Outsource Accounting Service for Construction Industry

We believe that a contractor’s ambitions should never be limited by a bookkeeping system that keeps them in the dark. They are very efficient and always get back to us quickly if we have any questions. However, the process will go smoother if you have a clear paper trail for your business. Having a separate business account is key to creating an audit trail.

• Bookkeeping and accounting for construction companies are challenging due to highly complicated accounting rules and tax regulations.
• Factors like the price of equipment, labour and materials can change quickly.
• Look for a solution that can calculate, process, and distribute payments to your employees and subcontractors.
• You can sync it with your bank account to import expenses automatically or simply take a photo of a receipt to import it into your account.
• When using this method, you recognize revenue as a percentage of the work your company completed during a period.
• Revenue recognition is the process of officially recording how and when your business generates revenue.

These can be journals kept by hand on paper, in a spreadsheet or managed through accounting software. It’s crucial to have something tracking daily transactions, though; it’s important not just to balance the books, but to help maintain an understanding of company costs for better job bidding. Construction bookkeeping can differ from traditional bookkeeping because construction companies have unique financial needs. For example, they usually have longer billing cycles than other businesses, which means it may be difficult to forecast revenue accurately.

PROGRESS BILLING

Based on the contract, schedule accounts payable as needed so that no accounts go overdue. That means you need a better understanding of the company’s finances. Without proper job costing, you have no idea if your projects are making or losing money. Affordable construction accounting, construction bookkeeping bookkeeping, payroll, reporting, and CFO services for construction related businesses of all sizes. QuickBooks Setup - And choosing the correct QuickBooks Version is the most critical part of all because it is the foundation upon which your entire financial system is built.

Unfortunately, this becomes so commonplace that even once the business is established and successful, expenses are still paid out of a personal bank account. Do you have operations in the construction industry and are finding it hard to maintain all your accounting records and transactions? Are you struggling to generate timely financial reports and statements that precisely reflect the work your firm is performing?

Construction Accounting Service

Using Hubstaff’s time tracking app for construction businesses, you can automatically generate time cards for your workers. This ensures payroll receives accurate data for the time workers spend on-site, as well as time spent traveling. Custom financial reporting and a team approach to your financial systems needs means you’ll get more out of your data—like the ability to know which jobs are worth pursuing. Accurate and meaningful reporting is the foundation for successful business management decision-making, and we can teach you how it works.

• When You Become A Client - Then we can tap into our resources of knowledge and strategy banks.
• Dave Nevogt is an American entrepreneur and the co-founder of Hubstaff, a workforce management software company.
• When your bookkeeping is organized, your business is more profitable.
• Companies that invest in their own equipment need to include the maintenance costs of that equipment in their overhead estimation.
• Make sure to take advantage of these free trials when you’re shopping for your next bookkeeping solution.

We understand many small business owners are working insanely hard for little reward, and may be unsure why professional bookkeeping is important. Let our experienced bookkeepers take the burden of managing financial statements off your shoulders and teach you to use accurate financials to make better decisions for your small business. Most bookkeepers are unfamiliar with the journal entries and payment applications construction companies and home remodelers need to keep track of, but not us.

Quick Turnaround Time

Your Board of Advisors and especially your banker will be unhappy; however, they may not say it outright, just that your loans, lines of credit and referral opportunities may be limited. Construction production is product-based, decentralized, and long-term. Many industries operate using billing processes like fixed-price and point-of-sale billing. However, since construction companies use a number of billing methods, specialized software might be required to track those billings.

We take the unique financial and operational needs of construction companies and contractors into consideration. More than an outsourced construction accounting service, the Giersch Group has the resources to become a valuable asset to your business. Contractors operate their business primarily around projects with billing, production, or labor. Company’s profit margins determine the contractors’ livelihood; so it’s essential to stay organized with bookkeeping.

Typical List of Overhead Expenses in a Construction Business

Virtual Construction Assistants supports construction companies with bookkeeping and accounting services to ensure that all your books, invoices, and records are in order. The key is setting up an efficient bookkeeping system that is unique to the specific needs of your construction business. We will cover how construction bookkeeping differs from bookkeeping in other industries and offer some construction bookkeeping tips on how to make your construction bookkeeping solution an easier process. When contracts are on the line, you can’t afford to waste time with inefficient bookkeeper and incompatible services.

• Now you’re a business owner, which requires a completely different skillset.
• We are able to sleep at night and not worry about payroll, subcontractors' payments, IRS issues, etc...
• For example, the software can keep track of project expenses, invoices, cost-plus hours, etc.
• With our professional bookkeeping services, you'll never have to worry about a lost receipt or spend time pouring over construction job costs again.
• For more information about accounting for construction business services, write us or contact us today!
• While hiring an in-house bookkeeper has its benefits, it can also be very expensive, especially for a smaller business.