Subcontractors and Specialty Trade Contractors
Subcontractors and Specialty trade contractor provide the specific expertise and experience necessary for a component of a construction project. Beyond providing a skilled workforce and managing the procurement of materials related to their contract, subcontractors provide valuable insight into the project plans and offer valuable input into potential project cost savings. Subcontractors manage high-risk projects with tight, competitive margins, and difficult deadlines. Much of the inherent risks of the general contractors are contractually assumed by each affected subcontractor.
Effectively managing your workforce for efficiency and productivity is essential. Managing the change order process with field tickets, obtaining timely approvals and payments is where many subcontractors falter. Managing the custody and movement of materials for projects as well as general stock inventory is an added complexity to your operation.
Cash flow control is very important for subcontractors since labor must be paid regularly and receipts of project funds through the generals are sometimes slow.
Consistent and disciplined operational controls are important so that project management, field personnel, and your support teams are working together to service clients while protecting the company. In addition to the inherent complexity of the construction business, many of our subcontractor clients oversee multiple offices, varying service lines, and complex organizational structures.
Financial management challenges are abundant since project accounting may have varying requisition, insurance reporting and labor reporting requirements. Overall company financial reporting can be challenging since a significant part of the financial statements involve estimating profits and costs to complete on projects. Sureties, bank, and other stakeholders need to be comfortable that financial reports include reliable estimates.
EisnerAmper approaches each engagement with a big picture perspective, working across our many specialties to provide subcontractors and specialty contractors with a comprehensive service solution that works for their specific needs. We offer a wide range of specialized accounting, consulting and tax services to meet the unique challenges faced by these contractors, including cash flow analysis, operational control reviews, and specialized financial reporting.