Are Your Construction Projects Making Money—or Just Keeping You Busy?
For general contractors and construction business owners, winning more projects doesn’t always mean making more profit. Rising material costs, labor overruns, delayed payments, and inaccurate estimates can quickly squeeze margins and create cash flow problems.
Here are 7 KPIs every construction business should monitor:
Gross Profit Margin by Project – Identify which jobs are profitable.
Cost Variance – Catch budget overruns before they escalate.
Backlog Value – Track contracted work yet to be completed.
Accounts Receivable Aging – Identify overdue invoices and collection delays.
Cash Flow Forecast – Prepare for payroll, suppliers, and upcoming expenses.
Work in Progress (WIP) – Compare project costs, billings, progress, and profitability.
Estimated Cost to Complete – Understand how much more each project may cost to finish.
Monitoring these KPIs helps construction leaders identify financial risks, protect project margins, and make more informed decisions about future work.
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Cube Accounting Solutions
Accounting Services | Tax Services | Fractional CFO Services
940 W 17th St. Ste F, Santa Ana, CA 92706
Email: salesCube Accounting.com
Website: https://cubeaccountingsolutions.com/
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