ACCA has produced a series of engagement letter templates for use in the UK
Letters of engagement are mandatory. On accepting an appointment, the practitioner must send the client a letter of engagement.
This forms the basis of a contractual relationship between the practitioner and the client.
A properly worded letter of engagement establishes the framework in which the client relationship is managed.
It should set out the work that is to be performed and the basis on which the fees will be charged. (It is rarely worthwhile suing a client for non-payment of fees if you do not have a letter of engagement in place.)
Many practitioners now limit their liability for work done by an appropriately worded clause in the letter of engagement. The liability cap should be discussed and agreed with the client at the start of the assignment.
Another area that is strongly recommended to be included in a letter of engagement is that of dispute resolution.
Whilst a client should be informed that they have the right to approach ACCA if a dispute cannot be resolved satisfactorily, in the first instance, the engagement letter should explain the firm’s internal disputes resolution procedure.
In particular, it should identify the person within the firm that the client should contact in the event that he or she is dissatisfied with the service received.
ACCA in partnership with VS Consultancy has produced a series of engagement letter templates for a variety of different scenarios. These are available for ACCA members to purchase for £30+VAT.
This time-saving tool consists of self-loading Microsoft Word engagement letter files, which you can then tailor to your needs. The product consists of standard letters of engagement for a series of different business types and services.
It also offers guidance on the following:
This product will run on systems using Windows 97 and subsequent versions. The product uses a Microsoft app to install a shortcut on the computer desktop and is therefore not compatible with Mac computers. However, the individual Word documents can be made available to Mac users.
After you have completed your purchase, you will be sent an email link within two working days from which you can download and install the product. Interim updates are provided free of charge and a GDPR update will be released in April 2018.
If you have not received this email after two working days then please contact ACCA:
Telephone: 020 7059 5954
The current version of this product was launched in May 2016.
An update to reflect the Money Laundering Regulations 2017 was sent to all owners of the current version on 30 August 2017.
A further update that included EU General Data Protection Regulation (GDPR) was sent to all owners of the current version on 30 April 2018.
The schedule of services – Making Tax Digital for VAT (MTDfV) – was sent to all owners of the current version on 18 January.
VAT Notice 700/22: Making Tax Digital for VAT was updated on 18 January 2019. Paragraphs 11 and 12 reference VAT notice 700/22 dated 13 July 2018. There are no changes to the schedule of services resulting from the revision of the revised VAT notice.