Accounting for project-based companies

In an agency or consulting business, revenue is typically project-based. This creates a need to be able to follow finances per project or customer – not just at company level. We set up your books so you can see:

Revenue and costs per project
Margin by client
Work in progress
Resource use and capacity utilisation

Billing and work in progress

Many agencies invoice at a different time from when the work is performed. This creates a need for correct handling of work in progress in the books - otherwise your monthly results may fluctuate sharply without reflecting the underlying business.

We help you set up accruals so that your profit and loss statement gives a true picture of the company's performance.

Employees and freelancers

Agencies typically have a mix of permanent employees and freelancers. It requires proper handling of:

Payroll for permanent employees via Danløn or Zenegy
Invoicing and payment of freelancers
Correct allocation of staff costs to projects
Holiday pay, parental leave and other staff-related obligations

Expense management with Pleo

In an agency business, employees often have expenses on behalf of the company – customer-related expenses, travel, software subscriptions and catering. With Pleo, you get company cards for the employees and automatic accounting of all expenses.

Reporting for management

We provide monthly reporting adapted to agency and consulting companies:

Revenue and pipeline by client and project
Gross margin after direct costs
Staff costs as a proportion of revenue
Liquidity forecast and cash flow
Comparison with budget and previous periods

We know the industry

Ekstern CFO works with agencies and consultancies such as Refyne Agency and Brand New Story. We understand the project-based business model and the challenges that come with growing an agency – from initial hires to scaling the team.

Let's have a chat

Do you run an agency or consultancy? Contact us for a no-obligation discussion about your accounting and reporting needs.