When a city is frequently ranked as one of the best places to live, and one of the up-and-coming locations to start a new business, the continued need to develop infrastructure spurs growth in the construction industry. According to the “Editor’s Choice” for best towns offered by Outside magazine in 2013, Fort Collins is among the elite. However, a growing city with a growing economy needs inside spaces as well. If you are an independent contractor or general contractor helping to build one of the country’s best cities, you need a CPA firm that can help your small business thrive. When it comes to accountants, Fort Collins contractors can depend on the full range of services offered by Steven J. Wick and Associates.

Unique Challenges, Unique Solutions

Construction contractors face unique challenges when it comes to managing their finances. Like many corporations, they have to contend with employee payroll, accounts payable, and accounts receivable, but the specialized services they provide set them apart when it comes to managing expenses and revenues. Even a small contractor faces the challenge of staying afloat professionally while contending with regulations, off-seasons, subcontracting requirements, and turning a well-developed skill into a lucrative enterprise.

At Steven J. Wick and Associates, you can depend on a CPA firm that reacts to the difficult business climate for contractors. Like other businesses, construction companies need help with payroll, tax preparation, and account reconciliation. Unlike other businesses, contractors face the unique challenge of accounting for cost estimations, job cost management, project management, material billing, and often, Union payroll distribution. For contractors and their accountants, Fort Collins is a community rife with growth and development. In order to meet the demands of this industry, CPAs need to be well-versed in the unique methods required to support construction contractors.

Managing a Growing Business

When a contractor bids on a job, or submits an estimate, they are creating projections that must be derived from experience and an accurate method of costing for labor, equipment, building materials, subcontracted services, and time. Gaining the education, training, and extensive experience it takes to become a general contractor doesn’t always completely prepare individuals for the myriad of unique costing and billing challenges that will inevitably come up. Contractors must contend with architecture billing and navigating the differences between subcontractor expenses and Union payroll.

However, the most common pricing concern that occurs with contracted construction is the amount of time and labor that it takes to complete a job, and how early estimations are affected by evolving costs. Failure to account for over and under-billing can throw your financial accounting into an abyss. Most contractors ask for a certain portion of the estimate to be paid upfront, or before a limited portion of the work is completed. The difference between the amount of work you have been paid for and the amount of work completed is managed by over and under accounting reconciliation.

You Call the Shots

Many construction contractors are searching for the American dream. They are not only skilled laborers, but they are ambitious entrepreneurs that are trying to realize the freedom and flexibility of owning their own businesses. The experienced CPAs at Steven J. Wick and Associates are prepared to help support this goal. Like any business, financial accounting is crucial to maintain the health of construction businesses. The accounting demands for contractors are often much more complex, and creating an organized system of accounts can help prevent contractors from falling behind in the market.

Using the matching principle, your accountant can help manage the massive discrepancies that inevitably occur when completing long-term construction jobs. The matching principle helps account for over and under-billing, prepare for unexpected costs and protect the viability of the outward health of your business for future ventures or capital investments. Throughout this process, producing accurate and timely payroll services, managing vendor accounts, and maintaining compliance with labor and revenue agencies, can make the difference between success and failure.

There’s a Package for That

Consult with the professionals at Steven J. Wick and Associates and let them show you how your construction business can run more efficiently. Accurate financial statements, costing support, and timely tax services can help you manage jobs of any size and scope. The Small Business Package allows you to design a system of accounting support that can help your business remain lucrative year-round.

There are a number of challenges that face contractors in Colorado, including extreme weather and rising competition. Thankfully, Colorado and the Front Range are consistently ranked among the best places to live, and the best places for business growth. Take advantage of this friendly environment for building by using accountants that know how to face the unique challenges of your industry.