Get job costing wrong, and you lose money on profitable-looking projects.
Construction is project-based, which means lumpy cash flow and the need for careful job costing. You'll learn to track costs per job (materials, labour, subcontractors, overhead allocation), understand labour efficiency (are your team productive or are they wasting time?), and manage variation orders (changes to scope that generate extra revenue). You'll understand working capital forecasting — how cash is tied up in materials before you invoice, and how retention clauses (customer holds back 5-10% until completion) affect your cash position.
Part of this AskBiz Academy learning path.
AskBiz Academy
Gross margin tells you how much money is left after paying for what you sold. It's one of the most important numbers in any business.
4 min read · Beginner
Part of this AskBiz Academy learning path.
AskBiz Academy
Cash flow forecasting predicts when money will come in and go out of your business. It is the most important financial tool for avoiding insolvency — profitable businesses fail for lack of cash every day.
5 min read · Beginner
Part of this AskBiz Academy learning path.
AskBiz Academy
Break-even analysis tells you exactly how many units or hours you need to sell to cover all your costs. Use it to evaluate pricing changes, new hires, and product launches.
5 min read · Beginner
Part of this AskBiz Academy learning path.
AskBiz Academy
Part of this AskBiz Academy learning path.
AskBiz Academy
Follow this learning path to master construction & trades: job costing and cash flow.
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