Agencies must ensure that all client fees and margins are “on the table”, according to David Brocklehurst, managing director Asia Pacific at auditor FirmDecisions.

Financial transparency is a hot topic in the media industry, with allegations of undisclosed margins by agencies and trading desks regularly hitting the headlines.

Speaking to M&M Global at last week’s Festival of Media Asia Pacific 2015 in Singapore, Brocklehurst argued agencies must forget any sense of entitlement over squeezed margins and be honest with clients.

“Issues arise because agencies feel they have a right to do these things. It is much better if all these things are on the table,” he said.

“They’ve built these systems to look for new ways to earn income. This isn’t to say they are all under-the-table deals, but there are related parties all throughout the daisy chain, there are hidden margins, there are volume bonuses and value banks.”

“Procurement have a job to do, and if procurement has taken it too far the agencies have the right to [say so]. No one is forcing them, putting them in a headlock saying, ‘You will take it or else’. It is a commercial decision.”

Watch the full interview with Brocklehurst below