VAT Mitigation - VAT PAY is a new product from the Cash Simply stable

VAT PAY is a new product from the Cash Simply stable, built to mitigate the ill effects of the 1st April VAT rule changes for clients and give agencies commercial advantage.

VAT PAY puts clients back in the position they were before the removal of The Staff Hire Concession on the 1st April,

Removal of the concession meant that Agencies could no longer supply and pay Temps but Businesses MUST charge VAT on the whole of the invoice value - and not just the ìmarginî above wage costs :-as they previously got away with. The consequence is an increase in cost of around 12% for clients not registered for VAT , typically those in the Health Care, Charity, Finance and Insurance sectors. In these already tough times, it has taken the smile off a lot of faces

This cost increase will be the ìdeathî of some temp business. But what if you could give your clients a cost reduction and at the same time gain commercial commercial advantage for your agency AND do it all legally? Like the mythical Phoenix, the business would rise from the ashes and your agency would be seen as the good guy.

VAT PAY can make that happen for agencies and their clients.

The solution is for the client to engage the workers - but this creates extra risk.

VAT PAY, (working with the best recruitment lawyers) has taken care of that.

Understandably, clients do not want the hassle of temporary weekly payroll with its fast moving and high churn rate, ensuring correct tax status of temps, calculating Holiday Pay, producing payslips, producing P45s, dealing with temps pay queries and filing of tax returns etc etc so;

VAT PAY takes care of all that

Weekly payments, especially if clients are not set up to make them normally, can produce an unacceptable accounting and administration burden which clients don't want so;

VAT PAY takes care of all that.

Clients have not been used to repeatedly having to find the cash to fund weekly payroll and do multiple weekly BACS transmissions in an auditable and properly reported fashion. Historically they have dealt with such matters simply through their purchase ledger and would like things to stay that way if they are to use temps so;

VAT PAY takes care of all that - and gives them 30 day payment terms.

Agencies have been used to being able to quickly access finance for their temp payroll.

VAT PAY takes care of that.

Agencies have been used to being able to access cash for their profit margin when they got cash to pay temps so it was in their bank the same week the temps got paid.

VAT PAY takes care of that.

Most agencies would like the best web based management reporting in the industry, showing not only the typical weekly gross margin reports but such things as detailed debtor reporting, notification of when payments are received with access to credit controllers notes when they are not, sales and margin trends by client for every year of their business, top ten clients and temps reported, the ability to upload time sheets and not only get confirmation by e mail but access copies of time sheets and invoices from anywhere in the world and much much more, including having a text to let them know the sales , margin and cash going into their account each week (makes being on holiday a lot less stressful)

VAT PAY (using Report Simply's brilliant management reporting engine) takes care of all that.

So if agencies want to gain commercial advantage in the UK, be seen as the ìgood guyî by reducing costs for their clients, improve cash flow and have brilliant reporting accessible 24 hours a day from anywhere in the world; all they need to do is contact Cash Simply and ask about working with VAT PAY.

A face to face meeting with agencies and a full explanation will result and and clients who had smiles wiped off their faces when The Staff Hire Concession was withdrawn, could be smiling again.

Tel 01594 546 585 or e mail to enquiries@cashsimply.com