December 2011

The Value of Benchmarking

It may seem easy to figure out how well your company is doing--you just look at whether or not you made a profit this month or this quarter. But you need to dig deeper if your profits are erratic or not at the level you'd like or expect them to be. You need a way to measure your business's performance in key areas and to identify areas that can be improved. Read more...

Obtaining Bonding in Difficult Economic Times

Contractors need bonding to work on many projects. Unfortunately, obtaining bonding is never a sure thing. Long-established contractors, as well as new and emerging contractors, are being asked by surety companies to meet more stringent requirements in order to get bonding. Before underwriting their projects, surety companies want contractors to provide detailed business plans, regularly updated financial statements prepared by CPA firms, and information on contract terms and conditions. Read more...

Use Caution When Classifying Workers

The construction industry has traditionally relied on a workforce composed of full-time workers and independent contractors. Companies are generally required to withhold income taxes, withhold and pay FICA (Social Security and Medicare) taxes and pay unemployment taxes on an employee's wages. However, these obligations generally don't exist when it comes to payments made to independent contractors. Read more... 

Recycle, Reuse, Boost Profits

Many contractors are literally leaving money on the ground when they don't recycle the waste materials their projects generate. Scrap concrete, wood, metals, glass, asphalt and plastic can all be sold to recyclers. Asphalt and concrete can be recycled into aggregate or new asphalt and concrete products, while wood waste can be turned into composite decking or furniture. Recycling reduces the waste stream and has a positive environmental impact. It's a win-win situation for contractors and for the communities they do business in. Read more...

Equipment Allocation as a Profit Center

Given our present economy, this article's title may have already turned away some readers. But please allow me this effort to provide you with a fresh perspective. If you've ever lowered a contract bid by significantly reducing your estimated equipment costs based on a "gut" feel, please promise yourself that you'll read on. Owning equipment takes a significant deployment of a construction company's capital, and in most U.S. regions that capital is more precious now than ever before. Read more...

Future Tax Law Uncertainties Enhance 2011 Year-End Tax Planning

As the fourth quarter of 2011 commences, it's not too early to think about year-end tax planning. Both businesses and individuals can take action now to reduce their taxes. As always, any action must make economic sense while fulfilling tax planning requirements. Read more...

Developments in Tax and Business

Almost three quarters (73%) of people who do not currently own a home say owning a home is one of their goals. Moreover, 75% of those polled said that owning a home is worth the risk of market fluctuations, according to a survey conducted by Public Opinion Strategies and Lake Research Partners on behalf of the National Association of Home Builders. Read more...

Economic, Banking and Surety Update Webinar - January 12, 2012

2011 real time data on industry performance and outlook will be presented by Somerset and economic and banking experts, including Dr. Matthew Will of the University of Indianapolis. We will review current economic data and indicators, provide an update on the surety and banking industries outlook and practices, plus assess the ever-changing landscape of the political environment, current economic data and indicators. Registration details...

Somerset Construction & A/E Team News and Events

Sage Master Builder Software. Somerset has recently joined the Sage Master Builder reseller community. Master Builder gives smaller and growing construction companies a way to manage your entire business in a more productive way than using off-the-shelf, generic accounting software--to improve your efficiency and bottom line. Please This e-mail address is being protected from spambots. You need JavaScript enabled to view it. .

Lindy Hylton Joins NAWIC. Lindy is a member of Somerset's Construction & A/E Team and recently became a member of the National Association of Women in Construction. She will be active in the Indianapolis chapter. Learn more about NAWIC...