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Discussion Starter · #21 ·
Most of my career has been as Estimator, including several years in renovations and I also do bookkeeping part time.

Use as much technology as posible. There are tons of apps to keep things organized.

In regards of quickbooks. I do recomend to get a companion app. Everytime you get a receipt. Take a picture of it. There are several ways to load it on quickbooks with companion apps.

Quickbooks recently acquired Tsheets. Get your guys to clock in "per job" and switch when nessesary. You need to know how many man hours each job is taking.


Separate you expenses per project and keep track of it. Some apps out there, your foreman not only has to clock himself and crew members in/out but he also has to mention how much material of the items important to you he used that day. This is key as if you budgetted 300 studs. How come we used 600?

Dont wait to grow more to get organized.

In another note. Renovations is the most challenging estimating I have done in my career as there are too many unknowns.
Great input!
Appreciate your comment!
 

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Discussion Starter · #22 ·
I would not say the full time woker is something frightening.

What is really frightening is having no bookkeeper and/or accountant.

Most people assume because they are not making as much money as they think, somebody is stealing. Its just human nature.

Not sure how he keeps control of personal/company taxes, employ deductions, etc. Neither knows how something can be used as company expenses or shareholder loan (personal expenses).

Another common mistake is smaller companies keep bad control of the payments they receive. For instance, you issue Invoice A. Receive a payment for it and deposit it right away in the owner personal bank account without relating on the system the payment to the invoice. In other words, the invoice is still outstanding on the system even though is paid.


Another mistake is the owner does not have separate bank accounts and credit cards for the business. The owner keeps using his personal accounts to pay and receive payments for the business.

The reason to have these separate is that anytime money flows from or to the personal account, you know is shareholder loan related transaction (credit or debit depending on what is it).

Without pointing fingers, I highly recommend to get a bookkeeper/accountant.
Thanks so much man you e definitely hut several nails on the head here.
I don't have an accountant.
We've just recently got a separate account and started dividing this from us and the business and we just started giving myself a salary!
The guy who works with us is someone whom we give a 1099
He's not an employee bc we sometimes use him sometimes we don't but we have been recording our payments to him at the end of each year and sending that in.
This is our third year in business btw so still learning a lot along the way.
Probably not the best method but it's just the truth.

I guess I don't consider him a sub per day bc he is a helper. He can't hold a project on his own. But he is a great help and support on any job we use him on.
 

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Im still new myself, running a business and one of the least organized when it comes to paperwork and bookkeeping, ect. But trust me, seperate accounts for business and personal! Seperate checking, seperate savings, seperate credit cards and put a PO on evrything you buy for your business even if its just tools, or consumables. Take the time to seperate your purchases, and money in and outs. For example, if im at HD buying supplies for 2 different jobs and tools or home goods i will ring them up in multiple transactions. Each gets it own PO. With money in and out, all money in (except the rare cash jobs) gets deposited into business checking first, then moved to business savings or personal checking/savings. Only takes a minute or 2 extra at the bank/store but it leaves a paper trail that I can go back to months later to track expenses and start to see the trends. Also, helps to easily see where something may have gone wrong, underbid a job, overspent in your personal life, payed bills late, ect.

Im starting to get a better idea of my typical overhead, job costs, ect but also seeing how my personal habits AND business habits change dependent on my available funds. The more data, the better. The easier to dissect the data, the better.



Sent from my LM-Q710.FG using Tapatalk
 

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Discussion Starter · #25 ·
Im still new myself, running a business and one of the least organized when it comes to paperwork and bookkeeping, ect. But trust me, seperate accounts for business and personal! Seperate checking, seperate savings, seperate credit cards and put a PO on evrything you buy for your business even if its just tools, or consumables. Take the time to seperate your purchases, and money in and outs. For example, if im at HD buying supplies for 2 different jobs and tools or home goods i will ring them up in multiple transactions. Each gets it own PO. With money in and out, all money in (except the rare cash jobs) gets deposited into business checking first, then moved to business savings or personal checking/savings. Only takes a minute or 2 extra at the bank/store but it leaves a paper trail that I can go back to months later to track expenses and start to see the trends. Also, helps to easily see where something may have gone wrong, underbid a job, overspent in your personal life, payed bills late, ect.

Im starting to get a better idea of my typical overhead, job costs, ect but also seeing how my personal habits AND business habits change dependent on my available funds. The more data, the better. The easier to dissect the data, the better.



Sent from my LM-Q710.FG using Tapatalk
That's great advice man thanks for your input! Best of luck to you also!
 
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