Ballarat Accountants

Our goal is to empower you to become a better, more finance-focused and well-rounded entrepreneur. Contact us at info@skyacc.com.au or 1300 328 855

Construction is a unique business. Building projects can take months and years and often, you are both an employer and contractor. How do you do construction accounting?

How is construction accounting different?

Those who work in the construction industry know that there is rarely a fixed business structure. The site manager usually doesn’t employ people – they are often contractors. A huge percentage of the construction workforce are contractors who work on several projects at the same time or who employ their subcontractors for help. Temporary workers come and go as necessary and formal payrolls often change weekly. Construction is more changeable and fluid compared with any traditional business. What do you need to know about construction accounting?

Like other business owners, if you are starting a construction business, it’s best to do it correctly right from the start. Get your business and accounts in order before you accept any work. First, incorporate your business to get legal protection. It depends on the type of company you set up – limited liability companysole trader or partnership. Buy insurance because construction is dangerous physically and legally. Insurance will cover you in case anything goes wrong.

You need to hire an accountant, a bookkeeper or both to manage your daily accounts, process your bills, expenses and invoices. Accountants help with business structures and advise on reducing taxAccountants and bookkeepers save you more than they cost – if they are the right accountants for you. It’s also important to keep your skills up to date – your certification and trainings. This is important for builderselectriciansplumberscarpenters and other workers.

Accountants for Construction Business

Construction accounting regulations differ around the world but you may have options on how you want to manage your accounts. You can use cash accounting for smaller construction projects. Expenses and income are accounted for as money changes hands. Income is taxed after expenses are deducted. Accrual accounting is used for larger projects. Expenses and income are accounted for as they are incurred, not when paid. Accounts are based on the part of the contract that has been completed, particularly for projects that take more than one tax year.

Australia has specific construction laws so it can be a complicated topic. Speak with your accountant or bookkeeper to help you avoid costly mistakes.

As a sole trader or contractor, you will rely on referrals for much of your projects so it’s best to build a network of contractors and subcontractors. If you are a builder, get a good carpenter. If you are a plumber, get a reliable electrician. A good social network will help you get larger projects and you get to refer or share work with each other. When making a proposal, make a good impression with professional and well calculated estimates and quotations. Good accounting software will help you create documents to impress clients.

Accountants for Construction Business

Accounting as part of your workflow

You have to do construction accounting regularly by updating your accounting software with cashflow, expense reviews, employee information and invoices every week. If you are not updated, things can get out of hand as construction is a fast moving business. It is important to put accounting into your workflow and use a good accounting software. This is not difficult if you have modern accounting tools that are cloud-based. They are online so you can use any device to access them anytime, anywhere.

You can use your mobile device to send invoices, record bills of materials or track expenses. You will always have the most updated information. You can avoid undercharging because of missed expenses and maximise business tax allowances. You will also minimise audit risks and surprises.

Construction accounting must be taken with caution. You need to keep your cashflow balanced in that big expenses must be match by big revenues. Invoice your clients regularly and be paid upfront for major materials and labour expenses to avoid losing money or even going bankrupt. If payments stop, so should your work. Manage your cashflow properly so you won’t be like other construction firms that fail because of bad debts.

Take time to organise your construction accounting to save you a lot of trouble in the long run.

Accounting for the Construction Industry

The construction industry requires more than the conventional accounting and tax services. Sky Accountants can help your company – we service to the construction sector and focus on specific issues faced by different kinds of construction companiescontractors and professionals. We provide cost reporting analysis, financial statement preparation and analysis, Goods and Services Tax and succession planning. We are experts in various construction areas such as architects, engineers, building services, property developers, project managers, plumbers, electricians, carpenters and audio or visual contractors.

Experts in Construction Industry Accounting

Accountants are important in various industries and hiring the right accountant is just as important in the construction industry. Why is an accountant with expertise in the construction industry important?

