May 01, 2013
Joseph Natarelli, National Construction Industry Leader & Partner-In-Charge of the New Haven Office, Featured in Construction Business Owner Article "Examining Your Financials: Ask the Experts"
By Jeana Durst
Q: What are the most important financial and accounting concerns for contractors who have just begun to experience a heavier workload?
Joseph Natarelli - CPA, Partner in Charge - Marcum LLP
Congratulations! Work has picked up, and you are growing again. Now, here are the few things you must make sure are in place so that no opportunity for growth is wasted. First, make sure that you have sufficient labor capacity to successfully complete the work you've won. Second, confirm that you have sufficient financing available to fund the increased workload. And lastly, make sure that you have an adequate bonding line to cover the work. Once you've done those three things, you are good to go. I often see contractors entering into joint ventures when they, alone, cannot meet those three goals. This can be a good strategy as long as you know that together you do satisfy all three.