The Impact of COVID-19 on the Lease Accounting Standard
COVID-19 is impacting leases in a variety of ways. Thankfully, FASB granted a one-year delay for applying ASC Topic 842, Leases.
How Construction Contractors Can Increase Profits
Many factors go into how much a company profits. Contractors can increase profits by avoiding common mistakes and analyzing data available to them. Here are a few changes construction companies can make to increase profits and improve their financial status.
Be a Good Neighbor: Protect Against Claims by an Adjacent Landowner During Construction
Construction in close quarters can mark the beginning of costly and emotional disputes, which can escalate to costly legal battles during and after construction. Here's how contractors can avoid a lawsuit.
Breaking Down the Work-in-Process Schedule
An in-depth and clear understanding of the WIP components is an essential tool to ensure any potential detriments are addressed immediately, thereby reducing any potentially negative impact on a contractor’s financial statements.
Surcharging Helps Preserve Profits in a Troubled Economy
Given today's uncertain economic climate, it’s more vital than ever for construction professionals to find ways to minimize costs while answering customers' needs, safeguarding profits and elevating their competitive profiles.
Steps Contractors Should Take After Receiving a PPP Loan
Once a PPP loan has been obtained, contractors should work immediately to bring back employees, track expenses by employee and prepare to apply for loan forgiveness right away, which is a huge benefit for all businesses able to obtain this loan.
What Contractors Don’t Know About Equipment Leases Could Cost Them a Fortune
It is never too late to negotiate, or renegotiate, lease agreements—especially when market conditions have changed. In the shadow of COVID-19, businesses are evaluating every aspect of their operations and restructuring lease agreements for assets and property to conserve cash and gain better control over their portfolios.
Topic 606: A Retrospective Review of Revenue From Contracts With Customers
The most significant impact of Topic 606 on construction contractors’ financial statements relates to the presentation of contract assets and contract liabilities, and the disclosures associated with Topic 606. The recording of what is known as “the cost to fulfill a contract” is another area that has been affected.
