HMRC’s Making Tax Digital programme is accelerating the move to digital record-keeping for businesses across the UK. For accounting practices advising clients through MTD compliance, operating a paper-based practice creates an obvious contradiction. The firms best placed to guide clients through digital transformation are the ones that have already done it themselves.
What does a fully paperless accounting practice actually look like?
In a paperless practice:
- Client documents arrive digitally, either uploaded via a client portal or captured through a scanning app
- Engagement letters and proposals are signed electronically
- Workpapers are prepared and reviewed in cloud-based software
- Files are stored in a secure, searchable document management system
Nothing is printed unless a client specifically requests it, and even then it’s the exception.
From a day-to-day workflow perspective, the visible markers of a paperless practice are:
- A client portal for document exchange
- A cloud-based accounts production system
- Electronic signatures on all engagement documents
- A document management system that holds all client files in a searchable, version-controlled archive
What are the four building blocks of a paperless accounting practice?
- Client document collection: Replace email attachments and physical post with a client portal where clients upload documents directly. Automated reminders chase outstanding documents without manual follow-up.
- Digital workpapers: Move from printed workpaper files to cloud-based workpaper software where preparation, review, and sign-off all happen in the same platform.
- Electronic signatures: Engagement letters, letters of representation, and client authorisations signed via e-signature are legally valid under UK and Irish law and require no printing, scanning, or postage.
- Cloud document storage: A central, secure, searchable archive that replaces filing cabinets and shared drives with something accessible from anywhere and auditable at any time.
What tools do accounting practices use to go paperless?
BrightWorkpapers by Bright replaces printed workpaper files with a cloud-based workpaper and accounts production platform, connecting trial balance, workpaper preparation, and final accounts in a single digital workflow.
BrightManager by Bright provides an online client portal for clients to upload and store documents and the ability to e-sign forms. On a team-level, you can send automated reminders to clients on upcoming deadlines, manage your team’s end-to-end workflow, track time and profitability, and much more.
How does BrightManager compare to Karbon?
BrightManager by Bright has been built specifically for accountants, by accountants, to make their working lives easier. BrightManager by Bright is also integrated with other Bright products, including BrightPropose, BrightTax and BrightAP. If you create a proposal in BrightPropose, the onboarding tasks are automatically added to your team’s workflow. For BrightTax and BrightAP, client details are automatically synced between the platforms. So, if you makea. change in one software it will automatically be changed in the other, ensuring data is seamlessly correct at all times.
