Intuit quickbooks contractor pro software#
Many contracting projects are much larger in scope, and using traditional accounting software doesn’t cut it. Then, the plumber needs to charge for the labour performed, as well as the compensation required by any additional labourers.Īs you can see, there are a lot of different variables that need to be accounted for, and that’s just one example specific to plumbing. From there, they may need to be reimbursed for new pipes they purchased or may even sell their own company’s pipes, depending on the size of the operation. After the inspection, the plumber may need to spend time consulting with the client about the best course of action, and then spend time designing a better layout for the pipes. Additionally, contractors may also need to charge for materials, and some even sell physical products.įor instance, a plumber may need to use plumbing contractor software to track the time they spent inspecting leaky pipes. A few common examples include consulting, designing, reviewing, inspecting and engineering. On the other hand, it’s quite common for contractors to offer a vast range of services beyond just labour.
Even if a business carries a wide variety of options, take a supermarket for example, the accounting process still categorizes them into smaller classes. After all, most companies only offer a handful of products and/or services. In a typical business setting, tracking sales is relatively straightforward. After completing the job, the electrician can use electrical contractor billing software to compare the difference between the initial bid and the final cost, which helps them to make more accurate tenders in the future. Once the electrician plugs all relevant data into the electrical contractor bidding software, they can form an accurate bid that gives them a strong chance of getting hired while also ensuring the whole crew gets paid fairly. Additionally, the electrician may enter information based on indirect expenses that may be incurred, such as permit fees or materials to be paid by the entity requesting the labour. The electrician could also enter relevant data into the software, such as employee wages, a completion time estimate, and factors that could cause delay. After all, if you agree to take the job for a certain amount of money, and then you go over the budget, you’re going to lose profit.įor example, an electrician would use electrical contractor bidding software to outline a myriad of expenses required to complete the project, such as transportation to and from the job site, the cost of additional workers and any supplies that may be required. The right accounting software keeps the contractor in control of their finances during turbulent times.Īnother major reason why contractor accounting is unique is because contractors often get jobs by placing a bid or a proposal, also known as a “tender.” To form an accurate proposal, proper accounting procedures and software are absolutely vital. After all, sometimes the majority of a contractor’s annual income can be earned in just a month or two. For instance, if work has been slow for a month, but there’s a big contract coming up, accounting software can help the contractor make informed spending decisions. While a dry spell may cut into the company’s or individual’s bottom line, accounting software can provide valuable information on cash flow. As a contractor, being aware of your financial condition at every given moment in time is essential.Ĭontractor accounting software can also help contractors recognize their big-picture financial standing. Contracting jobs aren’t immediate transactions like in retail or other service providing sectors. Estimating software helps you gauge the costs associated with the project before you start, as well as while the project is ongoing. It can be difficult to maintain accurate books while you’re in the preliminary stages of a project or in the middle of a long-term job with no definitive end in sight.
If that handyperson uses accounting software to analyze their current cash flow, as well as expected payments for upcoming projects, they can determine if now is the right time to invest in supplies or if they should wait a month or two.
Buying new tools can be an expensive undertaking, but it can also be a worthwhile investment as long as you can afford it at the time.
This ebb and flow requires a more nuanced approach to accounting that you may not get from standard accounting software.įor example, a handyperson may want to use general contractor estimating software to create accurate forecasts that facilitate essential financial planning. They may only work a few hours in a week when business is slow, but then a major project can come along that means working all day, every day for months on end. While typical businesses have specific hours when they’re open, contractors tend to have ever-changing work hours.