Construction Accountants and Bookkeepers for Small Businesses in London
Vau Consult provides practical business accounting services built specifically for the construction industry helping contractors and subcontractors stay compliant with the Construction Industry Scheme (CIS), track job costs and WIP accurately, monitor profitability project by project, and make informed decisions with confidence.
What is Construction Accounting?
Are you a construction company looking for a reliable, experienced chartered accountants firm to handle your financial needs?
We are a family-run accountancy firm and one of the trusted accountancy firms near me searches turn up — we specialise in accounting services for small business clients tailored specifically to the construction industry, working as dedicated contractor accountants for firms across the sector.
We are well experienced with the unique challenges that construction companies face and can ensure compliance with the Construction Industry Scheme (CIS) and minimise your tax liability as a specialist tax accountant and self assessment accountant, we handle everything from VAT returns to making tax digital for VAT compliance.
Our job costing services will help you accurately track and report the costs associated with your projects, and our modern billing and invoicing will ensure that you receive payment in a timely manner.
We also have specialised accounting software and payroll accounting software that will help you manage the complex data and reporting requirements associated with construction projects.
We also assist with the percentage of completion method, which is essential for tracking revenue in a way that reflects the progress of the project, and we keep your financial accounts accurate and audit-ready throughout.
We can conduct regular financial reviews of your projects, comparing actual costs to budgeted costs and ensure that projects are on track by identifying any potential issues so you can address them in a timely manner.
Don't let accounting and compliance issues hold your construction business back — whether you're searching for an accountant near me or a specialist business accounting partner in London. Contact us today to schedule a consultation.
Construction Accounting vs Standard Accounting
Construction accounting has several distinct features that set it apart from standard bookkeeping and accounting.
Construction projects often involve multiple phases and stakeholders, and the revenue and expenses associated with each phase need to be tracked and reported separately through robust management accounts.
Additionally, construction projects often involve a significant amount of upfront investment which needs to be tracked and accounted for.
As a result, construction accounting requires a more detailed and nuanced approach than standard bookkeeping services — it requires specialised bookkeeping software and tools to meet its unique challenges.
What is the Construction Industry Scheme?
The Construction Industry Scheme (CIS) is a set of rules that govern how construction companies and their subcontractors handle taxes and payments.
The scheme covers a wide range of work, including:
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building,
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civil engineering,
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and demolition.
Businesses that are covered by the CIS include contractors and subcontractors who carry out construction work, as well as landlords who carry out construction work on their own property.
Under the CIS, contractors are required to register with HMRC and obtain a UTR number (Unique Taxpayer Reference). Subcontractors also need to register for self employment with HMRC and apply for a UTR number of their own before they can be paid correctly.
Once registered, contractors are responsible for deducting money from payments made to subcontractors and paying it to HMRC on their behalf. Subcontractors are then responsible for paying their own taxes based on the money they have received.
We can help you to navigate the CIS and ensure compliance with the rules. We can assist with registering for a UTR number, self employed registration, calculating and making deductions, preparing and submitting returns, and resolving any challenges that may arise — including helping you if you've lost your UTR number or need to find your UTR number quickly.
We can also advise on how to minimise tax liability and claim any available tax reliefs.
Work-In-Progress (WIP)
Work-In-Progress (WIP) in construction refers to the value of unfinished work on a construction project. It represents the costs incurred on a project to date, including materials, labour, and overhead expenses that have not yet been billed to the customer or recognised as revenue.
In accounting, WIP is considered a type of inventory and is typically reported as a separate line item on the balance sheet.
The amount of WIP can fluctuate depending on the stage of the project and the amount of work completed.
WIP is important in construction accounting because it provides an indication of a project's financial performance.
It allows construction companies to track progress, identify potential issues, and make adjustments to ensure the project stays on budget and on schedule.
WIP is also used to calculate the percentage of completion of a project, track the costs incurred on the project, and accurately bill the customer for those costs.
This can be done in different ways, depending on the contract type.
For example, some contracts are based on actual costs incurred, and others are based on fixed-price contracts.
Trusted Construction Accounting and Bookkeeping Services
Vau Consult combines accounting and finance expertise with Xero and FreeAgent technology to deliver clear, reliable construction and bookkeeping services for small businesses.
Efficient Solutions for Small Construction Businesses
We help business owners save time, maintain accurate financial records and gain greater confidence in their finances.
"Our payroll used to be a nightmare. Vau Consult took it over and everything runs like clockwork now. Employees get accurate payslips on time, every time. Couldn't ask for more."
Laura.Ch. Owner
“I used to spend every Sunday chasing invoices and receipts. Now I don't."
Liam Atkins .Electrician
“Straight-talking, quick to reply, and they actually understand the effect of CIS on the cash. flow. That was a first for me.”
Sarah.M
Plumbing & Heating
Get a Quote for Construction Accounting and Bookkeeping Services
Tell us a little about your business and the services you need. Whether you are a small business, limited company, sole trader, contractor, freelancer or self-employed, we’ll prepare a clear quote tailored to your accounting and bookkeeping requirements.