Do you own a construction business that is suffering from sloppy job cost estimates, incorrect overhead calculations, poorly managed change orders, etc.? From accurate cash flow management to complete expense tracking, our construction accounting and bookkeeping services are here so that you can focus on building while keeping your taxes paid.
Our Construction Accounting and Bookkeeping Services
- Financial analysis and reporting services
- Budgeting and forecasting
- Tax planning and compliance
- Audit preparation and support
- Cash Flow Management Services
- Project cost accounting
- Job cost tracking and analysis
- Accounts Receivable Service
- Accounts Payable Services
- Payroll Processing Services
Velan Accounting and Bookkeeping Construction Services:
Our construction accounting services and bookkeeping for the construction industry are designed to simplify the complexities of managing your finances in a contracting business. Our construction functional update services include workflow consulting and monthly bookkeeping, just to mention a few. We help you to streamline your financial processes systematically. Simplifying how they are done will allow for quicker reaction times and make it easier to remain compliant with industry mandates.
Here is how we go about it:
- Record costs for all the construction work, such as material costs, labor expenses, overhead, etc.
- Employ state-of-the-art construction accounting and related tools to facilitate the automation of the most repetitive portions.
- Separate accounts for materials, labor, and any subcontractors or major equipment purchases
- Organize all receipts and invoices for any construction or repairs to reconcile your books with the intent of making sure that no expenses are being recorded incorrectly.
- Regularly reconcile accounts to catch mistakes or discrepancies and ensure financial statements are free of errors.
Prioritization and specific best practices: cost accounting, cash basis accounting for tax purposes (increasing profitability), and effective staffing plans. But to do that, you need the information provided by working on a task, whether it is going well or not, and then creating productivity controls.
Benefits of Construction Accounting and Bookkeeping Services
The latest data shows that 65 per cent of business owners tend to choose an accountant who is experienced and/or specializes in their industry. These characteristics also apply to the construction business, and hence a construction bookkeeper performs industry-specific services that could be of assistance. Benefits of Outsourcing Construction Accounting Services
Better Financial Management:
Whether you are an independent contractor or a large firm, proper control of your money is necessary to survive as a construction company. Blame it on your construction accountants, but managing all those books and making sure everything is in line with your bank is often the hard part. Velan will keep your construction business safe and free from these issues.
Improved tax compliance:
Construction companies have to adhere to a myriad of regulations and laws about taxes that can oftentimes be very difficult and time-consuming to understand. Failure to comply may result in penalties, fines, and legal action. To meet their tax obligations, many construction companies choose to outsource their accounting and bookkeeping services to experienced professionals.
Increased Accuracy:
Most importantly, clear and precise financial reports are needed to establish if a company is making money or not, to see where the costs lie, and also to make competent decisions. Yet, maintaining precise financial records is challenging and time-consuming for construction firms that lack accounting know-how. This is where outsourcing construction bookkeeping services to a third-party service provider comes into the picture, helping organizations increase accuracy and ensure accurate financial reporting.
Better Decision-Making:
Construction companies must make sure they have this visibility to be able to successfully guide the following important financial decisions: budgeting, cash flow management, and project costing. The problem is that it is difficult for you to make informed decisions when your financial data is not accurate and timely. Thus, construction enterprises can gain reliable financial reporting and analyses that help make better decisions by transferring their accounting management to a third-party entity.
Why should you choose Velan for construction accounting and bookkeeping services?
Our accounting services are ranked as the best construction accounting firms because we have experience over the years and know how to tailor the accounts. We will handle everything from the simplest bookkeeping to payroll, payables and receivables accounting, inventory accounting, budgeting and forecasting analysis down to cash flow forecast projection, including reporting of your finances for any tax compliance needed, etc. We have a proven history of being able to correctly manage the finances of construction companies at all levels, no matter if they are small fledgling businesses or major corporations.
Construction accounting FAQs
1. What is the most common construction accounting program used for back-office accounting and financial management software?
Contractors QuickBooks and CMiC are the two most common construction accounting software programs. But that choice necessitates a bit of nuance, as there are literally dozens of ways to go about it, each with its upsides and downsides.
2. How do I get the right construction bookkeeping services?
Choosing a bookkeeper for building your company is the way to go if you want your construction company to be ingrained.
That is why you have to pick very carefully who will be your building and construction bookkeeper. Consider bookkeepers with other roles.
- Expert-level experience with advanced construction accounting software and managing projects, large or small.
- Demonstrated a history of professional integrity and performance
- Affordable plans and pricing
3. What does a bookkeeper do for a construction company?
There are many types of bookkeeping services, but for most construction companies, the most important element is construction bookkeeping.
- The bookkeeping service utilizes sophisticated construction accounting software and tools.
- Cost of work and overhead calculation
- Calculate labor costs.
- Calculate the direct and indirect costs.
- Payroll and AP execution
- Create financial reports.
- Manage multiple bank accounts.
- Compile business receipts.
- Record expenses and income.
- Cash flow analysis
Bookkeeping Services for CPAs