Bookkeeping for Pubs as Sole Traders

Running a pub as a sole trader or in a partnership form is not easy as you have to maintain various financial records like an evidence to be produced for any tax paid, accounts and records pertaining to your income and expenses.

  • You’ll require these to complete your several tax returns or answer any questions from HMRC about the returns you complete and submit to HMRC. You are also required to keep your business records different from your personal records and maintain a business bank account for your business.

Get Easy Solutions to your Tiring Bookkeeping Tasks

The basic records of your business must include:

  • A record of all sales and takings.
  • A record of all purchases and expenses.

A profit and loss account is created from the information obtained from these basic business records which discloses all income you have obtained, less any expenses you have paid to disclose what profit or loss you have made. Since all pub businesses are separate there are various types of detailed records you may also need to maintain, some examples are:

  • Wages records
  • Stock records(stock take reports, waste and ullage books, order books.
  • Cheque books, Bank statements, paying in books.
  • Sales and Purchase ledgers(where you record your takings and all the things you purchase for your pub that isn’t covered by petty cash)
  • Invoices and receipts issued and received (till rolls and bills to customers for private parties in function room and payments taken.
  • Cash Book and Petty Cash Book(pubs handle a lot more cash as compared to some other types of business

With Nexa Accountant you can :

Both Individuals and companies are permitted by tax laws for claiming “allowable expenses” with in respect of their business and personal affairs. Some examples are:

  • Direct Costs(including wages) : purchases and goods for resale (foods and drinks etc) and wages & salaries.
  • Premises Costs: office equipment, fixtures & fittings, insurances, repairs, rent, rates, utilities, maintenance and renewals.
  • Motor Expenses: road tax, insurance, fuel, break-down, servicing, tyres, parking, car& van hire or purchase of new motor vehicles, cover, spares, repairs. As vehicles are used for both business and personal travel purposes, it is essential to maintain detailed records of both personal and business mileage for every accounting period so that motor expenses can be claimed for only business use.
  • Top Tip: A single travel expense pubs often have to be claimed for, late night taxis for staff, so in order to have an account with a local firm is the better way for keeping track of payments and expenses.
  • Printing & Stationary : business cards, letterheads, writing paper, pens, pencils, photocopying and printing, general stationery, menus, posters and banners, office equipment(e.g desk, chair, answer phone, computer etc.).
  • Administration: telephone systems and mobile phone calls, postage bank fees, finance charges, hire purchase & bank loan repayments, Self-Employed National Insurance, internet and website costs, advertising, marketing, professional and legal charges(accountant, solicitor, surveyor, stocktaker) professional subscriptions(membership of trade association such as British Institute of Innkeeping),
  • The above list is by no means comprehensive as the accurate nature of your pub business will decide the type of expenses and records etc. you record and claim. It is the duty of your accountant for guiding you on the same.