ERP Consultant for the UK

VAT and Making Tax Digital: what your ERP needs to do

For VAT-registered UK businesses, HMRC's Making Tax Digital program means keeping VAT records digitally and submitting returns through compatible software. In practice, the data should flow digitally from your transactions to your VAT return, without manually retyping figures between systems.

That has real implications for ERP design. VAT codes must be applied consistently on sales and purchases. Scenarios such as reverse charge, partial exemption, imports, exports and EU trade after Brexit need to be set up with your accountant's input. If any step currently lives in a spreadsheet, it should be linked digitally or, better still, replaced by the system.

When I deliver ERP consulting for UK clients, I check how each shortlisted platform handles VAT and whether it offers MTD-compatible submission, either natively or through a connector. Software support for MTD changes over time, so I always recommend confirming it with the vendor and against HMRC's guidance, and asking your accountant or tax advisor to review the VAT setup before go-live. My role is to make the system reflect their advice reliably, every period.

Designing systems with UK GDPR in mind

Your ERP and CRM hold a lot of personal data: customer contacts, employee records, supplier representatives, marketing preferences. Under UK GDPR and the Data Protection Act, you need to know what data you hold, why you hold it, who can access it and how long you keep it.

A new system is a good opportunity to get this right. During design, I map where personal data enters, which roles need to see it, and which fields are genuinely necessary. I set up role-based access, record ownership and, where relevant, consent and preference fields for marketing. I also consider where the vendor hosts data and what options exist for data residency, so you can make an informed decision.

I am not a data protection officer or lawyer, and I do not replace legal advice. What I do is make sure the system design supports the policies your business and advisors set, and that it does not create new risks through over-broad access or duplicate copies of data in spreadsheets. If CRM is a big part of your project, my CRM consulting service covers this in more depth.

Choosing an ERP platform for a UK business

UK shortlists tend to be shaped by three questions: how well the platform supports VAT and Making Tax Digital submission, whether it handles sterling alongside euro and dollar trading, and how much support is available during UK working hours once you go live. I assess each option on those points and on how closely it fits the way you actually work.

• Zoho is a practical choice for service firms, agencies and smaller distributors that want CRM and finance tightly linked without a heavy project.
• Odoo works well for wholesalers and light manufacturers who need stock, purchasing, manufacturing and an online shop in one system.
• ERPNext suits businesses comfortable with open-source software and a hosting provider or in-house developer, particularly in manufacturing and distribution.
• Microsoft Dynamics 365 Business Central is a natural candidate for mid-sized firms with more complex finance, several companies or an existing Microsoft estate.

Construction and building services firms should also check how each platform handles the Construction Industry Scheme for subcontractor payments, which is often delivered through an add-on. I turn these points into a weighted scoring sheet through my ERP evaluation work and test them in scripted demos. If you need the detailed requirements written up before you talk to vendors, see my ERP business analyst page for the UK.

Integration and data migration for UK companies

Most UK businesses I speak with already run several connected tools: bank feeds through Open Banking, BACS payment runs, Direct Debit collections for recurring customers, a payroll product that reports to HMRC under Real Time Information, and an online shop or Amazon account. A new ERP has to sit in the middle of all that without creating double entry.

During design I list every integration, decide which system owns each piece of data and agree how errors are flagged. Payroll usually stays in a specialist product, with summarized journals posted to the ERP by cost center. BACS files and remittances are tested against your bank's format before go-live. Where you trade with the EU, I check that commodity codes, country of origin and Incoterms are held on items and orders, because customs paperwork depends on them. My ERP integration service covers the technical side.

Migrating from Sage 50, Sage 200 or Xero is mostly a data exercise: cleaning duplicate customers, retiring old nominal codes, deciding how much history to bring and reconciling the VAT position at cutover. Where possible I plan the switch for the start of a VAT period, so a return is not split across two systems. For how a freelance engagement like this runs, see freelance ERP consultant in the UK, or visit my UK page.

Working remotely with UK teams

I work remotely with businesses across England, Scotland, Wales and Northern Ireland. ERP projects run well remotely when there is a clear plan, a regular rhythm of working sessions and written decisions that everyone can refer back to.

I hold workshops, design reviews and training during your working day, and use the remaining time for configuration, testing and documentation. Typical UK clients include wholesalers and distributors, manufacturers, construction and facilities businesses, and professional services firms, many of whom trade internationally and need multi-currency invoicing and reporting in sterling.

Clients usually stay closely involved: a named project owner on your side, short weekly check-ins and a shared log of decisions and open questions. This keeps the project visible to leadership and avoids surprises late on.

Before any configuration starts, I focus on understanding how your business runs today and which problems matter most. That keeps the project grounded in outcomes rather than features. To see what a typical project involves, read my ERP implementation guide, or contact me to discuss your requirements.