Case Studies

Construction Management

Sector: Commercial Construction Company

Region: San Jose, CA

Accounting System: Sage 300 CRE

Solution: Providing CFO services to address prevailing accounting challenges and establish a standardized framework for routine accounting and reporting processes.

Scope:
1. The CEO of a Commercial Construction Company sought our assistance to resolve challenges arising from the abrupt departure of their previous CFO and unresolved issues from the CFO's tenure.

2. Implement standardized accounting and bookkeeping processes to enhance reporting to stakeholders.

Approach:

1. Conducted a thorough analysis of financial reports, accounting processes, work papers, and tax-related documents from previous years.

2. Walked through interim accountants' tasks, system structure, and access to minimize redundancy and errors.

3. Reviewed General Ledger transactions with issues spanning the last 15 years.

4. Evaluated and adjusted system controls to address errors.

5. Engaged with the current accounting team to establish a standardized process for input dependencies from project managers.

6. Developed a detailed checklist covering tasks and potential challenges for seamless execution.

Delivery:

1. Entered concise summarized entries to address errors from prior years.

2. Recorded adjustments in the current year to reconcile differences between tax returns and rectified trial balances. Communicated these changes to the CPA responsible for tax return preparation.

3. Restructured the existing Percentage of Completion (POC) worksheet to accurately reflect revenue and profits from each project.

4. Standardized inputs from project managers for POC worksheet preparation and other data.

5. Provided comprehensive training to the accounting team on various tasks and assigned appropriate rights based on responsibilities.

Value Addition:

1. Rectified errors in previously filed tax returns.

2. Implemented standardized inputs from Project Managers to the accounting team for a streamlined process.

3. Enhanced overall control over the accounting process, facilitating a swift and confident finalization of financial reports for the client.