There are many prerequisites required for building construction and an expert accountant can identify improved methods of building and help increase desirability of a construction project. There are risks involved in the construction industry and an experienced accountant can help you understand the scope of insurance that you need. Accountants can provide various strategies and techniques to minimise risks and save on costs.

construction business can fall into several categories and business structures like C or S corporations, LLCs and other legal structures. A good accountant can help you start with the right business structure by helping you measure company goals and matching them with the most suitable business structure.

Many construction companies struggle in today’s economy and many contractors are looking for projects with the government. This entails setting up a bond to comply with special rules on bidding for construction projects. It’s important to maximise bond capacity to bid for larger and more lucrative projects and a knowledgeable accountant can ensure that all requirements are met for a competitive bid.

Accountants for Construction Business

Accountants take into account tax strategies and implications to improve your company’s cash flow and profitability so you can work on more projects. Hiring a construction industry accountant can give you many benefits but it is important to hire the most qualified for the job.
 

What should you look for when choosing the right accountant partner for your construction company? What is construction accounting? Construction is a diverse industry. Construction is the process of gathering materials and capital resources and organising labour to build infrastructure such as buildings, roads, dams, bridges etc. There are several types of works under the construction industry – general contractors who oversee each stage of the construction project and subcontractors who focus on finishing a part of the project like electricity or plumbing. Contractors can handle different types of projects such as building shopping malls, super highways or house rehabilitation projects.

Accounting is the systematic recording of financial transactions of a business so you can make good decisions that would benefit the company. With this, construction accounting is a financial system used by contractors to track cost and revenue of a project from start to completion.

Accounting for construction companies is different. Construction accounting is different because construction projects do not have a fixed business structure. A construction project workforce is made up of both contractors and subcontractors and the site manager does not employ them. There are temporary workers that are not needed daily. This alone needs an accountant who is well-versed in the construction industry.

Accountants for Construction Business

Some accounting requisites specific to the construction industry include knowledge on the percentage of completion method. In the construction industry, revenues and costs are dependent on estimates from the contractor. The method tries to match the company revenue with costs that were incurred during the same period. The percentage of completion method needs wise judgments on estimates so your accountant must be knowledgeable on the industry figures. There may be modifications or change order once in a while because numbers are based on estimates.

It is important to hire accountants that are experienced in the construction industry. There are different requirements in the construction industry. It has specific accounting principles, tax regulations, and auditing requirements that govern construction companies. Some investors and surety companies require annual audits so to comply with audits, a contractor’s books must be ready. Financial statements prepared by an experienced accountant can help your construction company improve your bonding and borrowing capacity with investors.

Hire an accountant instead of doing the books yourself. Accounting is not easy and accountants continuously study for years to master it. Not all accountants know the ins and outs of the construction industry so it is advisable to hire an accountant instead of doing the books of your construction company yourself. You will save money because of their knowledge of legal and tax issues. They will help you get a clear idea of your financial standing. You will also have peace of mind knowing your tax requirements are being handled by an expert in construction industry accounting.

 

Accountants for Construction Business

Customised services from construction accountants

Our specialised construction accountants and business advisers can help you in the construction industry. The construction industry is pressured by the government particularly in relation to employment of workers.

Work with Sky Accountants – clients in the construction industry understand the requirements of managing their construction business in terms of hiring employees and contractors, complying with laws and regulations, construction accounting focused on projects, land tax, inventory and capital gains tax, WorkCover and workers compensation audit, and having the right business structure to minimise business risks and maximise returns.

Our team of advisers and accountants can deliver optimised services to our business clients in the construction industry. 

Construction Accounting for Contractors

Contractors are busy answering emails, sorting through paperwork, meeting with subcontractors, reviewing progress and making sure the project and budget are on track. Budgeting is only a part of the project. Contractors consider many financial factors such as billing, labour costs and production. Contractors work on a project bases so things always change.

It is important to understand accounting best practices and have a specialised knowledge of the construction industry. You should know construction accounting but if you do not have a financial background, here are some construction accounting basics all contractors need to know.

Accounting for Construction Business

As you look for different ways to grow and improve your business, seeking professional advice could prove to be an important and helpful decision.

