Business for this specialty sub-contractor was good — and had grown to $10M in revenues. But their accounting processes never evolved beyond doing the bare minimum. The person handling all the financials had no formal accounting training. The company was using QuickBooks but the system was not configured properly to produce the information they were looking for.
Because financial reports were not timely, and accuracy was problematic, the company’s ability to obtain bonding was hindered. Worse yet, project managers didn’t have the tools they needed to know where they stood on their jobs. The project managers were being held accountable for the profitability of their jobs, but they had no way of knowing how the job was performing until they closed the job.
The company thought they were saving money by overworking their administrative staff and not hiring accounting expertise. They needed the professional accounting skills and processes of RedHammer to update their software system, analyze job costs, plan cash flow needs, and obtain necessary bonding.