All firms that deal with client money must be able to demonstrate to clients and other stakeholders, including their regulator, that their accounting methods are:
- efficient; and
To achieve this, all firms handling client money need effective procedures and controls. This includes property managers, letting agents, auctioneers and other firms receiving client money to administer, for example, project managers. Strong processes and procedures help firms to comply with the requirements of the RICS Rules of conduct to preserve the security of clients’ money entrusted to their care.
This section sets out the main requirements that all firms should consider to establish and maintain good accounting procedures and controls, and to prevent problems arising. It also advises on fraud prevention and what to do if fraud is discovered.
This section is maintained by Nick Weller of NW Learning Limited.
Please note: this section does not cover tax. You should consult a taxation practitioner if you wish to obtain tax advice.
RICS standards and guidance
- RICS property measurement
- UK commercial real estate agency
- New rules of measurement
- QS and construction standards
- Residential property standards
- Valuation standards
- List of RICS standards and guidance
- RICS standards and guidance archive
General requirements for client accounting
- Accounting records
- Types of accounting systems
- Client bank accounts and administration
- Client bank account reconciliations
- Controls over client money receipts
- Payments from client accounts and reporting to clients
- Service charges accounting
- Staffing requirements, segregation of duties and internal controls