Digital Marketing Agencies
Accountants UK
Chartered accountants specialising in digital marketing agencies. We understand your business model, cash flow patterns, and growth trajectory.
Digital Marketing Agencies have unique accounting challenges. Unlike generalist accountants, we understand your business model, your cash flow patterns, and your growth trajectory.
TL;DR
- Monthly management accounts with client profitability analysis
- Tax planning and optimisation for agency-specific structures
- Cash flow forecasting aligned with your revenue patterns
- R&D tax credit assessment for qualifying development work
💡Quick reference summary. Continue reading for comprehensive analysis and context.
Accounting Challenges for Digital Marketing Agencies
Unique challenges that most generalist accountants simply don't understand:
Mixed Revenue Models Complexity
Services (70% retainer, 30% project), software resale (10% margin), productized packages—mixed pricing creates chaos in profit calculation.
Subcontractor Management
You use freelance specialists (copywriters, designers, developers) for capacity. Invoicing them, paying them, staying compliant with IR35—it's administrative burden.
Client Project Profitability Unknown
You manage 20-50 clients with different services, retainers, and project fees. Which clients are actually profitable? You don't know.
Tailored for Digital Marketing Agencies
Services designed specifically for your business model:
Multi-Revenue Model P&L
Services revenue, project revenue, software resale all tracked separately. See gross margin by revenue stream. Identify which is most profitable.
Subcontractor & Freelancer Management
Invoicing, payment processing, IR35 status checks, tax compliance. We handle the administrative burden of your freelancer network.
Client Profitability Dashboard
Monthly P&L per client. See service delivery margins, project margins, software resale margins. Reprice unprofitable clients or drop them.
Monthly Cash Flow Forecasting
Project pipeline + retainer contracts = cash forecast. You see cash crunches 4-6 weeks ahead.
Payroll & Tax Planning
Employee and contractor mix creates tax complexity. We optimize salary/dividend splits and ensure compliance.
Bookkeeping & VAT Compliance
High transaction volume (retainers, projects, freelancer payments, software purchases). Automated reconciliation and clean records.
Why Digital Marketing Agencies Choose Alto
See profit by revenue stream
Services vs projects vs resale
Eliminate administrative burden
Of freelancer management
Know which clients are profitable
Each month
Forecast cash based on pipeline
And retainers
Tax-optimized payroll and contractor strategy
Minimize tax liability
Serving Digital Marketing Agencies Nationwide
We're remote-first, but have deep expertise in these key locations:
Common Questions
How do you handle mixed revenue (retainers + projects + resale)?
What are the IR35 rules for using freelancers?
How do I know which clients are profitable?
Should I pay freelancers as employees or contractors?
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We also work with businesses in complementary industries:
Guides for Digital Marketing Agencies
Expert insights and tools tailored for your business:
Ready to work with specialists?
Get a free consultation with an accountant who truly understands digital marketing agencies. No jargon, no surprises.
We onboard a limited number of new clients each quarter to ensure quality.