Succession planning is a difficult, but necessary, subject for a contractor

All too frequently, construction owners delay their succession planning. It’s an uncomfortable topic, to be sure, because it forces them to admit a hard truth, relinquish control and trust another person with one of their most valuable assets. It’s an all-too-easy topic to postpone, especially given the hectic day-to-day environment of a typical construction office. [...]

2021-05-03T09:58:21-05:00May 3rd, 2021|CONSTRUCTION|

Five Overlooked Tax Breaks for Contractors and Manufacturers

2020 was full of changes for those in the manufacturing and construction sectors, but a few things held steady, even throughout the pandemic. The following five tax breaks are not new, but they can help manufacturers and contractors better manage fiscal uncertainties as they head further into the 2021 tax year. Cost Segregation Studies Cost [...]

How Contractors Can Bridge the Age Gap

By some estimates, about 10,000 workers are retiring every day. Unfortunately, these aging Baby Boomers are taking a significant volume of knowledge with them as they walk out the door. This leaves a huge wake that can’t be filled by Generation X, as they’re much smaller by volume. Many contractors are beginning to view Millennials [...]

2021-04-07T14:15:01-05:00April 7th, 2021|CONSTRUCTION|

Enhance Your Technology Tool Kit for Improved Productivity

It’s difficult for contractors to know how they’re performing in the field without true visibility across a project’s entire life cycle. Not having a cohesive picture of risks and issues can lead to busted budgets and lagging schedules. Today, many of them are turning to technology for help. Many high-tech software programs have gone mobile, [...]

2021-04-05T15:12:57-05:00April 5th, 2021|CONSTRUCTION, TECHNOLOGY|

Comparison: COVID-19 Employer Relief Options

Information updated as of April 2021.   Which COVID-19 relief benefit is right for your business, nonprofit, or governmental entity? The answer depends! Do you have over 500 employees, over 100 employees, under 50 employees, or are you self-employed? Is your business quarantined or are you able to continue working as normal, or by telework? [...]

Contractors Should Take A Closer Look at Site-Level Profitability

When it comes to identifying projects that help or hurt cash flow, contractors must be meticulous. That’s because monitoring cash at the site level can go a long way toward improving a contractor’s financial picture – and protecting their reputation. The larger the project, the bigger the risk. Poor cash management can create a tidal [...]

2020-09-08T16:44:31-05:00September 8th, 2020|CONSTRUCTION|

Assembling an Effective Financial Team

In today's environment, an effective financial team is vital to an organization's success and its ability to avoid failure. In many circumstances, margins are incredibly thin, so reliable financial information and analysis can differentiate between success and failure. Contractors should ensure that at least one member of their financial team possesses a holistic understanding of [...]

2020-09-03T14:48:22-05:00September 3rd, 2020|CONSTRUCTION|

How to Calculate Your Burn Rate

A company's "burn rate" is the rate in which it depletes its pool of cash. It often serves as a common metric of performance and valuation for contractors. Many believe the burn rate is a key metric for decision-making, as it provides an accurate picture of a contractor's financial health. Luckily, calculating the burn rate [...]

2020-09-03T10:39:36-05:00September 3rd, 2020|CONSTRUCTION|

Contractors Can Remain Profitable in Down Market

Many contractors focus more on winning projects than making a profit. The reason? Clients, particularly in the public sector, typically award contracts to the lowest bidder. That makes it challenging for any contractor to maintain profitability while working on large, complex projects. There are a variety of factors that can shrink a profit margin. An [...]

2020-09-02T16:04:38-05:00September 2nd, 2020|CONSTRUCTION|

The Pitfalls of Underbidding Projects

The temptation might be substantial, but contractors should avoid under-bidding projects during an economic downturn. While the reasons might seem logical – it keeps cash flowing and enables a contractor to retain its workforce – the end doesn’t justify the means. It could have disastrous consequences. These are surely uncertain times, and in times of [...]

2020-09-02T15:18:58-05:00September 2nd, 2020|BUSINESS CONSULTING, CONSTRUCTION|

Planning for Possible Workforce Reductions

Layoffs are a necessary, yet undesirable, fact of life for any business facing lean times. This is especially true for contractors during the current pandemic, as an uncertain future has many of them searching for ways to prepare for a potential downturn. It can become a delicate balancing act. While layoffs provide immediate savings, they [...]

