General contractors

A contractor prices the next job on what the last one earned. Most cannot say what that was.

A general contractor doing about $10M a year usually cannot say what a finished job actually earned, because the estimate sits in one place, the field hours sit in another, and the billing sits in a third. Nothing reconciles them until long after the crew has moved on, so the next bid is priced on memory.

Two points of margin between the best and worst crews on a $10M book is roughly $200,000 a year. The money is not hidden. It is just spread across three systems that were never connected, so nobody can point at the jobs it came from.

Helps answer: How do we make money?

The questions a contractor cannot answer today

Can’t tell which one is yours? You are not supposed to be able to. That is the point.

What we connect

These are the systems a business like yours already runs on. Nothing here gets replaced. The work is joining what each one knows into one connected picture of how your business works.

  • Your estimating tool
  • Project and scheduling software
  • Field hours, including paper timesheets
  • QuickBooks
  • Supplier invoices arriving by email
  • The job folder on someone's desktop

Named by what they do rather than by brand, because the brand matters less than whether the thing is connected to anything else.

What a general contractor asks before they start

Can QuickBooks do job costing for a construction company?

Up to a point. QuickBooks will hold costs against a job, but it only knows what someone types into it, and it does not see the estimate, the field hours, or the change order until they are keyed in by hand. That is why the report is usually weeks late and roughly right. The fix is not to replace QuickBooks, it is to connect what feeds it so the numbers arrive on their own.

Do we have to replace our estimating or scheduling software?

No. The point is to connect what you already run on, not to sell you a replacement. Most contractors keep every system they have and simply stop re-keying between them.

Our timesheets are on paper. Does that rule us out?

No, and it is the most common starting point. Paper timesheets are information, they just are not connected to anything yet. Getting them into the picture is usually the single change that makes job profit real.

How long before we can see profit by job?

It depends on how many systems are involved and how clean the history is. The honest answer is that the first useful view usually comes from a narrow slice, one cost type or one division, rather than from everything at once.

Who owns what gets built?

You do. The connected picture and the data in it belong to your business. There is no licence to buy and no long contract, so nothing stops working if you stop working with us.

Everything we have written for general contractors

17 articles, newest first.

The same problem in other trades

The systems change. The gap between what the field knows and what the books know does not.

Pick the three leaks you recognize. We’ll tell you what they typically cost a business your size, in dollars.

Pick the three you recognize. We’ll come back with what they cost, in dollars. No sales call, no sequence.

Would rather just talk? Text us, hello@ondework.com, or the contact form.