Remove Cash Flow Remove Finance Remove Liability Remove Lien
article thumbnail

Accounting for Retention Receivable & Payable: A Contractor’s Guide

Levelset

Peterson , a construction finance educator and author, “The retention in the retention receivable account is not collectible yet because the contractor has not earned the right to receive it.” Both retention accounts are shown as current assets and current liabilities, respectively. According to Steven J. Fariba Mehdian.

article thumbnail

How to Get Paid on New Jersey Public Projects

Levelset

When payment problems come up, contractors on public projects can’t turn to the mechanics lien for the solution — both the federal and state governments prohibit private companies from gaining interest in public property. New Jersey bond claim laws & liens on contract funds. Preliminary notice requirements.

professionals

Sign Up for our Newsletter

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

article thumbnail

New Contractor Business Start Up

Contractor Bookkeeping

Use Credit Cards - And supplier accounts to finance your new business and be very careful about what you buy. General Liability and Auto/rental equipment insurance can help protect you and your company against claims for personal injury and property damage, and may provide you with legal defense of those claims. You say O.K.

article thumbnail

Unique Tips To Reduce Construction Company Start Up Stress

Contractor Bookkeeping

Use Credit Cards - And supplier accounts to finance your new business and be very careful about what you buy. General Liability and Auto/rental equipment insurance can help protect you and your company against claims for personal injury and property damage, and may provide you with legal defense of those claims. You say O.K.

article thumbnail

We Reduce Construction Company Start Up Stress

Contractor Bookkeeping

Did You Use Your Personal Credit Cards - And supplier accounts to finance your new business and perhaps you were not careful about what you bought? Do Not Offer Financing - Your customer or client''s project by providing a substantial amounts of labor, material, subcontractors and rental equipment hoping to get paid later on down the road.

article thumbnail

How to Start a Painting Business: 9 Keys to Growth & Success

Levelset

As you get deeper into the process, you’ll get to tackle challenges with cash flow, marketing, hiring, and more. You’ll need a name for your business entity and a business structure — often a sole proprietorship or limited liability company (LLC). Keep the cash flowing as smoothly as your paint.

article thumbnail

How to Start a Plumbing Business: 9 Tips for Growth

Levelset

As you get deeper into the process, you’ll get to tackle challenges with cash flow, marketing, hiring, and more. You’ll need a name for your business entity and a business structure — often a sole proprietorship or limited liability company (LLC). Keep the cash flowing through your financial pipes.