by Werx


QuickBooks is well known and used by many as a standard for accounting. However, construction companies have long struggled to make QuickBooks work for them. Many construction businesses find it tough to use QuickBooks because the software doesn’t contain features conducive to a construction workflow. Here we’ll explore why construction companies find QuickBooks hard to work with.

Difficult To Set Up

The software is difficult to set up for many business owners, especially if they don’t have any accounting expertise. Even with accounting knowledge, every construction business is different, making it hard to find the right settings and preferences in QuickBooks.

For many construction companies, the learning curve is the biggest obstacle to using QuickBooks. QuickBooks is a complex piece of software; it can take weeks or even months for company employees to become proficient in its use. This time could be better spent on other tasks, and it can make QuickBooks a burden rather than a help.

You might need to hire a professional accountant who can set up QuickBooks, choose the r templates and connect it to other software platforms that will work best for your business.

Change Orders can be a Pain to Manage

Keeping track of a bunch of change orders is annoying and can make it hard to do your job the right way. QuickBooks might be able to help with estimates, but it falls short when it comes to making significant changes- you’ll have to deal with potential errors, duplicate data entry, and other headaches.

Large construction accounting companies have found that change orders are less painful if integrated into software platforms specific to their industry. This ensures that any changes don’t result in costly errors and help the project stay on schedule.

Job Cost Reporting is Not Effective

Construction companies using QuickBooks for their accounting needs find that job cost reporting is ineffective in QuickBooks. The main reason is that QuickBooks tracks income and expenses by job and does not let you track actual costs until the job is complete.

This can be a real problem for construction companies, as they need to know the real-time cost of a job to know where your money is spent and whether you are billing correctly or issuing change orders.

If you’re using QuickBooks, you may consider investing in a dedicated construction accounting software that can provide detailed cost breakdowns for each job.

A detailed view of your budget will help you make better decisions about where to spend your money and ensure timely financial reports that accurately reflect your company’s performance.

Bad Customer Service

If you have any problems with QuickBooks, good luck getting them resolved. QuickBooks’ customer service is notoriously bad, and you’ll likely be on hold for a long time before you can speak to a human being. Even then, there’s no guarantee that they will be able to help you resolve your issue. If you’re looking for construction accounting software, choose a provider with good customer service. You’ll be glad you did if you ever run into any problems.

Lack of Flexibility

Another issue construction companies have with QuickBooks is the lack of flexibility. QuickBooks is designed for small businesses and doesn’t offer the same level of customization that larger businesses need. For example, construction projects are often billed per job, but QuickBooks only allows customers to be invoiced monthly. This can make it difficult to track income and expenses for each job.

In addition, QuickBooks does not have built-in templates for common construction reports, such as job cost analysis or progress billing. As a result, construction contractors often have to invest significant time and effort into creating their own custom reports. While QuickBooks may be adequate for some small businesses, it is not always the best choice for scaling construction companies.

A Subcontractor’s Compliance Can’t Be Guaranteed

As a construction company, you’re likely to work with a lot of subcontractors. While you can’t control everything they do, you can be held liable if something goes wrong and they’re not properly insured or compliant with the law. This is a big risk that QuickBooks doesn’t account for. This is where industry-specific accounting software can be a lifesaver. Make sure to choose software that has built-in insurance tracking and subcontractor compliance features so you can sleep easy at night knowing your business is protected.

Payroll is Not Construction Specific

QuickBooks offers basic payroll functionality, but it’s not specific to the construction industry. This means you might be unable to track all the information you need, such as union dues, employee insurance, or certified payroll reports. With QuickBooks, union payroll processing is completely manual- from start to finish. To automate your payroll and make life easier, you’ll need software designed for the construction industry.

Too Many Updates

Since construction companies operate on tight timelines, they can’t afford to have any disruptions in their accounting software. QuickBooks constantly releases updates, which can be a major headache for construction companies. If an update isn’t compatible with your other software or causes problems, it can cause delays and cost you money. New features can also be confusing and take time to learn, which can, again, cause delays.

The Missing Link

In today’s business world, having a cohesive and streamlined operation is more important than ever. Unfortunately, too often, companies find themselves using disparate tools and systems that are disconnected from one another. This is more apparent than in the construction industry, where QuickBooks often leaves gaps filled with spreadsheets and other manual processes. Without a clear and concise method, tracking your progress, money spent, and general operations is difficult. This often results in decreased profit margins.

Closing The Gaps in QuickBooks With Werx

Many construction accounting programs on the market profess to be the solution to all your accounting woes but finding a truly comprehensive one tailored to the construction industry can be a challenge. Werx is different. Werx was created by construction professionals who understand the unique accounting needs of the construction industry.

Construction-specific software, like Werx, helps minimize QuickBooks’s pitfalls by integrating estimating, project management, service management, equipment tracking, and time recording into one system. This allows you to have a single source of truth for your construction accounting needs.

In addition, Werx offers features specific to the construction industry, such as contract management, time tracking, change order management, progress billing, and more. With Werx, you’ll have all the information you need at your fingertips to direct your construction projects, big or small.

Can Werx be an alternative to QuickBooks for Construction Companies?

Werx is well organized, efficient and accurate. The software is designed keeping in mind the specific requirements of a construction business. The features help streamline different tasks of a construction business so that the business can operate smoothly.

Werx offers all of the features of QuickBooks, plus many additional features that are particular to the construction industry. This makes Werx an ideal solution for companies in the construction field.

Read Why Werx is a step above QuickBooks here!

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