The Letting Partnership discusses the advantages of outsourcing client accounting to a client accounting service provider (CASP)
As a letting agent or estate agent with a lettings portfolio, you have a lot on your plate. From managing properties, dealing with tenants, and handling day-to-day operations, you also must find time to source new business and meet with potential clients. However, one aspect of your business that you cannot afford to neglect is client accounting. As a professional agent, you are responsible for managing client funds in compliance with industry regulations.
Here, we outline the top 5 reasons many agents turn to CASP’s to handle this crucial aspect of their business:
Client accounting can be complicated and time-consuming. It requires a high level of accuracy and attention to detail to ensure that your clients’ funds are managed properly. CASPs are dedicated professionals with expertise in managing client money for letting and estate agents. They have the necessary knowledge and training to ensure that your clients’ funds are managed according to industry standards and regulations. A CASP will handle all aspects of client accounting, from paying landlords and settling contractor invoices to registering deposits and reconciling accounts.
Compliance is a critical aspect of client accounting. Agents are required to comply with various legal regulations when managing client funds. Failure to comply can result in serious consequences, including fines and legal action. By outsourcing your client accounting to a CASP, you can ensure that you are compliant with all industry regulations and guidelines. CASPs have a thorough understanding of the regulatory environment and can manage your clients’ funds in a way that minimises risk By outsourcing your client accounting to a CASP, you can rest assured that your records are accurate and up-to-date, giving you peace of mind and allowing you to focus on your core business.
Outsourcing your client accounting can help you reduce costs by eliminating the need to hire and train additional staff or invest in expensive accounting software. A CASP can provide you with a cost-effective solution that meets your specific needs, saving you money on overheads and allowing you to increase your profitability. This will free up your time and resources, allowing you to focus on other aspects of your business.
You also don’t have to worry about sickness, holidays or staff leaving!
Letting agents who outsource their client accounting to a CASP are able to provide better customer service to their landlords.
By delegating this aspect of their business to a dedicated client accounting specialist, agents can ensure that their landlords are paid on time and that their landlords’ financial transactions are handled with greater accuracy, transparency and efficiency. The agent can then focus on tenant management and property maintenance, resulting in a more streamlined and professional service overall and hopefully leading to long-term relationships and repeat business.
Imagine.. not having to take your laptop on holiday to make sure your landlords are paid!
As your business grows, managing client accounting in-house can become more challenging. You may need to hire additional staff, invest in new software, or upgrade your infrastructure. By outsourcing this function to a CASP, you can scale your business without worrying about these challenges. A CASP can handle all aspects of client accounting, regardless of the size of your business.
For more help on understanding your options check out this article.
We go beyond the typical services offered by automated software solutions, and our distinctive approach revolves around the expertise and dedication of our people.
Our service eliminates the need for agents to even login to the software as they can leave processing the rents and paying the landlords to us.
Each of our Member Agents is assigned an account manager who seamlessly integrates with their existing software. This ensures a smooth transition without the need for any disruptive changes. Your account manager becomes an invaluable part of your team, always ready to assist with any queries and well-versed in your specific software.
Moreover, we offer the flexibility to open designated ring-fenced client accounts on behalf of our Member Agents. Notably, we are among the select CASPs accepted by CMP providers, showcasing our commitment to industry standards. Additionally, our recognition as Propertymark Industry Suppliers further emphasises our standing in the field.
If you are experiencing problems opening or keeping your client account or are considering outsourcing your client accounting then give us a call on 01903 477903 or send us a message.
Originally published on The Letting Partnership’s news blog
The views expressed in this content are solely those of the author alone and do not necessarily represent the views of TDS, its officers, or employees.
TDS is dedicated to supporting the PRS with tech innovations, strategic partnerships and guidance for landlords, letting agents, and tenants.
If you have not yet joined the free TDS Custodial deposit protection scheme or the Insured deposit protection scheme, it’s simple to switch!