Diploma Small Business Financial Control

This qualification is designed for, and ideal for, those embarking on self-employment or taking responsibility for the financial management of a small business. The qualification is offered at Level 3 and holders of the ICB Level 2 Manual Bookkeeping will be exempt from modules 1 and 2. Holders of the Diploma in Payroll Management will also be exempt from Module 3.

The qualification comprises seven (7) modules each assessed by a case-study assignment which is to be submitted to Ideal Schools for correction/marking. Upon completion of the course, copies of the assignments are forwarded to an ICB specialist for external assessment.

Successful students will attain Affiliate Membership of the ICB, and the designation (SBFC Dip) after their name.

Module1 - Accounting Records

• The Accounting Equation.
• Business Documents and their purpose in both buying and selling.
• Accounting for cash and bank; the analysed cash book including basic recording of input and output tax (VAT).
• Bank Reconciliation Statement.
• Accounting for petty cash.

Module 2 - Value Added Tax (VAT)

• Registration requirement.
• Inputs and Outputs, standard rated, exempt and zero rated supplies.
• Identify and calculate relevant inputs and outputs including the treatment of cash discount and bad debt relief.
• Accruals accounting and cash accounting basis.
• Accounting treatment for VAT.
• Completion of the VAT return.

Module 3 - Payroll

• Methods of remuneration and calculation of Gross Pay.
• Statutory and Voluntary deductions.
• The principles of the system of PAYE.
• The preparation of the payroll.
• Starters and Leavers.
• HMRC forms and returns monthly and annual.
• The principles of SSP and SMP.

Module 4 - The Preparation and Interpretation of Financial Statements.

• The profit and loss account.
• The Balance Sheet.
• The above will include the treatment of provisions and adjustments.
• Mark-up and Margin.
• Performance Indicators to measure:

Module 5 - Taxation and the Self Employed

• Preparation of accounts for tax purposes.
• Adjusting profit for non-allowable expenses.
• Capital Allowances, balancing allowances and balancing charges.
• Personal and other allowances.
• The tax liability including class 2 and class 4 NI.
• The small Ltd Company and taxation.

Module 6 - Pricing the Product or Service

• Direct and Indirect Costs.
• Cost behaviour; Fixed and Variable Costs.
• Recovery of Overhead.
• CVP (cost, volume, profit analysis including break-even).
• Target Costing.

Module 7 - Working Capital Control and Forward Planning

• The working capital cycle and its effect on cash flow.
• The principles of credit control (control of debtors).
• The preparation of functional budgets and the cash flow forecast.
• The preparation of the forecasted profit and loss account and balance sheet.
• Methods of funding short term deficits and short term surplus cash management.
• Analysis of forecast to actual expenditure through variances and their timely reporting

ICB Registration
Your course fee will include your first year ICB Student Registration, and will also cover the cost of