Construction
Why Builders Need Better Job Costing Before They Can Improve Profit A builder can have a full diary, strong turnover and a busy team but still not make enough profit. That usually happens because turnover is not the same as margin. A job might look profitable when quoted, but the margin can disappear once labour
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The Accounting Checklist Every Growing Construction Business Needs A growing construction business needs more than basic bookkeeping. As a building or trades business grows, the accounts usually become more complex. There may be more jobs running at once, more materials, more subcontractors, CIS deductions, VAT reverse charge issues, payroll, finance payments, retentions, deposits and tighter
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Are Your Building Jobs Priced Properly?
June 18, 2026A great build starts with a smart quote. But for many builders and construction businesses, pricing jobs properly is harder than it looks. Materials are only one part of the cost. Labour, plant hire, subcontractors, transport, waste removal, insurance, overheads, VAT, CIS and tax all affect whether a job actually makes money. At Merranti Accounting,
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VAT in Construction: Reverse Charge Rules Explained Simply VAT can be confusing for construction businesses, especially when the domestic reverse charge applies. The VAT reverse charge changes who accounts for VAT on certain construction services. Instead of the supplier charging VAT and paying it to HMRC, the customer accounts for the VAT on their own
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VAT in Construction: Reverse Charge Rules Explained Simply VAT can be confusing for construction businesses, especially when the domestic reverse charge applies. The VAT reverse charge changes who accounts for VAT on certain construction services. Instead of the supplier charging VAT and paying it to HMRC, the customer accounts for the VAT on their own
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How Construction Businesses Can Improve Cash Flow
June 3, 2026How Construction Businesses Can Improve Cash Flow Cash flow is one of the biggest pressure points for construction businesses. A builder can have plenty of work booked in, strong turnover and healthy profits on paper, but still struggle to pay wages, materials, subcontractors and tax on time. The problem is usually timing. Construction businesses often
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Limited Company or Sole Trader: Which Is Better for Construction Work? Choosing between working as a sole trader or setting up a limited company is one of the biggest decisions for builders and construction trades. There is no single answer that suits every business. The right structure depends on your profit level, risk, admin tolerance,
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Common Accounting Mistakes Builders Make — and How to Avoid Them Running a building business is not just about completing jobs and getting paid. Builders also need to manage cash flow, materials, subcontractors, VAT, CIS, payroll, quotes, invoices and tax deadlines. Many construction businesses are profitable on paper but still feel short of cash because
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What Construction Businesses Need to Know About CIS Tax The Construction Industry Scheme, usually called CIS, is one of the most important tax rules for UK construction businesses. It affects how contractors pay subcontractors, how deductions are reported to HMRC, and how subcontractors manage their tax position. Under CIS, contractors deduct money from subcontractor payments
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Is the VAT Flat Rate Scheme worth it?
May 18, 2026Is the VAT Flat Rate Scheme worth it? The VAT Flat Rate Scheme can be worth it for some small businesses, but it is not automatically cheaper than standard VAT accounting. It mainly simplifies how VAT is calculated. Whether it saves money depends on your flat-rate percentage, how much VAT you charge customers, how much
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