Bookkeeping For Construction Companies

Accounting for Construction Company

The construction business is highly prospering these days. It won’t be wrong to say that commercial business category is one of the fastest growth industries for small business. Basically, bookkeeping responsibilities for small construction companies are that their financial records needs to be accurate and well- equipped that will further help in decision making. The construction contractors/ business owners must maintain a record of how much clients owe them and how much money they owe to suppliers and for other expenses.

Bookkeeping for Contractors

Bookkeeping for contractors helps the business roll to a great success. The business transactions should be maintained in daily basis and it should not be missed. Sometimes hiring a wrong bookkeeper to your business can also mess all the accounting tasks eventually making you realize that a small mistake can cost huge business money and further cause critical issues with important financial matters related to your business such as: bills payments, receiving customer payments etc.

Bookkeeping for Construction Companies

Small construction contractors need to keep a watch on how much clients owe them and how much money they owe to suppliers and any other expenses as well. An effective bookkeeper allows a regular record making comprising the entry of transactions on a regular basis without missing a single item/entry. A silly mistake or missed item will turn out the costing. The smart contractors value time, managing accounting tasks and a lot of things other than bookkeeping.

Construction Payroll & Bookkeeping

In a construction business payroll is quite tough. The construction payroll includes union fringes, the current wage rates, the different trades and tax jurisdictions and construction reporting. Many construction companies/ owners are opting for outsourcing construction payroll and bookkeeping services to a reliable construction payroll experts at many outsourcing agencies who have exclusive payroll services built just for contractors.

Outsource Construction Business Bookkeeping

While outsourcing your construction business to a construction bookkeeping service company you need to know that the outsourcing firms are trained in construction bookkeeping and are trustworthy too. Consider about the QuickBooks software set up, which is a bed rock of your construction bookkeeping business. Also you need the QuickBooks version employed should be correct so that it can meet your business needs. If the foundation base of your construction business is wrong it will always be a mess and you will never get the QuickBooks reports you need to operate and grow your construction company.

FAQ’s / Frequently Asked Questions and Answers
Q. How is bookkeeping for general contractors?
A. Construction business has specific bookkeeping and accounting requirements. It comprises of accounts receivable & payable, billing/invoicing, payroll, job costing, customer management, overhead and scheduling.
Q. What is the role bookkeeping for small business?
A. Bookkeeping is crucial to your small business. Some big reasons are: Taxes, Expenses, Cash Flow, Profit & Growth.Q. Which bookkeeping software can be employed to construction business?
A. QuickBooks, Sage, Xero are the most preferred software that can be employed to your construction business.

Construction Cookkeeping Software

• Sage 300
• Sage 100
• Procore
• Eclipse
• Construction Partner
• Contractor Essentials
• Dynamics SL
• Land Gorilla
• Construction Accounting Software by Intuit
• Quickbooks
• MYOB
• XERO
• FRESHBOOKS