Expecting the Unexpected: Continuity Planning for Contractors

The foundation of any robust construction accounting system lies in a well structured chart of accounts. But building one can be tricky. Let's walk through it.

Topics we cover in this episode include:

• Walking through the Chart of Accounts
• How to treat retainage properly in your Chart of Accounts
• Cost of revenue categories

LINKS

Visit the episode page at https://carpentercpas.com/chartofaccounts for more details and a transcript of the show.

Find all episodes and related links at ContractorSuccessForum.com.

Join the conversation on our LinkedIn page: https://www.linkedin.com/company/CarpenterCPAs

FIND US ONLINE
Wade Carpenter, CPA, CGMA | CarpenterCPAs.com
Stephen Brown, Bonding Expert | SuretyAnswers.com

It's winter right now, and if you're in construction, this may be a slower time of year for you. It's a great time to create a strategic plan for your company for the coming year. How do you do it? We'll walk you through it.

Topics we cover in this episode include:

• Why now is a good time to think about your strategic plan
• Ground rules for your strategic plan
• What should be included in your strategic plan?
• The importance of a good budget
• Analyze your risk
• How to use KPIs for strategic planning
• Note the trends in your market 
• Get input from your key business advisors

LINKS

Visit the episode page at https://carpentercpas.com/strategicplan for more details and a transcript of the show.

Find all episodes and related links at ContractorSuccessForum.com.

Join the conversation on our LinkedIn page: https://www.linkedin.com/company/CarpenterCPAs

FIND US ONLINE
Wade Carpenter, CPA, CGMA | CarpenterCPAs.com
Stephen Brown, Bonding Expert | SuretyAnswers.com

Full-kitting is a term most often associated with manufacturing. What does it mean and how can we use that concept in construction to maximize our profits? Let's talk about it.

Topics we cover in this episode include:

• Full Kitting from a Subcontractor Standpoint
• Communicate potential problems beforehand
• Start with project planning and pinpointing common delays
• How to implement full kitting 

LINKS

Visit the episode page at https://carpentercpas.com/fullkit for more details and a transcript of the show.

Find all episodes and related links at ContractorSuccessForum.com.

Join the conversation on our LinkedIn page: https://www.linkedin.com/company/CarpenterCPAs

FIND US ONLINE
Wade Carpenter, CPA, CGMA | CarpenterCPAs.com
Stephen Brown, Bonding Expert | SuretyAnswers.com

Many contractors aren't making what they should on their jobs. Even if you've got your bidding down, you may still be bleeding profits. What are the things to look for and what can we do about it? Find out on this week's episode.

Topics we cover in this episode include:

• Don't get burned by change orders
• Make sure you're billing everything you have the right to bill
• Double check the math on your bids
• Get on top of your job costing and make it as real time as possible 
• Streamline and actively manage your supply chain
• Put systems and workflows in place so critical steps are not missed
• Adopt lean construction principles

LINKS

Visit the episode page at https://carpentercpas.com/bleed for more details and a transcript of the show.

Find all episodes and related links at ContractorSuccessForum.com.

Join the conversation on our LinkedIn page: https://www.linkedin.com/company/CarpenterCPAs

FIND US ONLINE
Wade Carpenter, CPA, CGMA | CarpenterCPAs.com
Stephen Brown, Bonding Expert | SuretyAnswers.com

Equipment is a major part of some contractors' job costs. Should you lease it, or should you buy it? Which is better for you? The answer is, it depends. We're helping you decipher the question and sharing some additional equipment considerations on this week's episode.

Topics we cover in this episode include:

• Operating Lease vs. Capital Lease
• Consider the costs associated with maintaining the equipment you own
• Insurance costs and considerations for equipment
• Equipment and vandalism
• How to decide whether to purchase or lease a piece of equipment
• Benefits and drawbacks of having a separate company to own your equipment

LINKS

Visit the episode page at https://carpentercpas.com/equipment for more details and a transcript of the show.

Find all episodes and related links at ContractorSuccessForum.com.

Join the conversation on our LinkedIn page: https://www.linkedin.com/company/CarpenterCPAs

FIND US ONLINE
Wade Carpenter, CPA, CGMA | CarpenterCPAs.com
Stephen Brown, Bonding Expert | SuretyAnswers.com

What happens to your company when you die? Making sure you have a continuity plan in place can ensure you have a smooth transition and ease the burden on your family. Life insurance can be a big part of that plan. Here's what you need to know when looking for a policy.

