Forti Ltd accountancy services for Irish café and hospitality business

Switching accountants without disruption: how a busy Dublin café group brought order to payroll, VAT, and compliance across two locations

A thriving Dublin café, two locations, and a limited company structure that needed specialist support

The client is the proprietor of a well-established café business operating across two locations in the Dublin area — one in a north Dublin coastal suburb and one in a nearby commuter village. The business trades as a limited company, bringing with it the full suite of compliance obligations: Corporation Tax, CRO filings, statutory accounts, payroll, PRSI, and bimonthly VAT returns.

With 21 members of staff paid on a weekly basis — alongside one salaried employee on a monthly payroll run — and 150–200 invoices and receipts flowing through the business each month, the operational accounting load is significantly higher than most independent cafés of comparable size. The business was also VAT-registered, required to file bimonthly VAT3 returns through Revenue Online Services, and was using Outmin as its existing accounting software.

The proprietor decided to switch accountants after concluding that the current arrangement was no longer meeting the business’s needs. The goal was to find a specialist firm — one that understood the hospitality sector’s distinctive compliance profile — and move to a clean, fully managed engagement before the financial pressures of the year-end period.

Why hospitality accounting is different

The compliance load that makes café and restaurant accounting uniquely demanding

Cafés and hospitality businesses present a specific combination of accounting challenges that general-practice accountants frequently underestimate. The volume of small transactions is high; the payroll is typically weekly and subject to variable hours; VAT treatment across different product categories (food, beverages, hot vs. cold, eat-in vs. takeaway) requires careful classification; and a limited company structure adds a layer of statutory obligations that a sole trader or partnership would not face.

Weekly payroll for a large hospitality team

Running weekly payroll for 21 employees — the majority of them hourly — is one of the most time-intensive compliance obligations a small business can face. In hospitality, hours fluctuate week to week, tips may need to be accounted for, and errors in PRSI classification can create Revenue exposure. The business also had a salaried employee on a monthly run, requiring both cycles to be managed in parallel via ROS. Without a dedicated payroll service, this workload typically falls on the proprietor or a member of front-of-house staff, neither of whom has the compliance expertise the task requires.

High transaction volume and bimonthly VAT obligations

At 150–200 receipts and invoices per month, the bookkeeping workload is substantial. In hospitality, many of these transactions are small-value purchases — food supplies, packaging, cleaning materials — that must be correctly coded for VAT. Bimonthly VAT3 returns require that all input and output VAT is reconciled accurately within a short filing window. Late or incorrect VAT returns are one of the most common Revenue compliance issues for café businesses, and interest and surcharges can accumulate quickly on relatively modest liabilities.

Limited company obligations on top of day-to-day trading

Trading as a limited company means the business faces statutory obligations beyond those of a sole trader: Corporation Tax returns (CT1), annual CRO filings, statutory financial statements, and formal directors’ duties. Many café proprietors move to a limited company structure for the personal liability protection or tax efficiency it offers — but they are not always prepared for the additional administrative overhead. Having a single accountancy firm responsible for the full scope removes the risk of any obligation falling between the cracks.

Switching accountants mid-year — the transition risk

Changing accountants in any business carries transition risk: records may be incomplete, software access may be restricted, and there is always a period during which the incoming firm is working from historical data it did not itself prepare. For a hospitality business with weekly payroll and bimonthly VAT, even a short gap in active management can allow compliance deadlines to slip. A structured, document-led handover process is essential to ensure continuity.

Engagement process

From first contact to proposal — a structured, transparent onboarding

Forti Ltd’s onboarding process for new clients is designed to gather sufficient information before pricing or committing to a scope — avoiding the vague initial estimates that lead to scope creep and unexpected fees later. For this client, the process moved from first contact to formal proposal in under six weeks.

1. Initial enquiry submitted

The proprietor submitted a contact form requesting service information and pricing for limited company accountancy services, including payroll, VAT, and management accounts. No detailed financial information was shared at this stage.

2. Operational details exchanged

The proprietor provided the key operational parameters: monthly transaction volume (150–200 receipts/invoices), staff headcount and payroll frequency (21 staff, weekly), VAT registration status and filing cycle (bimonthly), and current accounting software (Outmin). A call was requested to discuss requirements in detail.

3. Discovery call completed

A scheduled call took place, during which Forti Ltd gathered further detail on the business’s structure, locations, current compliance status, and priorities. This call allowed both parties to assess fit and confirm the scope of services to be quoted. Following the call, Forti Ltd issued a formal request for documentation to finalise the proposal.

4. Comprehensive document pack submitted

The proprietor gathered and submitted a detailed document pack, including: year-to-date balance sheet and income statement from Outmin; the last three bank statements; the last three weeks of payroll summaries and three PAYE returns; the last three VAT returns; the most recent set of statutory accounts; and the CT1 Corporation Tax return. System access to Outmin and the POS was not provided at this stage — the proprietor preferred to share reports directly, which Forti Ltd accommodated without issue.

5. Formal proposal issued

Following a thorough review of all submitted documents, Forti Ltd issued a formal engagement proposal covering the full scope of services. The proposal set out a fixed monthly fee structure with no hourly billing, no surprise invoices, and a 30-day notice period in place of any lock-in contract.

Scope of services

Everything under one engagement — no gaps, no handoffs

The engagement covers the full accounting and compliance function for the limited company, replacing what had previously been split between the proprietor’s own time and the previous accountant. All services are included within a single fixed monthly fee — eliminating the uncertainty of hourly billing and making cash flow planning straightforward.

Monthly management accounts

Profit & loss and balance sheet produced monthly, giving the proprietor real-time visibility over the business’s financial position — something many café owners only see at year-end, when it is too late to act on the information.

