CompareComparison 02 of 04
Construction financial management, against a generalist CFO.
Most part-time CFOs advise across every industry and hand the return to somebody else. We do one industry, and we file it ourselves.
In short
Construction financial management, against a generalist CFO?
A generalist CFO gives good advice across many industries and sends the tax work out. Construction financial management does one industry only. Job costing, WIP schedules, retainage, overbillings and bonding capacity are the whole job here, not a learning curve. We prepare and file the return in-house.
Side by side6 lines
Construction only. Nothing else, ever.
Several industries, construction among them.
Treated as the cash-flow mechanics they are.
Often treated as ordinary receivables.
Built monthly, and built to be underwritten.
Requested from the accountant when needed.
Prepared and filed in-house under an Enrolled Agent.
Handed to your CPA.
Worked on directly with the surety.
Advised on at arm’s length.
Results in the numbers.
Advice about the numbers.
ProofBonding line, six months
“A completely different product than what our old CPA produced.”
Electrical contractor, Seattle WA
$5M to $10M
Questions3 answered
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01
Are all fractional CFOs basically the same?
No. Most are generalists who advise across industries and hand tax work to a CPA. We serve construction only, and because we are led by an Enrolled Agent, we prepare and file the taxes and build the financials ourselves. For a $15K to $15M contractor, that specialization is the difference between advice and results.
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02
Do other fractional CFOs prepare and file your taxes?
Usually not. A generalist advises on strategy and leaves the return to your CPA. We do both. Your taxes are prepared and filed in-house by an Enrolled Agent, and defended before the IRS if it ever comes to that.
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03
Why does a construction-only focus matter?
Five mechanics decide whether a contractor makes money. Job costing, WIP schedules, overbillings, retainage, and bonding capacity. All five belong to construction, and a generalist is weakest there. We do nothing else, so those are the whole job for us, not a learning curve.
NextAustin, Texas
Which job loses money right now?
You cannot see the profit on a job. You must calculate it.