You can click here to speak to a businessaccounting and bookkeeping firm. We also offer hospitality business consultation and mortgage services. We will give you a call to know more about your needs. We will explain to you how we can improve your business.

We would love to help you formulate investment strategies and streamline your processes to take your business to the next level.  Our goal is to help you grow your business, find ways to invest more and increase your productivity.

Email Address: info@skyacc.com.au

 

Business Accountants
Ballarat
 | Ballarat Accountants | Ballarat Accounting Firms | Ballarat
Bookkeeping Firms
 | Ballarat Bookkeepers | Restaurant Accountants in Ballarat |
Accountants for Manufacturing Business in Ballarat | Farm Accountants in
Ballarat
 | Accountants for Medical Professionals in Ballarat | Accountants for
Tradies in Ballarat
 | Company Accountants in Ballarat | Company Bookkeepers in
Ballarat
 | Casino Accountants in Ballarat | Spa Accountants in Ballarat |
Cafe Accountants in Ballarat | Hotel Accountants in Ballarat | Accountants for
Builders in Ballarat
 | Ballarat SMSF Accountants | Xero Accountants Ballarat |
Ballarat Mortgage Broker | Ballarat Financial Advisers | Accounting Services

Ballarat | Bookkeeping Services Ballarat

 

Accounting for Bricklayers | Bookkeeping for Bricklayers | Accountants for Bricklayers in Ballarat | Bookkeepers for Bricklayers in Ballarat | Accounting for Plumbers | Bookkeeping for Plumbers | Accountants for Plumbers in Ballarat | Bookkeepers for Plumbers in Ballarat | Accounting for Concreters | Bookkeeping for Concreters | Accountants for Concreters in Ballarat | Bookkeepers for Concreters in Ballarat | Accounting for Flooring Company | Bookkeeping for Flooring Company | Accountants for Flooring Company in Ballarat | Bookkeepers for Flooring Company in Ballarat | Accounting for Carpenters | Bookkeeping for Carpenters | Accountants for Carpenters in Ballarat | Bookkeepers for Carpenters in Ballarat | Accounting for Earthworks Contractors | Bookkeeping for Earthworks Contractors | Accountants for Earthworks Contractors in Ballarat | Bookkeepers for Earthworks Contractors in Ballarat | Accounting for Landscapers | Bookkeeping for Landscapers | Accountants for Landscapers in Ballarat | Bookkeepers for Landscapers in Ballarat | Accounting for Electricians | Bookkeeping for Electricians | Accountants for Electricians in Ballarat | Bookkeepers for Electricians in Ballarat | Accounting for Painters | Bookkeeping for Painters | Accountants for Painters in Ballarat | Bookkeepers for Painters in Ballarat | Accounting for Handyman | Bookkeeping for Handyman | Accountants for Handyman in Ballarat | Bookkeepers for Handyman in Ballarat | Accounting for Construction Companies | Bookkeeping for Construction Companies | Accountants for Construction Companies in Ballarat | Bookkeepers for Construction Companies in Ballarat | Payroll Services | Business Advice | Discretionary Trust | Tax Accountants | Family Trust | Bookkeeping Companies | Set Up Trust | Payroll Companies | Tradies AccountantManufacturing Accounting

Office Address: 902 Howitt Street, Wendouree, Victoria 3355, Australia

Postal Address: PO Box 2234, Bakery Hill, Victoria 3354

Business Accountants
Melbourne
 | Melbourne Accountants | Melbourne Accounting Firms | Melbourne
Bookkeepers
 | Melbourne Bookkeeping Firms Restaurant Accountants in
Melbourne
 | Accountants for Manufacturing Business in Melbourne | Farm
Accountants in Melbourne
 | Accountants for Medical Professionals in Melbourne |
Accountants for Tradies in Melbourne | Company Accountants in Melbourne |
Company Bookkeepers in Melbourne Casino Accountants in Melbourne | Spa
Accountants in Melbourne
 | Cafe Accountants in Melbourne | Hotel Accountants in
Melbourne
 | Accountants for Builders in Melbourne | Melbourne SMSF Accountants |
Xero Accountants
 Melbourne | Melbourne Mortgage Brokers | Melbourne Financial Advisers
Accounting Services Melbourne | Bookkeeping Services Melbourne

