Bookkeeping for Construction Clients
We have been working with contractors and sub-contractors in the Construction Industry for over 20 years.
With an in depth knowledge of how the construction industry works, both contractually and with informal agreements, we can help you keep the Tax Man, VAT Man and the Bank Manager happy with accurate, up-to-date information that can be presented how they like to see it more importantly, information about your business that you understand.
Profit & Loss and Balance Sheets
Each year you should produce a Profit & Loss and Balance Sheet so you know how much tax to pay, and to make sure the business is actually making enough money to carry on!
Probably, you just hand over your bag of receipts and invoices to your accountants and let them sort the mess out and tell you later how much you've made (or lost!) and how much more tax you need to pay.
We help you, and your accountant, by showing you how to do this paper-work every week. This way you know earlier, rather than later how your business is performing.
CIS, Income Tax and HM Revenue and Customs (HMRC)
As a contractor, you need to make sure you are compliant with the HMRC Construction Industry Scheme (CIS) and regularly pay Income Tax on the payments you receive.
We can check your systems ensure you are paid promptly by your customers, and that all the Income Tax that have been deducted is properly recorded so you don't lose out. After all, the money is better in your bank than the Tax Man's !
Payroll and Employing People
If you have people working for your business, you need to record the payments made and all the deductions like Income Tax, National Insurance and Student Loans each week. The law and regulations about employees change almost every week and you need to make sure you are always up-to-date with the latest rules.
Value Added Tax (VAT)
If you charge VAT to your customers, you need to make regular payments to HMRC based on the VAT you charge and the VAT that you have been charged on the things you buy for your business.
Cashflow and the Bank Manager
Cashflow is the "blood" of any business. It is the difference between money coming in and money paid out. You may be making a profit on paper, but if the money is not coming in to pay your bills, then you may go out of business! Remember - Cashflow is Sanity, Turnover is Vanity!
With accurate and up-to-date financial information, you are in a much better position to talk with your bank manager to arrange overdrafts, ask for advice or generally let them know how good you are doing so that when you need to temporaily borrow money, they will be confident you know what you're doing and what you're talking about.
We will show you how to produce monthly Management Accounts that your accountant and bank manager will understand. A summary will point to areas that you should concentrate on - maybe a customer is habitually late paying, or you are possibly paying too much for materials.