About This Template
A well-structured chart of accounts (CoA) is the foundation of a finance function. Every report, every budget, every audit, and every tax filing depends on transactions being coded to the right account. For a fintech, payments company, or regulated EMI, a generic accounting system CoA is rarely adequate: it will not have separate accounts for safeguarded client funds, interchange revenue, scheme fees, or crypto assets, and it will not be structured to produce the regulatory and management reporting the business actually needs.
This template provides a complete, opinionated chart of accounts built for regulated financial services companies. It covers assets, liabilities, equity, revenue, cost of sales, and opex, with account codes in a logical numbering scheme (1000–8999), UK VAT/tax codes for each account, and a Xero mapping tab that shows the closest Xero default account type for import.
The workbook ships with 80+ accounts across three sheets: Instructions, Chart of Accounts, and Xero Mapping. The CoA is a starting point — add, rename, or remove accounts to match your specific business model. The numbering scheme is designed to leave room for expansion (e.g. 1021–1029 for additional safeguarding accounts if needed).
What's Included
Sheet 1: InstructionsAn explanation of what a chart of accounts is, how the numbering scheme works, how to import into Xero or QuickBooks, how to set up cost centres using tracking categories, and how to add new accounts without disrupting the structure.
Sheet 2: Chart of Accounts80+ pre-populated accounts across six sections. Headers: Account Code, Account Name, Account Type, Sub-Type, Description, Tax Code (UK), Notes.
- Assets (1000–1999): Current accounts, savings, safeguarded client funds, money market funds, accounts receivable, deferred revenue asset, prepayments, corporation tax asset, fixed assets, accumulated depreciation, crypto assets (trading and treasury), intercompany receivable
- Liabilities (2000–2999): Accounts payable, accrued expenses, deferred revenue, VAT payable, PAYE/NIC payable, corporation tax payable, short-term and long-term loans, safeguarding liability, intercompany payable
- Equity (3000–3999): Share capital, share premium, retained earnings, current year P&L
- Revenue (4000–4999): Subscription revenue, usage/transaction revenue, interest income on float, FX revenue, interchange revenue, API/platform revenue, setup/onboarding fees, grant income
- Cost of Sales (5000–5999): Payment processing costs, interchange costs, scheme fees, chargeback costs, banking/safeguarding costs, cloud infrastructure, third-party API costs
- Opex (6000–8999): Payroll and people (6000s), marketing (7000s), technology (8000–8099), premises (8100–8199), professional services (8200–8299), insurance (8300–8399), regulatory and compliance (8400–8499), finance and banking (8500–8599), D&A (8600–8699)
Maps each account in the CoA to the closest Xero default account type, with notes on which Xero account classification to select during import, and guidance on tracking category setup for cost centre reporting.
How to Use This Template
- Review and customise: Go through the Chart of Accounts tab and mark any accounts you do not need. Add accounts specific to your revenue model (e.g., staking income, tokenised asset revenue) in the appropriate number range.
- Import to Xero: In Xero, go to Accounting → Chart of Accounts → Import. Xero accepts a CSV with columns: Code, Name, Type, Tax Type. Use the Xero Mapping tab to identify the correct Xero account type for each row. Save the CoA tab as CSV, then reformat to match Xero's import template.
- Import to QuickBooks: In QBO, go to Accounting → Chart of Accounts → New (or import via Excel). QBO does not support bulk import via standard plans — use the account type and sub-type columns to create accounts manually, or use a migration tool.
- Set up tracking categories: In Xero, create tracking categories for department (Engineering, Product, Sales, Operations, Finance) and cost centre if needed. Apply these to every transaction at point of entry. This enables departmental P&L reporting without requiring separate accounts per department.
- Lock the structure after the first month-end: Changing account codes or deleting accounts mid-period creates reconciliation problems. Make all structural decisions before processing the first month of transactions.
Frequently Asked Questions
Can I change account codes after go-live?
In Xero you can rename or recode accounts, but doing so will affect all historical transactions coded to that account — meaning historical reports will show the new name. This is generally acceptable for renaming (e.g., "Bank Account" to "Current Account — Starling"), but changing account codes for restructuring purposes mid-year is best avoided. If you need to restructure, do it at year-end or at the start of a new financial year, and reconcile the opening balances carefully.
How granular should I go with COGS?
Separate COGS accounts should reflect how you manage costs commercially. If you negotiate separately with your payment processor, card scheme, and banking partner, separate accounts for each (5000, 5010, 5020) will help you track cost changes and model unit economics. If all your COGS flows through one provider, a single COGS account with notes is fine. The rule is: if a cost line would change the gross margin calculation in a way that matters for management decisions, it deserves its own account.
How do I separate safeguarding from operating cash?
Use separate bank accounts in your accounting system: one for operational cash (account 1000) and one (or more) for safeguarded client funds (account 1020). The safeguarding account balance on the asset side should always equal the safeguarding liability (account 2600). The difference between total safeguarded funds held and the safeguarding liability is your safeguarding surplus or deficit — this is what your safeguarding audit will verify. Never mix client funds and operating cash, and never use the safeguarding account for operational payments.
