Reports may not be the most exciting part of being a general contractor, but they’re essential for delivering a reliable and complete construction.
For the most part, you don’t need any fancy software for these reports; you can just get some simple form template downloads and fill in your information. The more data you have about your projects, employees, and income, the easier you’ll find it to control your growing construction business.
Here are the five major construction reports you should focus on before you hit the form template downloads.
1. Control Your Expenses With Budget Variance Reports
When planning your next development, you’ll need to first figure out how accurate your previous budget was. A budget variance report will help you identify areas in which you under or over-performed, allowing you to create more accurate, reliable quotes for future clients. Clients also enjoy seeing budget variance reports periodically to give them a better picture of how the project is going.
2. Keep an Eye on the Bottom Line With Your Cash Flow Statement
Your cash flow statements will show you whether or not your business has been productive, whether you’re reviewing it over a monthly, quarterly, or annual basis. Checking your cash flow will ensure that you’re always ahead of your expenses and able to cover your current projects! And on a project by project basis, this statement tells your clients whether they may need to extend their budget.
3. Identify Shortcomings through Labor Productivity Reports
Which of your employees are working — and which of them are slacking off? As a general contractor, the answer may surprise you; you may not always know what’s going on at each work site. Labor productivity reports will give you a general overview of which sites are on target and which are falling behind.
4. Don’t Forget Your Aged Accounts Receivables
Everyone needs to get paid! Your aged accounts receivables reports will tell you exactly who has fallen behind — and who needs to be sent to collections. For general contractors with many clients, an a/r report is often the only way to keep up with debts.
5. Keep Your Employees Safe With Injury and Incident Reports
Injury and incident reports should always be thoroughly prepared for two reasons: to identify areas in which to improve, and to provide accountability for any worker’s compensation or OSHA issues later on. Incident and injury reports create a useful paper trail following employee accidents and their value should not be underestimated.