Accounting & Finance

Construction Accounting & Finance

Effectively managing the accounting and finacial function of your construction company is critical to gain a successful, profitable business. Our articles from industry experts provide information on a range of subjects in construction accounting including: applying the percentage-of-completion method or completed contract method, job costing, improving cash flow and managing debt, reducing overhead, understanding financials, implementing tax strategies, performing audits, building equity and wealth, implementing a construction accounting program, using construction accounting software, and hiring a payroll provider.

Are You Actively Managing Your Expenses

Times have been very good for the construction community over the recent past. With the exception of the real estate market, all phases of construction seem to be operating on all cylinders. This has resulted in strong profits for many companies. However, all good things eventually end. Whether it is an economic slowdown or just a bad job or two, sooner or later good times come to an end. When this happens, are you in position to react quickly by cutting back in areas not essential to operations? Do you know what those areas?

Tags: accounting , costs , financial

Tax Tips for Construction Contractors

As 2007 comes to an end and planning for 2008 begins, construction contractors should keep in mind these tax tips that can possibly help them save money for their companies in the long run:

1. Examine your capital asset depreciation methods and lives. “Catch-up” deductions are possible on under-depreciated existing assets. You may be able to write off 100 percent of the under-depreciated amount in the current tax year without amending past returns by filing an automatic change in accounting method.

Tags: accounting , financial

5 Steps to Measure, Monitor and Manage Cash Flow

Construction Business Owner, February 2008

Every business owner knows that feeling like no other: You’ve just landed new business, and it’s difficult not to boast a little about your company’s rising profits. But when was the last time you—or any business owner you know—boasted about cash flow? Healthy cash flow doesn’t exactly come with the same bragging rights as new business, and very few friends will be inclined to raise a glass to your business’s cash-flow situation, but keeping cash moving through your business is just as critical to success as new business and strong profits.

Tags: 2008 February Issue , accounting , financial

Survive Tough Economic Times

Construction Business Owner, January 2008

In today’s tough economic climate, it can be a real challenge to survive until things improve. In good times, work is plentiful, and even marginal or poorly managed firms can be successful. Tough times present an opportunity for you to review your operations, make an effort to understand what works and doesn’t work for you and intitiate constructive change that will make you a better managed operation. This will not only help you get through today’s tough times, but it will also better prepare you to thrive and grow once things get back to “normal.” In a nutshell, you need to revisit some basics and be open to change.

Tags: 2008 January Issue , accounting , analysis , financial , management