Last editedNov 20222 min read
To run a construction business, you’ll need to be a master of time management and organisation – both online and off. The best construction accounting software helps you stay on track with automated invoicing, detailed price quotes, and an array of user-friendly templates to save time and money.
What is construction accounting software?
Construction accounting software contains all the same features you’d find in a general accounting package. It helps track billable hours and expenses, generate invoices, and record payments as they’re received. Because most construction businesses are project-based, it’s important to have a system in place to track appropriate financial data in real-time. Expense monitoring is key as you tally up the cost of materials and labour. You’ll also need good payroll features to pay wages to all contractors and employees.
As you compare options, look for software that can handle job costing, retainer fees, and specialised billing with a breakdown of time and material, price per unit, and fixed pricing. You’ll also need to account for depreciation, as fixed assets like vehicles and equipment lose value over time.
Best construction accounting software
The best construction accounting software will handle all the tasks mentioned above and more. Here are our top five choices to help you compare your options.
If you’re looking for a good all-rounder, Xero is an optimal choice. This accounting software provides an up-to-date view of all financial data as you’re on the move from work site to office. It includes templates to generate and send detailed price quotes and project invoices. Customise quotes and convert them into matching invoices. You’ll be able to track the expenses of all supplies and other operational costs, while managing jobs from multiple devices.
2. Better Proposals
Generating detailed, professional proposals is a key component of the construction business. Better Proposals is construction accounting software that focuses on providing the tools needed to land your next project. You can choose from a selection of templates and customise them to reflect your professional branding. Convert proposals into detailed price quotes and invoices, with automated payment reminders and more.
Zoho offers a wealth of products to assist with every aspect of business accounting. Zoho Projects is ideal for construction companies who need to track expenses and manage projects more effectively. It lets you break down large projects by smaller tasks and subtasks. Track billable hours, expenses, and other project costs. Another major benefit of this software is its communication features, which give your clients full visibility into the project’s progress and any outstanding bills they need to pay.
Procore offers real-time financial data for easy project management. This online construction management software supports unlimited users, allowing all members of your team to log in and track their hours and expenses. It also supports unlimited data and storage which is a nice benefit. This means that project managers can issue purchase orders in the field, and have them approved in real-time by the accounting and finance team back in the office. Extra features including project costing, financial forecasting, and automated financial report generation. Procore also integrates with other accounting platforms like Sage and QuickBooks to keep all your data in one place.
Finally, Sage 50cloud is a very popular choice for smaller construction teams and independent contractors. It contains tools to assist you with expense tracking, project costing, and project management. Track billable hours for small teams and keep on top of payroll reports as needed. It integrates with numerous project management platforms and payment gateways. Track money flowing in and out of your business with cash flow forecasting, using the Sage app for on-the-go updates.
GoCardless integrates with over 300 partners, including construction accounting software like some of those mentioned above. Make your workflow more efficient by managing projects, expenses, forecasts, and payments all from a central dashboard.
We can help
GoCardless is a global payments solution that helps you automate payment collection, cutting down on the amount of financial admin your team needs to deal with. Find out how GoCardless can help you with one-off or recurring payments.