This Podcast Is Episode Number 412, And It's About The Right Accounting Software Can Increase Your Profits Most construction business owners who use accounting software quickly master the basics. They automate processes like invoicing and payroll, track expenses, and view real-time financial reports to manage cash flow and make better business decisions.  What three reports do you need for your construction business? #1 Cash On Hand - This report shows you how much cash you have in your checking accounts, savings accounts, payroll accounts, hip national bank (your wallet), and petty cash box in your office.  #2 Cash Coming In - This report shows you how much cash your customers and clients owe you and how much of it will be likely to receive in the next 30-60-90 days. #3 Cash Going Out - This report shows you how much cash you owe yourself, suppliers, employees, and the taxman and how much of it will be likely to pay out in the next 30-60-90 days. It used to be QuickBooks was the only real option for construction companies to generate a decent set of Financial Reports and Job Costing Reports, and that is still true. Our biggest pain point with QuickBooks has always been it is like a large semi-truck with two trailers capable of moving massive amounts of data which is great if your construction company needs Work In Progress (WIP) Reporting, Pay Application Invoicing For Large Residential Remodels, Pay Applications For Commercial Tenant Improvement (TI), Job Deposit Tracking, Retention Tracking, Schedule of Values, Complex Job Costing Reporting Services and other construction reporting which we provide. What about the contractors and service companies like plumbing contractors, electricians, handymen, drywall repair, carpet cleaners, HVAC, remodeling contractors that have jobs lasting a few days, locksmiths, and hundreds of other service companies? Xero Accounting Online To The Rescue The short video below shows side by side the primary Financial Reports contractors need in living color. Please take a look and leave a comment; we want to know what you think. Do You Own A Small Contracting Company? Do you look forward to the day where you can press a button and know where all your money is because it is stressful to wing it like you are doing now? Perhaps you own a service and repair firm specializing in plumbing, electrical, HVAC, or maybe a handyman service or someone who does small construction projects that last from a few hours to a few days, and you only need to give your customer or client one invoice? If this describes you, then perhaps Xero is a better fit for you than QuickBooks. We offer both Xero and QuickBooks bookkeeping services for construction contractors and have found the dividing line is how you get paid. QuickBooks Works Best If You Take Job Deposits Have Change Orders Issue Multiple Invoices Need Job Costing Reports Need Payment Applications Periodic Invoices For Bank draws Need Complex Construction Accounting Reports Xero Accounting Online Works Best If You Have Simple Jobs With One Invoice Need Basic Key Performance Indicator Financial Reports Now that you have a better understanding of the right accounting software for your construction company, it's time to take advantage of critical insights that can improve customer care and increase sales.  Gain insights that increase sales If you're not tapping into your QuickBooks or Xero analytics to better understand your customers, you're missing a major opportunity to close more sales. Most accounting software can highlight your biggest spenders and buying trends. How would knowing who your best customers are, your biggest selling services, and how much each customer spends impact your marketing decisions – not to mention help you fine-tune your sales strategies? By the same token, when you know which products and services aren't selling, you'll be able to make more profitable purchasing decisions. Improve customer care and...