Frequently Asked Questions
Our outsourced accounting FAQ page is here because good decisions start with clear information. Before you commit to any outsourced accounting relationship, you deserve straightforward answers to the questions that matter — how we work, what we cover, what things cost, how we handle your data, and what getting started actually looks like. We have pulled together the questions we hear most often from businesses considering working with Northlight and answered them as clearly and honestly as we can. If something is not covered here, you are always welcome to get in touch and ask us directly — no pressure, no sales pitch.
Everything You Want to Know Before Working With Northlight
Browse by category below — we have organised every question by topic so you can go straight to what matters most to you right now.
Categories
General
Services
Engagement & Pricing
Security & Compliance
Data & Confidentiality
Getting Started
Software & Tools
Still have questions?
Our team is here to help.
General
Northlight is an outsourced accounting and finance support business. We work with UK businesses — and accounting firms looking to extend their capacity — providing bookkeeping, payroll, accounts payable and receivable, financial reporting, tax preparation, and accounting services delivered by a qualified team working remotely. We handle the financial work so you can focus on running your business.
We work with a wide range of clients — sole traders, small and medium-sized businesses, limited companies, landlords, and UK accounting firms that want to outsource specific client work or overflow capacity. If you have an accounting or finance function that needs support, it is worth having a conversation with us about what that could look like.
Northlight operates with a UK-facing team supported by an experienced offshore accounting team. Our client-facing communication, account management, and quality oversight is handled from the UK, while a significant portion of our processing and delivery work is carried out by our offshore team — giving our clients access to high-quality accounting support at a more competitive cost than a purely onshore model would allow.
A traditional local accountant typically focuses on annual compliance — your year end accounts, your tax return, and not a great deal in between. Northlight provides ongoing, year-round accounting support across a much broader range of services — with faster turnaround, greater flexibility, and more consistent availability than most traditional accountancy practices can offer at a comparable cost.
Our services are primarily designed for UK-based businesses operating under UK accounting and tax regulations. If you are based outside the UK but have UK accounting or compliance obligations, get in touch and we can discuss whether our services are a suitable fit for your situation.
Services
We provide a comprehensive range of outsourced accounting and finance services — including bookkeeping, payroll processing, accounts payable and receivable management, tax preparation, financial reporting, and general accounting services. You can find a full breakdown of each service on our services pages, or get in touch if you want to discuss a specific requirement.
Both. We offer ongoing monthly services for clients who need consistent, regular support — and project-based engagements for clients with a specific, time-bound requirement such as clearing a bookkeeping backlog, preparing a set of overdue accounts, or handling a one-off tax filing.
Yes. We process payroll for weekly, fortnightly, four-weekly, and monthly pay cycles — including businesses with mixed pay frequencies across different employee groups. Every payroll run is processed accurately, with RTI submissions to HMRC made on or before each payday.
Yes. VAT return preparation and submission is included as part of our bookkeeping and accounting services for VAT-registered clients. We prepare your return from your reconciled records, review it for accuracy, and submit it directly to HMRC via Making Tax Digital compliant software every quarter.
Yes. We regularly help clients resolve historic compliance issues — whether that is a backlog of unfiled tax returns, overdue accounts that need to be prepared and submitted, or a voluntary disclosure that needs to be managed with HMRC. Acting quickly typically reduces penalty exposure, and we handle the entire process on your behalf.
Yes. Management accounts preparation is available as part of our accounting and financial reporting services — giving you a clear monthly or quarterly picture of your business performance including profit and loss, balance sheet, cash flow, and key performance indicators.
Engagement & Pricing
We offer six engagement models designed to suit different business needs — dedicated resource, project based, team extension, offshore accounting team, seasonal support, and long-term partnership. Each model is structured differently in terms of commitment, pricing, and the type of support it provides. You can find a full description of each model on our engagement models page.
Our pricing is fixed and agreed upfront before any work begins. The cost depends on the specific services you need, the volume of work involved, and the engagement model you choose. We do not charge by the hour for standard ongoing services — you will always know what your accounting support costs before we start.
This depends on the engagement model. Project-based and seasonal engagements are scoped for a defined period with no long-term commitment. Dedicated resource and offshore team engagements typically have a minimum initial period — which we agree clearly during the proposal stage — to allow the engagement to establish properly and deliver its full value.
Yes. Our engagement models are designed with flexibility in mind. If your workload grows and you need additional resource, we can scale up. If your requirements reduce, we can adjust accordingly. We review every engagement regularly to make sure the scope and resource level continue to reflect your actual needs.
We do not charge separate onboarding fees as a standard practice. Any costs associated with getting your engagement set up are discussed transparently during the proposal stage so there are no surprises once you agree to proceed.
