Construction Company Case Study
Tripled revenues while keeping overhead low
This Construction Company Used Construction Partner Software to Triple its Annual Revenues While Keeping Overhead Low and Profit Margins High
The Problem
In mid-2004, this construction company was a growing, California-based general engineering contractor with a technology problem: its QuickBooks® accounting software was no longer meeting its needs.
"The challenge at that time was two-fold. In QuickBooks, we had no audit trails. So we were spending a lot of time trying to figure out what got changed – and where. We were also beginning to do government work and QuickBooks didn't easily accommodate multiple pay rates." - Marcia P., Construction Company
In addition, the Certified Payroll reports required for prevailing wage jobs were being prepared using spreadsheets, which took a tremendous amount of time. To make matters worse, the company's extensive equipment fleet was also being tracked in spreadsheets.
"We were doing three separate data entries for one payroll cycle." - Marcia P.
So she began to research construction-specific software solutions.
The Solution
When Marcia's investigation was complete, her company purchased new accounting software from Construction Partner.
"I like the fact that Construction Partner is so user-friendly and that all of the modules are integrated. One simple data entry step in the Payroll module allows us to select multiple pay rates, track our equipment and produce our prevailing wage reports." - Marcia P.
The cost was also a factor in the company's decision. Offered as an all-inclusive package that included accounting (with the much-needed audit trails), equipment management, installation and training, Marcia found that Construction Partner was thousands of dollars less than the other construction software programs.
"As a small company, the price was part of the impetus for selecting Construction Partner. We got a complete package that handles all of our accounting and equipment management needs for a single digit figure!" - Marcia P.
The Results
Dramatic Efficiency Gains
"Construction Partner cut our data entry time by two-thirds, which allowed us to spend our administrative time actually growing the business."
Rapid ROI
"Our investment in Construction Partner was returned within six months of purchase because of the time savings related to single data entry."
Certified Payroll
"We're very happy with the Certified Payroll reports in Construction Partner, because they are created with no extra effort on our part and are accepted by all of the public agencies that we report to."
Equipment Management
"We really like the Equipment Management module, because it has allowed us to eliminate our spreadsheets. Now, we manage everything in Construction Partner."
Key Benefits Achieved
Revenue Growth
"Since implementing Construction Partner three years ago, we have been able to triple our annual revenues while keeping our overhead low and our profit margins high!"
Automated Payroll
The software automatically pays each employee the correct rate based on the job and their classification of work. Everything is setup once by job, including different wage scale rates.
Equipment Tracking
When timecards are entered in the Payroll module, equipment hours are also logged. Data automatically flows to Equipment Management and Job Costing.
Better Bonding Capacity
A single report has all costs, what has been billed, income-to-date and job status. On-demand reporting helps increase bonding capacity and project additional jobs.
Bottom Line
"By making our accounting processes much easier, Construction Partner has allowed us to focus our energy on growing the business without adding additional staff." - Marcia P., Construction CompanySee How Construction Partner Can Help Your Company