Accounting for Bricklayers | Bookkeeping for Bricklayers | Accountants for Bricklayers in Melbourne | Bookkeepers for Bricklayers in Melbourne | Accounting for Plumbers | Bookkeeping for Plumbers | Accountants for Plumbers in Melbourne | Bookkeepers for Plumbers in Melbourne | Accounting for Concreters | Bookkeeping for Concreters | Accountants for Concreters in Melbourne | Bookkeepers for Concreters in Melbourne | Accounting for Flooring Company | Bookkeeping for Flooring Company | Accountants for Flooring Company in Melbourne | Bookkeepers for Flooring Company in Melbourne | Accounting for Carpenters | Bookkeeping for Carpenters | Accountants for Carpenters in Melbourne | Bookkeepers for Carpenters in Melbourne | Accounting for Earthworks Contractors | Bookkeeping for Earthworks Contractors | Accountants for Earthworks Contractors in Melbourne | Bookkeepers for Earthworks Contractors in Melbourne | Accounting for Landscapers | Bookkeeping for Landscapers | Accountants for Landscapers in Melbourne | Bookkeepers for Landscapers in Melbourne | Accounting for Electricians | Bookkeeping for Electricians | Accountants for Electricians in Melbourne | Bookkeepers for Electricians in Melbourne | Accounting for Painters | Bookkeeping for Painters | Accountants for Painters in Melbourne | Bookkeepers for Painters in Melbourne | Accounting for Handyman | Bookkeeping for Handyman | Accountants for Handyman in Melbourne | Bookkeepers for Handyman in Melbourne | Accounting for Construction Companies | Bookkeeping for Construction Companies | Accountants for Construction Companies in Melbourne | Bookkeepers for Construction Companies in Melbourne

Business Accountants
Sunbury
 | Sunbury Accountants | Sunbury Accounting Firms | Sunbury Bookkeeping
Firms 
Sunbury Bookkeepers | Restaurant Accountants in Sunbury |
Accountants for Manufacturing Business in Sunbury | Farm Accountants in Sunbury
Accountants for Medical Professionals in Sunbury | Accountants for Tradies in
Sunbury
 | Company Accountants in Sunbury | Company Bookkeepers in
Sunbury 
Casino Accountants in Sunbury | Spa Accountants in Sunbury |
Cafe Accountants in Sunbury | Hotel Accountants in Sunbury | Accountants for
Builders in Sunbury
 | Sunbury SMSF Accountants | Xero Accountants Sunbury |
Sunbury Mortgage Brokers | Sunbury Financial Advisers | Accounting Services Sunbury
Bookkeeping Services Sunbury

Accounting for Bricklayers | Bookkeeping for Bricklayers | Accountants for Bricklayers in Sunbury | Bookkeepers for Bricklayers in Sunbury | Accounting for Plumbers | Bookkeeping for Plumbers | Accountants for Plumbers in Sunbury | Bookkeepers for Plumbers in Sunbury | Accounting for Concreters | Bookkeeping for Concreters | Accountants for Concreters in Sunbury | Bookkeepers for Concreters in Sunbury | Accounting for Flooring Company | Bookkeeping for Flooring Company | Accountants for Flooring Company in Sunbury | Bookkeepers for Flooring Company in Sunbury | Accounting for Carpenters | Bookkeeping for Carpenters | Accountants for Carpenters in Sunbury | Bookkeepers for Carpenters in Sunbury | Accounting for Earthworks Contractors | Bookkeeping for Earthworks Contractors | Accountants for Earthworks Contractors in Sunbury | Bookkeepers for Earthworks Contractors in Sunbury | Accounting for Landscapers | Bookkeeping for Landscapers | Accountants for Landscapers in Sunbury | Bookkeepers for Landscapers in Sunbury | Accounting for Electricians | Bookkeeping for Electricians | Accountants for Electricians in Sunbury | Bookkeepers for Electricians in Sunbury | Accounting for Painters | Bookkeeping for Painters | Accountants for Painters in Sunbury | Bookkeepers for Painters in Sunbury | Accounting for Handyman | Bookkeeping for Handyman | Accountants for Handyman in Sunbury | Bookkeepers for Handyman in Sunbury | Accounting for Construction Companies | Bookkeeping for Construction Companies | Accountants for Construction Companies in Sunbury | Bookkeepers for Construction Companies in Sunbury