We handle the offboarding process professionally — providing full documentation of the work completed, handing over all client records in an organised format, and ensuring there is no disruption to your ongoing accounting obligations during the transition to a new arrangement. Notice periods are agreed clearly at the outset of every engagement.
Security & Compliance
We apply a range of data security measures across our operation — including encrypted file sharing platforms, role based access controls, multi-factor authentication where supported, confidentiality agreements with all staff, and regular security reviews of the tools and platforms we use. A full overview of our data security approach is available on our security and compliance page.
We take our obligations under UK GDPR seriously and handle all personal and financial data in accordance with applicable data protection law. This includes maintaining clear records of what data we hold, limiting access to those who need it, and having a defined process for responding to data incidents where required.
Yes. Every member of our team — whether permanent staff or contracted resource — signs a non-disclosure agreement as a condition of their engagement with Northlight. Client engagements also begin with a formal confidentiality agreement at the organisational level, creating accountability at both the individual and company level.
We have a defined process for identifying, escalating, and responding to potential data security incidents — including notifying affected clients and relevant regulatory bodies where required under applicable data protection law. We take any potential incident seriously and act promptly to investigate, contain, and communicate clearly.
Access to client data within our organisation is granted on a strict need-to-know basis. Only the individuals directly assigned to your engagement have visibility of your information. Access is managed through platform-level permission controls and reviewed regularly — with access removed immediately when team members change roles or leave our organisation.
Data & Confidentiality
Only the members of our team directly assigned to your engagement will have access to your financial data. We do not share client information across teams or allow broad access within our organisation. Access is controlled through role-based permissions and reviewed on a regular basis.
We do not share client data with third parties outside of what is necessary to deliver your service — for example, submitting returns to HMRC on your behalf or working within a cloud accounting platform you have granted us access to. Any third party tools or platforms we use are reviewed for their data handling standards before adoption.
Most client data is stored within the cloud accounting and document management platforms we use — including Xero, QuickBooks, Sage, and secure file sharing systems — all of which maintain their own encryption and security infrastructure. We do not hold large volumes of client data in unstructured local storage.
At the end of any engagement, we return all client records in an organised and accessible format and remove our access to your systems and data promptly. We do not retain client data beyond what is required for legal or regulatory purposes, and any retention is handled in line with applicable data protection obligations.
Yes. If you want to understand more about how we handle your specific data at any point during your engagement — which platforms hold it, who has access to it, or how a particular process works — you are welcome to ask and we will answer clearly and honestly.
Getting Started
The first step is a discovery call — a straightforward conversation about your business, your current accounting setup, and what you are looking for. From there we prepare a tailored proposal outlining the recommended service scope, engagement model, and pricing. Once agreed, we handle the onboarding process and get your engagement operational as quickly as possible.
For most engagements, we can be fully operational within one to two weeks of agreement — depending on the complexity of your setup and the volume of records that need to be reviewed during onboarding. For larger offshore team builds, the timeline is longer and agreed clearly during the proposal stage.
Not at all. Many of the clients who come to us have records that are behind, disorganised, or in need of correction. We assess your current position during onboarding and deal with any backlog or cleanup as part of getting your engagement established — you do not need to have everything tidy before you reach out.
During our initial conversation we will ask about your business structure, your current accounting software, your approximate transaction volumes, and the specific services you are looking for. From there we will let you know exactly what we need to begin the onboarding process — we keep it as straightforward as possible.
Yes. Our project-based engagement model is a natural way to experience how we work without committing to an ongoing arrangement. Many clients begin with a specific project — clearing a backlog, preparing overdue accounts, or handling a one-off filing — and then transition into an ongoing engagement once they are comfortable with how we operate.
Software & Tools
We work across all major cloud accounting platforms used by UK businesses — including Xero, QuickBooks, Sage, and FreeAgent. If you already use one of these platforms we work directly within your existing system. If you are not yet using cloud accounting software we can advise on the most suitable option and handle the setup from scratch.
In most cases you will need access to a cloud accounting platform — but we can advise on the most cost-effective option for your business and in some cases the subscription cost is included within your service arrangement. We will discuss software requirements clearly during the proposal stage so there are no unexpected costs.
Yes. We can support accounting software migrations — moving your data from one platform to another, setting up your new system correctly, and ensuring your historical records are accessible and accurate in the new environment. Get in touch to discuss your specific migration requirement and we can advise on the best approach.
We use encrypted file sharing platforms that require authentication before access and encrypt documents both in transit and at rest. We do not rely on standard email attachments for transferring sensitive financial documents. We will walk you through our preferred document sharing process during onboarding so you know exactly how it works from day one.
We use technology where it genuinely improves accuracy and efficiency — including automated bank feeds, receipt capture tools, and reconciliation features built into the cloud platforms we work within. Any automation we use is reviewed and overseen by our qualified team rather than relied upon without human review — because the accuracy of your financial records is ultimately a human responsibility, not a software one.