Topics we cover in this episode include:

• Why you should start thinking about life insurance when you're young
• Tax considerations for key person life insurance
• How a buy-sell agreement can help pass the company on
• How to keep your company operating as it was after something unexpected happens
• The different types of life insurance

LINKS

Visit the episode page at https://carpentercpas.com/succession for more details and a transcript of the show.

Find all episodes and related links at ContractorSuccessForum.com.

Join the conversation on our LinkedIn page: https://www.linkedin.com/company/CarpenterCPAs

FIND US ONLINE
Wade Carpenter, CPA, CGMA | CarpenterCPAs.com
Stephen Brown, Bonding Expert | SuretyAnswers.com

We haven't met a contractor who likes to pay taxes, but many take avoiding taxes to the extreme. What are the true implications of making it your goal to pay no taxes every year? Let's talk about it.

Topics we cover in this episode include:

• Four ways contractors can be taxed
• An example of an extreme outcome of tax avoidance
• The purchases and tax choices that get many contractors in trouble
• How Profit First can help you save enough for taxes and remain profitable

LINKS

Visit the episode page at https://carpentercpas.com/taxdeferral for more details and a transcript of the show.

Find all episodes and related links at ContractorSuccessForum.com.

Join the conversation on our LinkedIn page: https://www.linkedin.com/company/CarpenterCPAs

FIND US ONLINE
Wade Carpenter, CPA, CGMA | CarpenterCPAs.com
Stephen Brown, Bonding Expert | SuretyAnswers.com

There have been rumors about QuickBooks Desktop being retired for many years, yet QuickBooks Online still isn't the same capability level as Intuit's older software for contractors. Some recent announcements from them give us more of a direction, and these announcements weren't given to the general public. We're sharing what you need to know this week.

Topics we cover in this episode include:

• Recent announcements from Intuit on QuickBooks Online 
• QuickBooks Desktop became a subscription model in 2022
• QuickBooks stopped selling the payroll subscription to the general public
• Other accounting software options
• Key things to look for in bookkeeping software

LINKS

Visit the episode page at https://carpentercpas.com/quickbooksdesktop for more details and a transcript of the show.

Find all episodes and related links at ContractorSuccessForum.com.

Join the conversation on our LinkedIn page: https://www.linkedin.com/company/CarpenterCPAs

FIND US ONLINE
Wade Carpenter, CPA, CGMA | CarpenterCPAs.com
Stephen Brown, Bonding Expert | SuretyAnswers.com

Can increasing expenses also increase your net income? Can profitable jobs bankrupt a company? Today, we are exploring more unconventional wisdom in construction that you may not have ever considered.

Topics we cover in this episode include:

• How adding expenses helps your bottom line
• How a profitable job could bankrupt your company
• Why an LLC is not always the right choice for setting up a construction company

LINKS

Visit the episode page at https://carpentercpas.com/unconventional for more details and a transcript of the show.

Find all episodes and related links at ContractorSuccessForum.com.

Join the conversation on our LinkedIn page: https://www.linkedin.com/company/CarpenterCPAs

FIND US ONLINE
Wade Carpenter, CPA, CGMA | CarpenterCPAs.com
Stephen Brown, Bonding Expert | SuretyAnswers.com

Find all episodes and related links at ContractorSuccessForum.com.

Join the conversation on our LinkedIn page: https://www.linkedin.com/company/CarpenterCPAs

FIND US ONLINE
Wade Carpenter, CPA, CGMA | CarpenterCPAs.com
Stephen Brown, Bonding Expert | SuretyAnswers.com

When do you need a construction attorney, and how can you find a good one? Should you be amending contracts, and how can you protect your lien rights? Construction attorney Alex Barthet joins us this week to answer these questions and more. He pinpoints the main things you need to focus on and what resources are available to help guide you. Listen in and make sure you implement his two action items in January to protect yourself in 2024!

Topics we cover in this episode include:

• The best time to hire a lawyer is when you don't need one
• How to find a good construction lawyer
• What to look out for when signing a new contract
• You need to protect your lien and bond rights
• Make sure you're aware of the lien laws in your project's jurisdiction
• Liability and the Hold Harmless Agreement  
• The Right to Stop Work
• How to make changes to a contract
• Options for assistance with your contracts

LINKS

Visit the episode page at https://carpentercpas.com/constructionlaw for more details and a transcript of the show.

Find all episodes and related links at ContractorSuccessForum.com.

Join the conversation on our LinkedIn page: https://www.linkedin.com/company/CarpenterCPAs

FIND US ONLINE
Wade Carpenter, CPA, CGMA | CarpenterCPAs.com
Stephen Brown, Bonding Expert | SuretyAnswers.com