Accountants for manufacturers and factories in South Africa, at 1% of business turnover
You run a factory to make products, not to chase stock sheets or SARS deadlines. One Percent Accounting keeps the books for small and growing manufacturers across South Africa: stock and cost of sales, SARS VAT on imports and exports, machinery tax allowances, payroll for your factory team and annual financial statements, all on Xero, for one monthly fee of 1% of your business turnover.
Manufacturing Accounting, Bookkeeping and Tax in one monthly fee
- Month-end stock of raw materials, work in progress and finished goods valued, so your cost of sales and gross margin are right
- Bank feeds, supplier bills, freight and factory overheads captured and reconciled on Xero
- SARS VAT201 returns, with import VAT on raw materials claimed back and exports zero-rated, and registration once taxable supplies pass the R2.3 million VAT threshold
- SARS provisional and income tax, with machinery allowances claimed under section 12C, or 100% in year one for a small business corporation
- Payroll for machine operators, supervisors and admin staff, with SARS PAYE, UIF and SDL (EMP201 and EMP501), for up to 10 employees
- Compensation Fund (COIDA) Return of Earnings, SARS tax compliance PIN and B-BBEE affidavits kept current for tenders and big customers
- Monthly management accounts with gross margin per product line, plus annual financial statements for your bank, partners and SARS
How we take over your factory's Accounting
Book a free online meeting
A 30-minute video call about your factory, your current accountant and what you need from us.
We move your books to Xero
We connect your bank feeds, import opening balances and set up your stock, cost of sales and product lines.
Monthly reports, SARS handled
Each month you get a clear profit and margin report, and your SARS VAT, PAYE and provisional tax are submitted on time.
What a month of Accounting looks like for your factory
Your factory runs as usual. Behind the scenes, this is what we do for you every month.
- Bank and card feeds reconciled in Xero
- Supplier bills for raw materials, freight and overheads captured
- Import VAT matched to your customs documents
- Month-end stock valued and cost of sales posted
- Payroll run and the SARS EMP201 submitted by the 7th
- SARS VAT201 calculated and submitted, with exports zero-rated
- Monthly profit and gross margin report sent to you
What an accountant for your manufacturing business costs
One fee of 1% of your monthly business turnover covers everything on this page, with a minimum of R79 a month excl. VAT. A manufacturer with R500 000 monthly business turnover pays R5 000 a month excl. VAT, and a slower month costs less. Payroll for up to 10 staff is included, and each extra employee is billed separately. There are no hourly bills for questions. See the full fee breakdown.
Accountants for manufacturers in Pretoria, Johannesburg, Cape Town and Durban
One Percent Accounting works fully online, so the service is the same wherever your factory is: Pretoria, Johannesburg, Ekurhuleni, Cape Town, Durban, Gqeberha or a smaller industrial town. Your transactions come in through Xero bank feeds, your documents by email or upload, and meetings happen by video, so production never has to stop for a meeting.
Accountants for small and growing manufacturers
The same monthly service fits food and beverage producers, bakeries, clothing and textile makers, furniture and joinery workshops, metal fabrication and engineering shops, plastics and packaging, printing, chemicals and cosmetics, and building materials such as bricks and concrete products.
Need working capital for stock or a big order? Your Accountant can get your figures ready for Bridgement business finance, our finance partner.
Manufacturing Accounting questions
How much does an accountant for a manufacturing business cost in South Africa?
With One Percent Accounting you pay 1% of your monthly business turnover, minimum R79 a month excl. VAT. That covers bookkeeping, stock and cost of sales, SARS VAT, provisional and income tax, payroll for up to 10 staff and annual financial statements.
What tax allowances can I claim on factory machinery?
New and unused machinery used directly in manufacturing qualifies for a section 12C allowance of 40% in the first year and 20% in each of the next three years. Used machinery gets 20% a year over five years. A small business corporation can write off manufacturing plant and machinery 100% in the year it is first used.
Do I charge VAT on goods I export?
Goods exported from South Africa can be zero-rated, so you charge 0% VAT, but only if they leave within the 90 days SARS allows and you keep the export documents it requires. If not, the sale carries VAT at 15%.
Can I claim back the VAT on imported raw materials?
Yes, if your business is VAT registered. The import VAT paid to SARS Customs is claimed as input tax on your VAT201, as long as you hold the customs release documents in your business's name.
How should my stock be valued?
Stock is valued at the lower of cost and net realisable value, with cost including the raw materials, labour and factory overheads that went into it. We set up a month-end stock count and valuation, so your cost of sales, profit and SARS returns are right.
Do I need a COIDA Letter of Good Standing?
If you employ staff, you must register with the Compensation Fund (COIDA) and submit a Return of Earnings every year. Big customers and tenders often ask for the Letter of Good Standing, so we keep your returns up to date.
Can you take over from my current accountant?
Yes. We request your records, move your books to Xero and handle the handover, usually within the first month.