Accounting and financial management is a difficult task in all industries but even more so in construction. Varying lengths of contracts along with a large, transient workforce can make accounting in construction challenging. Unlike other businesses that can take a...
While we all make mistakes, some are more costly than others. No matter the industry, accounting requires diligence and attention to detail to avoid major pitfalls. For construction companies, common errors may be hiding behind the numbers unless great care is...
All accounting uses the same accounting equation: liabilities plus equity-equal assets. Assets are what you own, liabilities are what you owe, and equity is what is leftover. While accounting is vital for any business, in the construction industry, firms and...
Cash Basis The simplest accounting method used in construction, cash basis, allows accountants to record revenue when it is received and when expenses are paid. However, once revenue is recognized and recorded, you must allocate expenses evenly, spanning the entire...
Though accounting is a vital aspect of successfully managing a construction company, mastering your business finances can be quite challenging. Due to the complex nature of the work, construction accounting differs from regular business accounting. While both have the...
