Construction Company Bookkeeping For Contractors All Across The USA Including Alaska And Hawaii

Custom Home Builders Have Unique Bookkeeping Needs

Written by Randal DeHart | Thu, Jul 19, 2012

Custom Home Builders Have Unique Bookkeeping Needs

  1. Not Just Any Bookkeeper Will Do - Too often spec home builders hire a bookkeeper and end up with the wrong bookkeeper if they believe all bookkeepers are the same. Nothing is further from the truth. You would never hire a construction worker with a background as a handyman to be on your framing crew because they are trained to take their time, lay out tarps in the work area and think about every piece of lumber before cutting and installing it. They could do a fine job, the only question is how long would it take and would you be able to charge the homeowner enough to make a substaintial profit?

  2. QuickBooks Setup - And choosing the correct QuickBooks Version is the most critical part of all because it is the foundation upon which your entire financial system is built. Put the wrong foundation under your business and it will not matter who is doing the bookkeeping because it will always be a mess and you will never get the reports you really need in order to operate and grow your business profitably. Your Board of Advisors and especially your banker will be unhappy; however, they may not say it outright, just that your loans, lines of credit and referral opportunities may be limited.

  3. Custom Home Builders - Need people trained in construction bookkeeping who understand how to put together a bank draw correctly, not someone with experience in regular bookkeeping. The difference between a Professional Bookkeeping Service and a Cheap Bookkeeper can cost you tens of thousands of dollars a year or more on your bottom line profit.

  4. Custom Home Building - Is similar to other construction accounting because the custom home builder accumulates costs in the Cost of Goods area of QuickBooks. One of the areas where it is different is when the builder negotiates "Allowances" for fixtures and finished goods. Often during construction there are a numbe of change orders, addtions and deletions and a lot of the time the homeowner wants to provide certain materials. Whenever there is a large single peice of equipment or part the custom home builder may ask for a deposit before placing the order. For a short while the deposit is actually a liability not income until the part is futher along in the process.

  5. Professional Construction Accounting Firms - Have a Bookkeeping System to generate the same results every time. During construction there will be some expenses that should be properly allocated to Direct and Indirect Costs of Goods sold and some to Expenses and only a Skilled Professional Bookkeeping Service knows the difference.

  6. Many Bookkeepers Have Been Stumped - Trying to force QuickBooks to do the accounting for custom home building and I understand and empathize with their plight. We spent years and thousands of dollars developing a process that works with QuickBooks. And every year we continually innovate and add new features and benefits to it! We know what to do! 

  7. Custom Home Builders - Who also do some remodel work, buy houses for rental inventory and buy houses to fix up and sell, house flippers, create special problems for regular bookkeepers. There is only one method that works well and we have we have a system that allows all the bookkeeping to be done inside QuickBooks and it can save you time, manage cash flow and save money on taxes. We know what to do!

  8. Complex Bank Draws - And owners who insist on full accountabilty using their own form, their lenders forms or ours with milestones, multiple deposits, payments, changes, payment history and running totals that your client can follow is something we can prepare for you and send them to you as often as you need them.

 

What You Can Expect From Our Custom Home Builder Contractor Bookkeeping Services:

In The Long Run We Are Less Expensive Cheap Bookkeeper

And We Offer Cloud Based Desktop QuickBooks

 

  • Fully functioning QuickBooks desktop version

  • Export to Excel and Word which is part of the service

  • Print anything directly from QuickBooks, Word or Excel on your own printer

 

 

QuickBooks Expert Specializing In Construction Bookkeeping Services

 

About The Author:

Randal DeHart, PMP, QPA is the co-founder of Business Consulting And Accounting in Lynnwood Washington. He is the leading expert in outsourced construction bookkeeping and accounting services for small construction companies across the USA. He is experienced as a Contractor, Project Management Professional, Construction Accountant, Intuit ProAdvisor and QuickBooks For Contractors Expert. This combination of experience and skillsets provides a unique perspective which allows him to see the world through the eyes of a contractor, Project Manager, Accountant and construction accountant. This quadruple understanding is what sets him apart from other Intuit ProAdvisors and accountants to the benefit of all of the construction contractors he serves across the USA. Visit http://www.fasteasyaccounting.com/randal-dehart/ to learn more.