If you’re a contractor, you already know how important staying on top of your cash flow is. If the money runs out, your business screeches to a halt!
In a recent post, we highlighted “How Construction Bookkeepers Help You Avoid the Top 10 Construction Company Mistakes.” #1 on that list was “Failing to Keep Good Receipts.”
We get it! It’s easy to tell someone they need to do something, but most people don’t follow up with how to actually get it done. So we’re back with some tips on finding the best receipt tracking app for your construction business.
Best Receipt Tracking App For Small Business
Let’s start with the fact that even though you specialize in building things, you are a small business…even if you’re a one-person operation. In that sense, you’re just like any retail store, restaurant, or service provider. You’ve got revenue coming in and expenses going out. So keeping track of how money is moving through your business is a basic necessity.
If you’re just looking for a simple way to manage your financials, the following apps will help you do that. We’ll get into more construction-specific options in just a minute.
This expense tracker is a great tool for people on the go who are likely to be using multiple devices. Anyone who is making purchases on behalf of your company can load the app on their phone, simply snap a picture of a receipt, and you’ll instantly have a record of the transaction.
You can also connect Freshbooks to your bank account or credit card if you like in order to be able to instantly see all your business transactions in one place. Then, at tax time, you’ll be able to quickly categorize all of your expenses (and take advantage of more deductions!)
Freshbooks is an established company in the accounting world, and their software can further be used to help you track time, send invoices, and generate reports throughout the year.
Their plans range from $15-50 per month, depending on your number of clients. However, you can try it for free and cancel anytime.
Dext is a company that provides the software used by many accounting firms. So you know they understand the importance of keeping accurate numbers.
With Dext’s app, you simply snap a picture of your receipts or invoices and it instantly fills out all of the information for you. Transactions are stored in one place and can be easily sorted however you want so you can see how your money is being spent.
They don’t list prices on their website, but you have the option of signing up for a free trial.
No list of accounting products would be complete without including the company that is arguably the industry leader in financial software! Their business expense tracker makes it easy to snap pictures of your receipts and connect all of your different accounts.
Quickbooks knows accounting and small businesses, and their products are robust enough to handle your company…no matter the size. (It’s possible that if you are just starting out, or running a really small operation, Quickbooks might be more than you need. In that case, one of our first two recommendations could be a better fit.)
Plans start at $12.50/month and go all the way up to $90/month.
Expensify is an app like the ones we’ve already mentioned that lets you easily snap photos of receipts and create digital records of your expenses. One of the additional features that is especially nice for contractors is the ability to also track mileage.
With the Expensify app, you can quickly track receipts, sync with credit/debit card transactions, and set up approval workflows in case you need to okay a purchase made by one of your employees. It automatically lets you know if it detects duplicate receipts and checks the validity of each entry to help you avoid fraud and compliance issues at tax time.
Speaking of taxes, Expensify integrates with several of the major accounting platforms (Quickbooks, Oracle, Xero, Sage…as well as several other types of companies). So when it comes time to prepare for audits and taxes, everything you need will already be connected.
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Best App For General Contractors
GoCanvas was recently listed as one of the Best Construction Apps by The Balance SMB. They consider it one of the best for reporting and record-keeping for contractors who work in the field but need to keep their home office up-to-date.
Their mission is to help reduce paperwork and clutter for people who do work at multiple sites. We’re including it here because of its ability to capture and record receipts, but it does so much more than that. They describe their product as “workflow software for field operations.”
Staying accurate and staying in sync with your office staff is one of the best ways to ensure that you stay on top of your finances as a contractor. Utilizing an app like this could dramatically improve your efficiency…and, as a result, your bottom line.
Pricing for one individual user is free. Beyond that, their “Business” level plan is $45/month per user, and their “Professional” level plan is $55/month per user. You can see what’s included by checking out their site.
Best Invoice App for Contractors
Hands down, Freshbooks is the simplest software that can do everything your contracting business needs when it comes to tracking time, sending invoices, getting paid, and preparing reports.
It also gives you the ability to add individuals as collaborators on projects, so your front office (or even clients) can see exactly what is happening with forms and invoices you’re working with.
Their platform is dependable and easy to use. That way you spend less time doing paperwork and more time doing actual work.
Partner With Construction Accounting Pros
Even with the best software to help you organize your receipts and manage your invoices, you will likely still need the guidance of experienced accounting professionals from time to time.
Our team has been helping contractors and small business owners win with their finances for over 40 years, and we understand how important reliable accounting is to you. So when you’re ready to expect more from your CPA, give us a call at (731) 668-4482 or schedule a call!