This 1-day virtual instructor-led course is designed for construction company owners, project managers, project coordinators, estimators, accountants, and staff to develop an understanding of accounting processes as it relates to construction projects.
Participants will learn how to design and read various construction financial reports and improve the financial systems of their construction company.
- Understand the various types of contracts within the construction industry and the implications to the design of construction project financial management and stakeholder satisfaction.
- Understand the estimating process from bid to award to site mobilization.
- Learn to read and understand a General Summary Sheet of the bid and the steps to produce a Project Budget.
- Understand the various types of Change Order methods within construction contracts and the implications for Change Order reporting.
- Learn to link the site resources used for a change order to a Daily Extra Report and then to the accounting system.
- Learn to read financial statements: income statement, balance sheet, cashflow, job cost reports, and make decisions on a timely basis.
- Learn to forecast percentage of completion reports: projected income statements, job costing and cashflow to satisfy internal and external stakeholders such as banks and bonding companies.
- Understand and calculate various financial ratios used to understand financial reports and create company dashboards.
- Understand the holdback requirements of the Builder’s Lien Act and typical invoicing processes used at month end.
- Learn to calculate aged accounts payable and receivables separate from holdback amounts.
- Understand the importance of payroll reporting and being able to link this to the project schedule and labour productivity assumptions used by the estimating team.
- Understand the importance of procurement internal controls and the different methods used for recognition of revenue and expenses.
- Understand the normal close out processes and the reports expected for project budget vs. actual, deficiencies and warranties.
Please note the following:
- You will receive an email with easy to follow instructions on how to join the virtual classroom 48 hours prior to the course date.
- Your course manual and handouts will also be emailed to you in a PDF format. It is recommended that you print the handouts as these will be the exercises to be completed in class. You may also want to print the manual to follow along if you do not have a second screen.
- All students are encouraged to use the chat function to ask questions, as well as speaker and microphone during open session discussions.