ERP by industry

ERP software for construction contractors

General and specialty contractors, at the size where the WIP schedule has become a monthly ordeal and the surety, the bank, and the owner all want numbers the accounting system cannot produce. Five percent net margin means a two-point job cost error is forty percent of the profit.

Get a WIP schedule that ties

Your job list, contract values, and cost to date. We produce a WIP schedule from your own data.

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WIP and over/under billingRetainage tracked separatelyWorks on your current ledger

The problems

Six things specific to contracting.

The WIP schedule is a monthly ordeal

Percent complete, earned revenue, over- and under-billing, rebuilt in a workbook every month. Your surety and your bank both read it, and one person can produce it.

Retainage sits outside the ageing

Ten percent held across a dozen jobs is real money invisible in a standard AR report, and it is the first thing a lender asks about.

Change orders live in email

Work proceeds on a verbal approval and gets billed three months later, or not at all. This is the largest recoverable leak in most contractors.

Job cost lags by weeks

Committed cost from open POs and subcontracts is not in the ledger, so cost-to-complete is an estimate rather than a calculation.

Certified payroll and compliance

Prevailing wage, fringe, and certified reporting on public work, plus lien waivers and insurance certificates per subcontractor per draw.

Entities per project or per partner

Joint ventures and single-purpose entities multiply fast, and consolidating them by hand each month is the norm rather than the exception.

Work in progress

Every job, complete against billed.

Overbilling is borrowed cash that has to be earned back. Underbilling is work you have done and not invoiced. Both are normal; both become dangerous when nobody sees them until the schedule is rebuilt at month end.

0%25%50%75%100%Riverside Mixed Useunder 14Fulton St Retrofitover 13Harbor Logistics Pkunder 3Westgate Phase IIover 8Depot Rd Warehouseunder 8Northline Tenant Fitunder 2● percent complete · bar to percent billed · blue = overbilled, amber = underbilled
Overbilling is the one that flatters you

An overbilled portfolio looks like healthy cash and is a liability — you have been paid for work not yet performed, and the earnings will arrive without the cash to match. Contractors get into trouble in the quarter after a big overbilled job finishes, and a live WIP schedule is the only warning you get.

Where the money goes

Contract revenue to net margin.

A representative shape for a general contractor. Note the size of the subcontractor line — most of your cost is other people’s work, which is why committed cost and change-order discipline matter more here than anywhere else.

100%Contract revenue46%Subcontractors22%Materials13%Direct labour5%Equipment9%Overhead5%Net marginrepresentative general contractor economics · specialty trades differ materially

Your stack

Keep the field tools.

Consolidated into erp.io

  • WIP schedule workbook
  • Over/under billing calculation
  • Retainage tracking
  • Committed cost from POs and subs
  • Change order log
  • Entity consolidation

Kept and integrated

  • Procore or Autodesk Build
  • Bluebeam
  • Gusto, ADP or Points North
  • Equipment telematics
  • Bank and surety portals
  • QuickBooks, Sage 100 or Intacct

Benchmarks

What good looks like for a contractor.

From engagements with contractors between $15M and $120M in annual volume. Small sample, stated deliberately.

Days to produce WIP
3 daysmedian 16 days
Change orders billed within 30 days
91%median 54%
Committed cost visible
livemedian monthly
Retainage tracked separately
100%median 41%
Days sales outstanding
52 daysmedian 71 days
Jobs with live cost-to-complete
100%median 27%

Change orders are the recoverable money

In nearly every contractor we work with, the largest single recoverable leak is change orders performed and never billed, or billed so late that the owner disputes them. It is not a systems problem in origin — it starts with a superintendent agreeing to something on site — but it becomes one the moment there is nowhere structured for that agreement to land.

What fixes it is unglamorous: a change order object that exists from the moment work is discussed, carries a status, ages like a receivable, and appears on the same report as the job’s cost-to-complete. Once unbilled change orders are visible next to margin, the conversation with the owner happens in week two rather than at closeout.

The cheapest revenue available to most contractors is work they have already performed and not invoiced.

Committed cost is what makes cost-to-complete real

A job cost report built from posted invoices is always behind, because the largest costs — subcontracts and material orders — are committed long before anyone bills you. Without committed cost in the calculation, cost-to-complete is a project manager’s estimate wearing the authority of an accounting number.

Bringing open purchase orders and subcontract balances into the job cost view is a modest piece of work with a disproportionate effect: percent complete stops being an opinion, and the WIP schedule stops needing to be argued about.

Where we are not the right answer

Heavy civil, self-perform with large equipment fleets, and contractors needing full field operations — daily logs, drawings, RFIs, submittals — should run Procore or Autodesk for the field and integrate with us for the financials. We are the accounting and job-cost layer, not a field management platform, and we are not the right answer for anyone wanting one system for both.

Questions

What contractors ask.

Do you replace Procore?
No. Procore and Autodesk Build own the field — daily logs, drawings, RFIs, submittals — and we integrate with them. We are the financial and job-cost layer, and contractors who want one system for field and finance should look elsewhere.
Can you produce a WIP schedule our surety will accept?
Yes — percent complete, earned revenue, over- and under-billing, and backlog, in the format sureties and lenders expect, produced from live data rather than rebuilt monthly.
How is retainage handled?
Tracked separately on both receivable and payable sides, aged independently, and released against your billing schedule. It appears in cash forecasting as the distinct thing it is rather than being buried in ordinary ageing.
Do you support certified payroll?
We integrate with Points North, ADP, and similar for certified reporting and prevailing wage. We map the results into job cost rather than running payroll ourselves.
What about joint ventures?
Multi-entity with intercompany elimination handles JVs and single-purpose entities, including partner allocations. This is one of the more common reasons contractors outgrow QuickBooks.

Stop rebuilding WIP every month.

Send your job list and cost to date. We will produce the schedule from your own data before you commit to anything.