance sheets, profit and loss statements and cash flow statements. This allows you to get an up-to-the-minute picture of the financial health of your business and get the insight needed to make informed decisions based on your current financial data.

Tax Compliance Made Easy

FreeAgent will calculate your tax liabilities and prepare your VAT returns and self-assessment tax returns in the background while you work. They can then be electronically submitted to HMRC. It will also remind you of upcoming tax deadlines to ensure you never miss a submission and avoid any penalties and fines.

Simple Bank Reconciliation

FreeAgent will sync with your bank accounts, payment platforms and credit cards and automatically match up imported bank transactions against your accounting records. Automated bank feeds are a big time saver as they remove the need for manual reconciliation and ensure accurate data.

Manage your Expenses and Invoicing

FreeAgent makes it easy to track and manage your expenses on the go. Receipts can be captured and uploaded using the app on your smartphone and categorised to stay on top of your record-keeping. You can also create and send customised branded invoices to your clients, send automated invoices and set up recurring invoices for ongoing work.

Save Time through Automation

With FreeAgent, many accounting tasks can be automated including bank reconciliation, tracking of your expenses and invoicing. Admin tasks such as these can be laborious and very time consuming but with FreeAgent doing the legwork, you have more time to focus on core activities. This makes it a great choice for busy contractors and freelancers.

Easy to Use

Even if you have little to no accounting knowledge, FreeAgent’s intuitive, easy to use interface makes it possible to perform basic accounting tasks. The customisable dashboard gives you an at-a-glance overview of key financial metrics and the overall financial health of your business.

Data Security and Backup

FreeAgent are Cyber Essentials Plus certified and utilise industry-standard, multi-layered security and encryption to ensure that your financial data and personal information are protected at all times. Your data is also backed up to the FreeAgent backup server several times an hour and point-in-time recovery is available. Information is held securely in multiple ISO certified GDPR-compliant data centres ensuring that it’s both secure and accessible at all times.

Third Party App Integration

FreeAgent will easily integrate with a wide range of third-party platforms and applications. Integration with time tracking software will help ensure that you are accurately billing your time and not being underpaid for your services, and payment gateway integration enables your clients to pay you conveniently and securely.

You can also integrate with project management tools which is a great way to manage your time if you have multiple contracts on the go. Ultimately these integrations can better help you manage and streamline your workflow and improve efficiency.

Mobile App

FreeAgent’s mobile app makes it simple to manage your business finances on the go. Many tasks can be done using the app including tracking time, logging expenses and creating and sending invoices. You can also view key financial metrics on your mobile to get a real-time snapshot of your financial position.

Collaboration with your Accountant

You can grant FreeAgent access to your accountant which means they have full visibility of your accounts in real-time. This enables your accountant to offer seamless support and strategic guidance and advice based on the shared data in FreeAgent. You also don’t have to waste time forwarding financial information to them as they can view it in FreeAgent. This greatly simplifies accounting tasks such as tax preparation and submission and general financial management.

Gorilla Accounting and FreeAgent

As FreeAgent Platinum Partners, we are proud to provide full FreeAgent access to all our clients free of charge included in our great value, fixed-fee accounting packages.

If you would like a FreeAgent demo or are interested in appointing Gorilla, you can speak to a member of our New Business Team on 0330 024 0406 or request a call back here.