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Choosing between Knowify and Buildertrend depends on whether you are managing in-house labor teams or subcontracting most of your work. Here’s a comparison to help you decide which tool best suits your needs: Knowify:Best for Managing In-House Teams Strengths: Buildertrend:Best for Managing Subcontractors Strengths: Knowify vs Buildertrend from Project Work Flow perspective can be downloaded here Need help with bookkeeping using knowify or buildertrend schedule a call

Understanding your financial health is a critical component to any construction business. In construction accounting, there are two primary methods of tracking income and expenses: Accrual method and cash basis method. In this article, we’ll look at the pros and cons of these two accounting methods, and when to use each one. The cash basis method of accounting is simple and straightforward, meaning that you will track cash out and… Read More

Construction accounting is truly distinctive, requiring a detailed comprehension of diverse specialized accounting principles and methods. Below is an overview of the four most prevalent methods in construction accounting: 1. Revenue Recognition In Construction Contracts Using Cash Basis Accounting Overview: Cash basis accounting records transactions when money is exchanged. Revenue and expenses are recognized only when cash is received or paid. Example: A contractor buys materials for $1,000 and completes… Read More

Construction work in progress (WIP), is a necessary accounting process that details the status of a partially completed job and its associated costs. Working in tandem with the percentage of completion method for revenue recognition, WIP reports play a vital role in keeping jobs on budget and invoiced correctly. For this reason, they’re essential for predicting financial outcomes. This can enable a proactive, rather than reactive, outlook concerning construction project management. This precise… Read More

Understanding and implementing effective construction accounting principles is vital for contractors to make profitable decisions and streamline financial management. Below are five essential tips and best practices for contractors to enhance their accounting processes: 1. Always Job Cost Job costing is a specific accounting method that tracks all costs associated with a particular job. Treating each job as a single account allows contractors to: Job costing involves tracking direct costs such… Read More

What is a Construction Purchase Order (PO)? A construction purchase order (PO) is a legally binding document sent to a materials vendor to honor a sale. It outlines the details of a given purchase, including quantity and price, serving as a legal promise that the contractor will collect and pay for the materials at a later date. Once accepted by the seller, the PO becomes a binding contract, ensuring both… Read More