Posts Tagged ‘Alicia Radar’
by Tim Ayler, CPA and Alicia Rader, CPA | Team Members of the Construction Services Group
Many contractors equate success to winning bids. While that certainly is partially true, there are several other factors which determine how successful the bidding process really is. As of late, many contractors are putting less markup in their bids in order to be more competitive and to increase their chances of winning the work. Others are struggling to win bids so they are expanding their geographic boundaries or bidding on types of work that they have not successfully completed in the past. Whatever your construction company is doing to win bids, we hope it has contributed to your company’s profitability.
Continue reading “Bid-Hit Ratios and How They Apply to Contractors” »
by Alicia Rader, CPA and Tim Ayler, CPA | Team Members of the Construction Services Group
Many contractors’ balance sheets will be changing in the next few years due to proposed changes that are anticipated to be made to the way leases are treated for accounting purposes. Currently, many companies lease their building, or large pieces of equipment, under operating leases. Operating leases allow for only the current year expense to be recorded on the income statement, without an impact on the balance sheet. The rules will likely be finalized in 2011, with implementation set to happen sometime later, probably January 1, 2013 or after. Companies may find their assets and liabilities being “grossed up” to account for the changes. This may require some negotiations between contractors and their bank related to their bank covenants, or discussions with their bonding company related to their bonding capacity.
Continue reading “Operating Leases May End Up On Your Balance Sheet” »
By Alicia Rader, Greenwalt CPAs
Even if your construction company has been profitable for the last few years, you probably desire to do better. And, if you have been running in the red, you definitely need to determine ways to improve your company’s operations. How can you increase the likelihood that your company will become more efficient? One methodology that has gained wide acceptance within the construction industry is benchmarking.”
Continue reading “A Measuring Stick for Construction Companies” »