2020-07-01T19:33:56-05:00July 1st, 2020|CONSTRUCTION|

Contractors Should Juice Up Working Capital in Volatile Times

If history is any indication, surety companies will likely begin to turn a more critical eye toward their contractor clients during the COVID-19 crisis. They’ll begin to fear widespread failures and start tapping the brakes on bonding credit without working capital. A surety bond is a necessary fact of life for most contractors. In the [...]

2020-06-11T12:52:15-05:00June 11th, 2020|CONSTRUCTION, COVID-19|

Senate Passes the Paycheck Protection Program Flexibility Act

On May 28, 2020, the House of Representatives passed the Paycheck Protection Program Flexibility Act and it was subsequently approved by the Senate on June 3, 2020. The bill is now awaiting approval from President Trump. If enacted, the PPP Flexibility Act will: Increase the “covered period” defining when a small business must spend their [...]

2020-06-09T08:50:25-05:00June 4th, 2020|CONSTRUCTION, COVID-19, DISASTER RECOVERY|

SBA Provides Guidance and Extends Deadline for the Good Faith Certification

The SBA, in consultation with the Department of the Treasury, on May 13, 2020, issued additional guidance for the Paycheck Protection Program (PPP) in the form of Frequently Asked Questions. The guidance relates to the Good Faith Certification that “current economic uncertainty makes this loan request necessary to support the ongoing operations of the Applicant.” [...]

2020-06-09T08:51:00-05:00May 14th, 2020|CONSTRUCTION, COVID-19|

Main Street Lending Program

Click here for the most up-to-date information as of June 18, 2020. The Federal Reserve Board has announced an expansion of the scope of and eligibility for its Main Street Lending Program (MSLP). The MSLP is established under Section 13(3) of the Federal Reserve Act and is in response to the unprecedented economic challenges [...]

2020-06-18T14:45:29-05:00May 11th, 2020|CONSTRUCTION, COVID-19|

Latest Revisions To The Economic Injury Disaster Loan And Advance

As with so many things in life these days, change within the Small Business Administration’s Economic Injury Disaster Loan (EIDL) program seems to be inevitable. The EIDL application portal, on the Small Business Administration's website, was overwhelmed with applications for loans and emergency advances within the first couple of weeks of operation. This resulted in [...]

Key Elements Involved in a Contractor’s Cash Flow During a Pandemic

In a matter of weeks, the U.S. has gone from a booming economy with record low unemployment to a virtual standstill. Many construction contractors are still awaiting potential impacts, while others are struggling to stay alive. Cash flow for contractors is always a key factor in any successful business, and in times of crisis, it [...]

2020-04-29T13:15:53-05:00April 29th, 2020|CONSTRUCTION, COVID-19|

The Rise of ConTech in a Time of Crisis

The construction industry faces unprecedented challenges amid the COVID-19 pandemic, and there is no time like the present to rise to the challenge. In everyday work, managing change is instilled in our routines, such as changes in schedules, budgets, and weather. In light of the COVID-19 virus, change has taken on a new shape for [...]

2020-04-28T17:14:09-05:00April 28th, 2020|CONSTRUCTION, COVID-19|

Three Big Tax Relief Changes Due to Coronavirus

The Coronavirus Aid, Relief, and Economic Security (CARES) Act enacted on March 27, 2020, provides a number of tax changes that offer relief during the Coronavirus crisis. Three significant changes include: 1. Rollback of restrictions on using tax losses to recover taxes paid in profitable years, 2. Cash payments to individuals and families, and 3. [...]

2020-04-28T15:40:56-05:00April 28th, 2020|BUSINESS TAX, CONSTRUCTION, COVID-19, INDIVIDUAL TAX|

When Essential Business Is Risky Business: Workers’ Comp & OSHA Considerations in the Time of COVID-19

As COVID-19 continues to rearrange the structure of our workplaces and daily routines, the construction industry has been absorbing the shock of this global event in a unique fashion. At the time of this writing, the businesses for most construction contractors are considered “essential” under the various state law codes covering disaster responses. While the [...]

2020-04-27T14:46:08-05:00April 27th, 2020|CONSTRUCTION, COVID-19|