Manage your cash flow easily with building estimation software
Anyone who runs a building firm will know that cash flow is key to the success of the business. Many good building firms have fallen by the wayside due to issues with cash management, often stemming from late payments from clients. You might not realise that building estimation software can help you avoid issues and manage your cashflow better.
PLAN SMARTLY
As well as pricing up projects speedily and accurately, the market-leading building estimation software, EstimatorXpress, will generate handy reports which help you to analyse your costs and get a comprehensive view of your cash flow. By combining the estimate costs with the on-board build programme and supplier payment terms, the software gives you a projection of your outgoings for the duration of the project. Stay out of the red by arranging payments from the customer to match your outgoings.
BALANCE THE BOOKS
Ensuring your account stays in the black is crucial for every building firm. But many firms walk the tight-rope with very little cash in their accounts. Building estimation software helps you stay in control of your finances. With all the figures at your disposal, you’ll be better placed to get paid - and pay your bills – on time.
Automatic material order schedules make material ordering easy and efficient
ORDER SMARTLY
Material ordering is fuss-free using the software’s just in time material order schedules. EstimatorXpress combines the calculated material quantities with the on-board build programme to generate a material schedule – so you’ll be reminded of what to order, and when, to guarantee you’ve got everything on site when you need it.
What’s more, you can use the material schedule to negotiate prices with your merchant. The merchant will see your total project spend, rather than a series of smaller orders, putting you in a stronger negotiating position. You’ll no longer have to worry about over-ordering and merchant-restocking fees!
ATTRACT INVESTMENT
Let’s rewind a little. If you require investment to take on a project, you will need to be able to demonstrate to any potential lender that you have calculated your costs fully and realistically. Presenting a clear and well-organised cash flow plan will help you obtain a loan, by demonstrating that you’re a reliable investment. Using the reports generated by your building estimation software, you’ll be able to present your figures in a professional manner, setting lenders minds at ease and helping you to win the investment.
MANAGE THE PROJECT SMARTLY
Unfortunately, things on site don’t always run to schedule. Keeping on top of the progress that has been made versus the planned build programme is vital. If your subcontract bricklayer has been held up and needs an extra day to complete his work, you want to know before the plasterer turns up – otherwise you’ll be paying the plasterer to sit around for a day, waiting to start, and then for another day’s work at the end. The build programme in EstimatorXpress enables you to manage your labour force effectively. Hold-ups will inevitably affect your cash flow so it’s better to be one step ahead!
Cashflow issues can be avoided by building a strong builder-client relationship
BUILD GOOD RELATIONSHIPS
A good builder-client relationship will help protect your cashflow. Being on the same page as the client, understanding their goals and difficulties, can help you avoid payment issues. For this reason, a clearly set-out, professional quote and build programme is crucial for getting things off to a good start.
All the documents in EstimatorXpress are easy to understand from the client’s perspective. You can choose the amount of detail you show in the quote. If you want to avoid difficult conversations about changes to the work or build programme, utilising building estimation software is a no-brainer. It ensures that you, your client and contractors understand each other from the get-go.
WHAT NEXT?
If you’re unsure of which building estimation software is right for your business, take some time to read first-hand reviews by other users of the software. For example, there are numerous testimonials for EstimatorXpress on the HBXL website. Richard Vincent of R Vincent and Sons Ltd, for example, says, “EstimatorXpress has really helped me save time and win work as it stands out from the other software in the amount of detail it includes in the estimate, the break down by build phases, how well its costed and that it gives my customers confidence and peace of mind that there are no hidden costs which in turn helps the project run smoothly”.
Once you’ve found the best match, we’d recommend you take the software for a road-test with a free trial. You can download a 14-day trial of EstimatorXpress today.