Accountants for Creative Agencies
Specialist accounting for design studios, marketing agencies, video production companies and creative businesses across the UK.
Accounting That Gets Creative Business
Creative agencies face a unique financial challenge: project-based income, freelance-heavy teams, lumpy cash flow and clients who pay late. Most accountants don’t understand the model. Magnum Accountancy works with design studios, branding agencies, video production companies, PR firms and digital marketing businesses — we know how creative businesses are structured and we give you accounting that fits the reality of how you work.
Project Income & Cash Flow Management
Project-based income creates feast-or-famine cash flow — a large retainer ends, a big project completes late, a client delays sign-off. We build cash flow forecasts around your pipeline and billing schedule, help you set up milestone payment structures that protect your working capital, and make sure you always have a clear view of where you stand — not just at year end.
VAT for Creative Services
VAT treatment for creative agencies isn’t always straightforward — disbursements, overseas client work, digital services and mixed supplies all have specific rules. We manage your quarterly VAT returns under MTD, handle the treatment of recharged expenses correctly, and advise on the VAT position for international clients so you’re not under- or over-charging without realising it.
Annual Accounts & Corporation Tax
We prepare your year-end accounts and CT600, making sure the full range of creative business expenses are correctly claimed — software subscriptions, equipment, location costs, creative tools and team training. We also assess your eligibility for R&D tax credits, which many creative and digital agencies qualify for without realising it, particularly where work involves innovative technical or design problem-solving.
Payroll, Freelancers & Contractors
Most creative agencies run a hybrid workforce — a core employed team alongside a roster of freelancers and contract creatives. We manage your PAYE payroll for permanent staff, advise on the correct tax treatment of freelance payments and help you stay on the right side of IR35 rules if you engage contractors through limited companies. We make sure your contracts, working practices and payments are structured correctly before HMRC asks questions.
Profit Extraction & Director Pay
Creative agency founders often put off sorting their own pay structure — the business comes first. But leaving profits in the company without a tax-efficient extraction plan is a costly mistake. We set up the right salary and dividend mix for your personal circumstances, factor in pension contributions where appropriate, and review it each year so you’re not losing money unnecessarily as tax thresholds shift.
Growth, Investment & Exit Planning
Whether you’re planning to scale the team, bring in a business partner, seek investment or eventually sell the agency, the financial groundwork needs to be right. We help you build clean, investor-ready accounts, structure equity arrangements tax-efficiently and plan for exit in a way that protects the value you’ve built. Entrepreneurs’ Relief (now Business Asset Disposal Relief) can significantly reduce the CGT on a sale — but only if the conditions are met from the start.
Why Creative Agencies Choose Magnum
We Speak Creative
We understand retainers, pitch costs, project write-offs and the financial reality of running a creative business. You won’t spend your call educating us on how your industry works.
R&D Credits for Creative Businesses
Many agencies miss out on R&D tax credits. We proactively review your work to identify qualifying activities and claim every penny you’re entitled to.
Fixed Fees, No Surprises
One predictable monthly fee covers your accounts, tax returns and ongoing advice — so you can budget for your accountant the same way your clients budget for you.
Ready to Work with an Accountant Who Gets Creative Business?
Book a free 30-minute call with Daxa — no jargon, no obligation.
Daxa Khunti — Managing Director
📞 01223 297374 | ✉️ daxa@magnumaccountancy.com