Industries
Professional services
Finbryn keeps books for UK engineering, architecture and IT consulting firms that bill by project or retainer, recognising unbilled work in progress at month end and separating partner drawings from payroll. We work inside Xero or QuickBooks Online and close by business day five, ahead of Self Assessment and Companies House deadlines.
Management report
Illustrative client · August 2026
GBP
| Line | Aug | Jul | |
|---|---|---|---|
| Revenue | 142,380 | 131,904 | +10,476 |
| Cost of sales | (51,260) | (48,115) | (3,145) |
| Gross profit | 91,120 | 83,789 | +7,331 |
| Payroll | (46,300) | (45,900) | (400) |
| SoftwareNoted | (6,480) | (5,490) | (990) |
| Rent | (8,000) | (8,000) | 0 |
| Other operating | (9,215) | (9,870) | +655 |
| Net income | 21,125 | 14,529 | +6,596 |
Reviewer's note
Software is up on last month after two seats were added mid-month. Revenue includes one milestone invoice that will not repeat next month.
Illustrative. An example of the document, not a client's figures.
Exceptions report
Where the books usually hurt
Project-based billing means revenue recognition needs to follow the work performed, not just the invoice date
Unbilled work in progress at month end never gets estimated, so profitability numbers run behind reality
Partner or owner draws get mixed into payroll or general expense instead of tracked as equity distributions
Multiple client engagements running at once make it hard to see which ones are actually profitable
Project billing hides unbilled work
A professional services firm that only records revenue when it invoices a client is always looking backwards. Work performed in the last two weeks of a month, but not yet billed, is real revenue that has not been recognised, and firms that skip it end up with a monthly profit figure that lags behind the actual work being done, which makes it harder to spot a project running over budget in real time.
Finbryn estimates unbilled work in progress at month end using time or milestone data from the practice, and reflects it in the monthly figures so revenue tracks delivery rather than the invoice date. Multiple client engagements running at once are tagged individually, so it is clear which projects are actually profitable and which are being subsidised by the rest of the practice.
Sole traders, partnerships and limited companies
UK professional services firms trade under a mix of structures, and each carries different obligations. A sole trader or partner's drawings are not a wage and should never be coded through payroll; they are an equity movement against the owner's account, distinct from PAYE staff pay. Limited company directors have the same distinction to make between salary, dividends and drawings, and we keep that separation clean in the ledger.
Whichever structure applies, the calendar does not move: a Self Assessment return for a sole trader or partner is due online by 31 January following the tax year, and a limited company's Company Tax Return is due within 12 months of the accounting period end, with Corporation Tax paid within 9 months and a day. We keep the figures ready to that timetable; the actual filing is submitted by you or by the UK agent you appoint. Finbryn does not file with HMRC or Companies House.
Working with Finbryn
You keep your Xero or QuickBooks Online file. A named pod manages your account, with a recorded handover memo if that pod changes, and books are reconciled weekly with the close by business day five. Firms bringing books current after a gap typically start with a catch-up project, priced separately from ongoing monthly bookkeeping, and every file is reviewed by a senior principal before delivery. Pricing is published on our pricing page, with terms set out in your engagement letter.
Questions
Frequently asked questions: Professional services
Do you separate income by individual client engagement?
Yes. Income and direct costs can be tagged by engagement so margin is visible per client, not just for the practice as a whole.
Do you separate partner or director drawings from payroll?
Yes. Drawings and dividends are tracked as equity movements, kept apart from PAYE salary, so the profit and loss and the balance sheet both stay accurate.
Will our figures be ready for the Self Assessment or Company Tax Return deadline?
The underlying figures are kept to the statutory timetable, whether that is 31 January for Self Assessment or 12 months after the accounting period end for a Company Tax Return. Filing itself sits with a credentialed adviser.
Can you track profitability by client engagement?
Yes. Income and direct costs can be tagged by engagement so margin is visible each month, even across several projects running at once.
Can you track work in progress for a fixed-fee engagement not yet invoiced?
Yes, we estimate the value of work delivered but not yet billed at each month end, based on time recorded or milestones reached, so your reported profit reflects work actually done rather than only the invoices raised so far, which can lag delivery by weeks.
Can you estimate work in progress at month end?
Yes, unbilled work in progress can be estimated and reflected in the monthly financials where time or milestone data is available.
Do you track profitability by client engagement?
Yes, income and direct costs can be tagged by engagement so margin is visible each month.
What are the common bookkeeping challenges for a professional services business?
Beyond the basics, partner or owner draws get mixed into payroll or general expense instead of tracked as equity distributions and multiple client engagements running at once make it hard to see which ones are actually profitable come up often in this industry. We build the chart of accounts and reconciliation process around those specific patterns rather than a generic template that ignores how the business actually operates.
What software do you support for professional services?
We work inside QuickBooks Online and Xero, along with the other tools listed on this page that are common in the professional services industry. If you have no file yet, we set one up in your name so you own it from day one.
Related services
- BookkeepingMonthly bookkeepingOngoing monthly bookkeeping: transactions sorted into categories, accounts reconciled and month-end reports delivered in the software you already use.
- BookkeepingCatch-up and cleanup bookkeepingMonths or years of books brought up to date and reconciled, with a written record of every adjustment, so monthly bookkeeping can start from a clean base.
Next step
Talk to the team that would run your books
A short call covers your setup, your software and what a first month would look like. You get a written scope and price after it.