 

Business Accountants
Gisborne
 | Gisborne Accountants | Gisborne Accounting Firms | Gisborne Bookkeeping
Firms 
Firms 
Gisborne Bookkeepers | Restaurant Accountants in Gisborne |
Accountants for Manufacturing Business in Gisborne | Farm Accountants in
Gisborne
Gisborne
 | Accountants for Medical Professionals in Gisborne | Accountants for
Tradies in Gisborne
Tradies in Gisborne
 | Company Accountants in Gisborne | Company Bookkeepers in
Gisborne
Gisborne
 | Casino Accountants in Gisborne | Spa Accountants in Gisborne | Cafe
Accountants in Gisborne
Accountants in Gisborne
 | Hotel Accountants in Gisborne | Accountants for
Builders in Gisborne
Builders in Gisborne
 | Gisborne SMSF Accountants | Xero Accountants Gisborne |
Gisborne Mortgage Brokers | Gisborne Financial Advisers | Accounting Services Gisborne
Bookkeeping Services Gisborne

Accounting for Bricklayers | Bookkeeping for Bricklayers | Accountants for Bricklayers in Gisborne | Bookkeepers for Bricklayers in Gisborne | Accounting for Plumbers | Bookkeeping for Plumbers | Accountants for Plumbers in Gisborne | Bookkeepers for Plumbers in Gisborne | Accounting for Concreters | Bookkeeping for Concreters | Accountants for Concreters in Gisborne | Bookkeepers for Concreters in Gisborne | Accounting for Flooring Company | Bookkeeping for Flooring Company | Accountants for Flooring Company in Sunbury | Bookkeepers for Flooring Company in Gisborne | Accounting for Carpenters | Bookkeeping for Carpenters | Accountants for Carpenters in Gisborne | Bookkeepers for Carpenters in Gisborne | Accounting for Earthworks Contractors | Bookkeeping for Earthworks Contractors | Accountants for Earthworks Contractors in Gisborne | Bookkeepers for Earthworks Contractors in Gisborne | Accounting for Landscapers | Bookkeeping for Landscapers | Accountants for Landscapers in Gisborne | Bookkeepers for Landscapers in Gisborne | Accounting for Electricians | Bookkeeping for Electricians | Accountants for Electricians in Gisborne | Bookkeepers for Electricians in Gisborne | Accounting for Painters | Bookkeeping for Painters | Accountants for Painters in Gisborne | Bookkeepers for Painters in Gisborne | Accounting for Handyman | Bookkeeping for Handyman | Accountants for Handyman in Gisborne | Bookkeepers for Handyman in Gisborne | Accounting for Construction Companies | Bookkeeping for Construction Companies | Accountants for Construction Companies in Gisborne | Bookkeepers for Construction Companies in Gisborne

Sunbury Office Address: Suite 13, 33-35 Macedon Street, Sunbury, Victoria 3429,
Australia

Gisborne Office Address: 45 Hamilton Street, Gisborne, Victoria 3437, Australia
Gisborne Victoria 3437

Phone: 1300 328 855
Phone: 03 97444522

 

 

 

Contact Us

1300 328 855

902 Howitt Street, Wendouree, VIC

info@skyacc.com.au

1300 328 855

45 Hamilton Street,
Gisborne VIC

info@skyacc.com.au