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Sector I

Professional Practices

Partner-owned firms where profit is earned by time and drawn by people.

Why it differs

Practices carry an unusual accounting shape: revenue recognised against work in progress, profit allocated across partners with differing entitlements, and drawings that must be reconciled to an eventual profit share. The reporting has to serve both the partnership agreement and the individuals inside it.

Recurring considerations

  • 01Work in progress and unbilled revenue recognition
  • 02Partner current accounts, drawings and profit allocation
  • 03Interaction between practice results and personal tax positions
  • 04Succession and partner admission or retirement mechanics

Services most often engaged