Do I need an accountant for a limited company?

One of the first questions founders ask after forming a limited company is whether they are legally required to use an accountant — and if not, whether it is still the sensible thing to do. The answer involves understanding both what the law requires and what is practically realistic for a director managing their company's finances and statutory obligations.

There is no legal requirement for a UK limited company to engage an accountant. Directors are responsible for maintaining financial records, preparing accounts, and making statutory filings on time — obligations they can fulfil personally. In practice, most limited company directors do use an accountant, because the combination of Corporation Tax, payroll, VAT (if applicable), and annual accounts creates a complexity that is difficult to manage accurately without professional support.

Whether you need an accountant depends on your financial knowledge, how complex your company's affairs are, and how much time you can invest in compliance. Getting statutory filings wrong — penalties from HMRC and Companies House can be significant — often costs more than professional support. Our guide to accounting for limited companies explains what is involved and how to find the right accountant.