Tag: What is a Reasonable Profit in Construction?
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Contractor’s Profitability
It costs a lot more than you realize to build a home or perform residential repairs. This article looks at both the homeowner’s and contractor’s perspective of what one perceives and the other actually incurs.
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Allowances in New Home Construction Contracts – The Business Model
This article is designed to help the contractor address the proper procedures and documentation related to allowances in a new home contract.
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What is a Reasonable Profit in Construction?
For any company, profit is based on the risk reward concept. With construction, what should be the profit (reward) given the risk? What is a reasonable expectation given the industry and the particular business? There is no single correct answer. The construction industry is divided into several significant branches. This article is focused on the residential contractor. From…
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The Financial Truth about Flipping Houses
These two partners in Texas bought a house, fixed it up, and then sold the house. The show illustrated that they made $52,000 from the deal. Really? I have yet to see a deal like that in my accounting experience.