All Contractor Bookkeeping Services Are Different – Some are good, some not so good. There are some Red Flags to watch for and avoid that could cause your construction company in Arizona more pain than you are experiencing now! Whether you need assistance with tax preparation or financial management, Foster Financial is here to guide you every step of the way. Empowering entrepreneurs with seamless bookkeeping solutions, tailored for diverse business landscapes. An essential piece of your financial system to provide a clear and accurate picture of your company’s financial position.

• Chris combines his experience in tech and construction to build products that actually help SMB contractors improve and streamline their business operations.
• If your accounting & bookkeeping is way behind, you should connect with us today because those ugly books are costing you.
• A surefire way to lose out on project profitability is to do work you’re not paid for.
• The problem is, construction accounting is entirely different from accounting in other industries.
• Because construction is project-based, you need a way to see how well individual projects are performing at a granular level, instead of trying to get a grip on your company’s financials from five miles above.
• We know exactly what it takes to create a more scalable and profitable construction business, while ensuring that the IRS and State tax authorities are kept at Bay because everything’s done perfectly.
• While regular accounting focuses on day-to-day financial operations, remediation addresses deep-rooted financial problems.

Bookkeeping & Taxes Made Easy

• Real Estate Visionaries driving real estate projects, managing land acquisition, design, and construction processes.
• BeachFleischman provides tax, audit, and advisory services to construction companies and contractors in Phoenix and across Arizona.
• The unstable labor market is impacted by a lack of skilled and unskilled talent necessary to start or complete new and existing projects.
• For larger clients ($30 million+), we provide staff augmentation services around accounts payable, payroll, lien waivers, billings, and more.
• If you want to grow sustainably, this is a construction accounting principle you have to master.
• It’s definitely a mindset shift, but the good news is, no matter what kind of contractor you are, your construction firm’s needs are going to look pretty much the same.

RedHammer specializes in comprehensive accounting and financial management services for construction companies. Our services include job costing, payroll management, accounts payable and receivable, financial reporting, cash flow forecasting, and more. We also offer remediation services for companies facing major financial or operational challenges and assist with software implementation and optimization. RedHammer specializes in the construction industry, with deep expertise in job costing, financial reporting, and software integration. We understand the unique challenges construction companies face and provide tailored solutions to meet your specific needs.

Contact Our Arizona Construction Experts

To maintain a positive financial position, you’ll want to use progressive billings (aka progress billings). Instead of a lump sum at the end, progress payments are made in regular installments (usually monthly) as a project progresses. Maintaining a healthy business also means learning how to correctly recognize and report your revenue. There are four revenue recognition methods, but for the sake https://www.bignewsnetwork.com/news/274923587/how-to-use-construction-bookkeeping-practices-to-achieve-business-growth of this guide, we’re going to focus on the percentage of completion method (POC), which is what most contractors end up using.

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Choosing the right accounting method for your construction business is important. Your choice depends on type of contracts, contracts’ completion status at the end of your tax year, and average annual gross receipts. You are not limited to one method and many companies use one method for long-term contracts and another for everything else. If you settle for a reactive or simple construction bookkeeping service rather than a comprehensive outsourced accounting service, you’re going to overpay in tax while construction bookkeeping missing out on wisdom derived from your financial records.

BeachFleischman provides tax, audit, and advisory services to construction companies and contractors in Phoenix and across Arizona. If you have questions or would like additional information about our services, complete the form below and a team member will follow up shortly. We specialize in helping contractors and construction companies of all types and sizes with their bookkeeping, tax reduction planning, financial guidance and year-end tax returns. When you partner with Oversight Bookkeepers for your construction bookkeeping services in you can expect a personalized, hands-on approach from a dedicated team of professionals. Trust us to handle your financial records with precision and care, allowing you to focus on growing your construction business with confidence. The better you’re able to integrate all the elements that affect your profitability, the better you’ll become at project management, estimating future jobs, and controlling costs on and off the job site.