06/05/2026
You knew. Your accountant just wouldn't listen.
We see this all the time. A letting agent comes to us - frustrated, confused, wondering why their Xero is an absolute nightmare to navigate - and it turns out their previous accountant had included the client account in the business accounts.
As an accountant, you want every asset and liability accounted for. We get that. But that money is not yours.
It's ring-fenced. It's held on behalf of your landlords and tenants. You can't offset it against your debts. It has to be available on demand. The only money that's truly yours is the commission - the moment your fee is earned.
When it's treated incorrectly, your Xero becomes a tangle of landlord codes, misallocated income, and a balance sheet that looks nothing like how your business is actually performing.
Strip it back. Exclude the client account. And suddenly a letting agency is actually quite a simple business. Commission income. Expenses. Profit. Clear as day. š”
That's what we help you see.
Book a free 30-minute consultation at www.lettsaccounting.com or drop us a message.