Full payroll management

Weekly payroll runs for the hourly team and a monthly run for the salaried employee, all managed through ROS. Includes PAYE, PRSI, and USC calculations, payslip generation, and Revenue reporting — entirely removed from the proprietor’s plate.

VAT and Revenue compliance

Bimonthly VAT3 filings prepared and submitted via ROS on time, every time. All input and output VAT reconciled monthly as part of the bookkeeping cycle, preventing errors from accumulating between filing periods.

Annual statutory compliance

Statutory financial statements, CT1 Corporation Tax return, and CRO annual return — all prepared and filed on behalf of the limited company. Directors meet their statutory obligations without having to track deadlines themselves.

Dedicated bookkeeper

A named bookkeeper from the Forti Ltd team assigned to the account — providing continuity, familiarity with the business, and a single point of contact for day-to-day queries rather than a generic support inbox.

24-hour response guarantee

All queries responded to within 24 hours — a commitment that matters particularly in hospitality, where payroll queries, supplier invoice disputes, or Revenue correspondence often need a fast, reliable answer during a busy service week.

Outcomes for the business

What changes when a hospitality business gets its accounting right

Moving to a fully managed, fixed-fee engagement fundamentally changes the relationship between a business owner and their finances. For a café proprietor managing two locations, a team of 21, and a weekly payroll cycle, the benefits are both operational and strategic.

Weekly payroll fully managed and removed from the proprietor's workload — staff paid accurately and on time, every week, with all Revenue filings handled as a matter of course.
Bimonthly VAT3 returns filed on time without the proprietor needing to track deadlines or manually reconcile VAT positions between filing periods.
Monthly management accounts produced for the first time — giving the owner a clear, current view of profitability across both locations, rather than waiting for a year-end summary.
All limited company statutory obligations — CT1, CRO filing, statutory accounts — consolidated under a single engagement with no risk of deadlines being missed or obligations falling between advisers.
Fixed monthly fee with no lock-in contract — cash flow predictability for a business where margins are tight and cost certainty matters, with full flexibility to exit on 30 days' notice.
Clean, structured transition from the previous accountant — achieved through a document-led onboarding process that did not require system access to be handed over before the proprietor was comfortable doing so.

FAQs — hospitality accountancy in Ireland

Common questions from Irish café and restaurant owners

These are the questions Forti Ltd hears most often from café, restaurant, and hospitality business owners considering their accounting options.

Should my café or restaurant trade as a limited company or as a sole trader in Ireland?

The right structure depends on your profit levels, your appetite for personal liability, and your plans for the business. A limited company offers personal liability protection and can be more tax-efficient once profits exceed a certain threshold — but it also brings statutory obligations (CRO filings, CT1, statutory accounts) that a sole trader does not face. For a multi-location hospitality business with significant turnover, the limited company structure is often the right choice, but the additional compliance overhead needs to be factored into your accounting costs from the outset.

How does VAT work for a café in Ireland — what rate applies to food and drinks?

VAT on food and beverages in Ireland operates across multiple rates depending on the nature of the product and how it is supplied. Hot takeaway food is subject to the standard 23% VAT rate, while cold takeaway food is typically zero-rated. Food consumed on the premises attracts a reduced rate. Beverages add further complexity — alcohol at the standard rate, hot drinks subject to the reduced rate when served as part of a café experience. For a busy café doing hundreds of transactions per week, ensuring VAT is coded correctly at the point of sale is critical; errors compound quickly across a bimonthly filing period.

How does weekly payroll work for a café with variable hours?

Weekly payroll in Irish hospitality is more complex than monthly payroll because hours fluctuate, staff may be on different contract types, and short-week adjustments need to be processed correctly. Each week, payroll needs to reflect actual hours worked, calculate PAYE, PRSI, and USC correctly, produce payslips, and report via ROS under the Revenue’s PAYE Modernisation framework. Tips — if distributed through the employer — also have employment law and tax implications under the Payment of Wages (Amendment) (Tips and Gratuities) Act 2022. Forti Ltd handles all of this as part of the weekly payroll run.

What documents do I need to switch accountants in Ireland?

A well-managed switch requires your incoming accountant to have: recent bank statements (typically the last three months); recent VAT returns (last two to three filings); payroll summaries and PAYE returns; your most recent statutory accounts and CT1 if you trade as a limited company; and your year-to-date income statement and balance sheet from your current accounting software. You do not need to hand over system access at the outset — as this case demonstrates, it is entirely workable to share reports directly while you build confidence in the new relationship. Forti Ltd will also liaise with your outgoing accountant to obtain any additional records needed.

What is a bimonthly VAT3 return and when does Revenue expect it?

A VAT3 return is the standard Irish VAT return form filed through Revenue Online Services (ROS). Bimonthly filers — the most common filing frequency for businesses above a certain VAT threshold — file every two months, covering January/February, March/April, May/June, July/August, September/October, and November/December. The return and payment are due by the 19th of the month following the period end (or the 23rd for ROS filers using direct debit). Late filing attracts surcharges of up to 10% of the VAT liability plus interest, making timely submission a genuine financial priority.

Can I switch accountants mid-year without disrupting my compliance?

Yes — and for a hospitality business with weekly payroll and bimonthly VAT, getting the right firm in place mid-year is often better than waiting for a year-end transition that may coincide with your busiest trading period. The key is a structured handover: a clear list of required documents, a defined timeline, and an incoming firm with the systems and capacity to absorb the account without a gap in service. Forti Ltd’s onboarding process is designed specifically to make mid-year transitions clean and low-risk.

Still have questions?

If you’re facing financial and tax challenges or need support with business closure, Forti Accountants is here to help! Contact us today to ensure your bookkeeping and compliance are in good hands.