Freda Hortillas
Dedicated Accounting Support
Freda is a dedicated accounting professional with more than 10 years of experience in providing accurate, timely bookkeeping services for clients. She takes pride in organizing financial records, ensuring that all transactions are recorded correctly, and preparing monthly reconciliations. Freda is committed to helping her clients maintain clean and organized books, which are crucial for financial decision-making and compliance. By using QuickBooks Online, she guarantees that her clients’ financial records are always up-to-date and accurate.
Our Latest Insight
Between tracking fluctuating material costs, managing subcontractor fees, and juggling multiple active jobs, contractors face a unique set of financial complexities. At the heart of keeping these moving parts organized is the Chart of Accounts (COA), the foundational index of every financial transaction your business makes. For a contracting business, a well-structured COA does far more than just keep the tax preparer happy. It serves as the backbone for accurate job costing, allowing you to see exactly which projects are driving profits and which ones are eating into your margins. This article will guide you through the essentials of building a specialized Chart of Accounts tailored specifically for contractors, highlighting the unique categories you need to track, and sharing best practices to streamline your bookkeeping and elevate your business insights.
Fractional accounting gives your business a bookkeeper and controller for a flat monthly fee. Below you will find what it covers, what it costs, and how to know if it fits.
In the contracting world, where projects can span months or even years, managing cash flow and financial reporting is a unique challenge. Unlike traditional businesses that recognize revenue at the point of sale, contractors must choose how and when to account for their income and expenses. Two of the most common frameworks used to navigate this are Progress Billing (often paired with the Percentage of Completion Method ) and the Completed Contract Method (CCM). Progress Billing allows contractors to invoice clients and recognize revenue incrementally as milestones are met throughout the project. Completed Contract Method defers all revenue and expense recognition until the entire project is officially finished. Selecting the right method goes far beyond basic bookkeeping; it fundamentally shapes your tax obligations, cash flow health, and how creditworthy your business appears to lenders and investors. This article breaks down the core differences between these two methods, explores their pros and cons, and helps you determine which strategy is the best fit for your business.
