A lien waiver confirms that a contractor, subcontractor, or vendor has been paid a specific amount and thereby waives any prospective claim on that portion of the property's worth. If a subcontractor is paid $50,000 for their services on a job, they may submit a lien waiver stating that they will not contest $50,000 of the value they added to the property. Lien waivers can be conditional or unconditional, and they can be used for partial or full payment.
The Construction Company Accountant plays a vital role in overseeing the financial health of construction projects, ensuring that costs are accounted for and reported accurately. They are key partners in ensuring that construction projects not only stay on track but also deliver on financial goals.
Read MoreCFMA's 2024 Financial Benchmarker shows the construction industry's strong performance in 2023 despite economic challenges. Companies achieved a 10.4% revenue increase and higher profitability, with net income before taxes at 6.3%. Top firms excelled in cost management and asset use, indicating areas for improvement industry-wide.
Read MoreCost codes are vital for accurate job costing in construction. This guide covers their importance, how to set them up in QuickBooks Online, and best practices for improved budgeting, financial reporting, and cost control, ensuring better project outcomes.
Read MoreIn the fast-paced world of construction, managing finances can be especially challenging due to the complexity of long-term projects, multiple job sites, and changing contracts. Construction companies must adopt construction accounting software that complies with Generally Accepted Accounting Principles (GAAP).
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