article thumbnail

Everyone Wants in on Housing Flipping

Pro Builder

Mortgage trusts, pensions, hedge funds, private-equity firms, investment banks and insurance companies all want so-called flip loans, drawn by yields in the range of 8% to 12% at a time when one-year Treasurys pay less than 0.1%. Remodeling. to make more loans to house flippers as well as landlords, who buy a lot of rehabbed houses.

Housing 52
article thumbnail

Construction Bookkeeping Unique Features

Contractor Bookkeeping

Bank Balance - Un-cleared Checks) = Cash. Breakeven - Is fairly easy to calculate because there is a direct relationship between income and expenses on every item. Bank Account - Escrow Deposits. Bank Account - Operating. Bank Account - Job Deposits. Bank Account - Payroll. Bank Account - Operating.

professionals

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Contractor Bookkeeping Vs. Regular Bookkeeping

Contractor Bookkeeping

Bank Balance - Un-cleared Checks) = Cash. Breakeven - Is fairly easy to calculate because there is a direct relationship between income and expenses on every item. Example #1 - The contractor asks the bookkeeper "How much money did we make on the John and Mary Doe house remodel?" Cash On Hand. Profit And Loss Report.

article thumbnail

Contractor Accounting Vs. Regular Accounting

Contractor Bookkeeping

Bank Balance - Un-cleared Checks) = Cash. Breakeven - Is fairly easy to calculate because there is a direct relationship between income and expenses on every item. Example #1 - The contractor asks the bookkeeper "How much money did we make on the John and Mary Doe house remodel?" Cash On Hand. Profit And Loss Report.

article thumbnail

Construction Bad Debt What To Do About It

Contractor Bookkeeping

You are not a bank so never, ever use your high interest credit cards and supplier accounts to provide financing to your customers in the form of providing a lot of labor, material, subcontractors and rental equipment hoping to get paid later on down the road. 1 Annual sales of $250,000 with $45,000 net income including your salary. #2

Debt 49
article thumbnail

The Most Important Employee In Your Construction Company Is You!

Contractor Bookkeeping

I’m hoping you had “A Lot” and a high net income as that is the purpose of being in business for yourself. As A Sole Proprietor All Your Net Income Is Subject To Payroll Tax! The most common method used by contractors and annual tax preparers is to add up all the deposits on your bank statement.

Income 49
article thumbnail

Choosing QuickBooks Version For Your Contracting Company

Contractor Bookkeeping

QuickBooks Pro - Is great for contractors acting as Sole Proprietor with annual sales under $100,000 who simply need a way to keep track of basic income and expenses. When you spend money record it in the check register as an expense and when you receive money record it as income. Do you remodel existing homes and commercial spaces?