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BDO Issues Fall 2016 Real Estate and Construction Monitor Newsletter

What's in store for the U.S. real estate and construction market this Fall? The latest issue of the Real Estate & Construction Monitor examines the role and benefits of R&D credits in construction, checks the pulse on healthcare-focused REITs and offers cybersecurity tips tailored to real estate and construction companies. Articles include:

Read full post  |  Posted by on 09.28.16


As the presidential political season approaches its climactic months, there is growing evidence that the U.S. economy is functioning far better than the headlines. At its foundations, however, the economy is showing cracks. Businesses have slowed the pace of hiring. Corporate earnings continue to decline. Uncertainty about the coming year, perhaps magnified by election rhetoric, seems to be dampening business investment. At the same time the underpinning of the economy, the U.S. consumer, seems to be clearly split about the health of his or her own household finances compared to those of the nation.

Read full post  |  Posted by on 08.11.16


After years of relative stability, construction costs have begun to see upward volatility in several key categories. Steel, fuel and labor have all seen prices rise higher than the overall rate of inflation. In the case of steel and fuel, the increases are rebounds from cyclical lows. Given that incidence rate of those basic materials, and the continued short labor supply, construction prices should move higher faster than inflation over the next year.

Read full post  |  Posted by on 08.11.16

Margin vs. Markup

Understanding the difference between markup and margin, as used in estimating, is essential to the success of your construction company.  Understanding margin allows you to easily make financial decisions and gauge their impact on your bottom line.  Bankers and accountants commonly speak of margin, not markup.

Read full post  |  Posted by on 07.28.16

Breakeven Analysis

Business owners must know their breakeven point. Knowledge of the various components of the breakeven point allows business owners the ability to evaluate fixed costs, variable costs, margin, and profitability.

The breakeven point, using the contribution margin method, is computed as follows:

Read full post  |  Posted by on 07.28.16

ACA and Employers: How Seasonal Workers Affect Your ALE Status

When determining if your organization is an applicable large employer, you must measure your workforce by counting all your employees.  However, there is an exception for seasonal workers.

Read full post  |  Posted by on 07.21.16

Constructing a Construction Company Future with Employees as Owners through an ESOP

The difference between company ownership and employment is being recognized by a growing number of construction companies, which are finding it increasingly beneficial financially and operationally to convert to ESOPs (Employee Stock Ownership Plans).

Read full post  |  Posted by on 07.12.16

The Benefits of R&D Tax Credits

Construction is not an industry that has historically been known for innovation, but times are changing. The advent of "green" building and new sustainability standards, along with advances in digital technology and connectivity, have created the impetus for innovation in everything from building materials to modeling and engineering techniques.

Read full post  |  Posted by on 07.12.16

Internal Controls

Each year many business owners discover that their assets are not as well protected as they thought when they become victims to employee theft.  This is particularly true in small-business environments where a single employee manages all the finances.  Often, there are no “checks and balances” to verify the transactions are accurate.  Most employee thefts are perpetrated by highly trusted employees in key positions, involving substantial sums of money.

Read full post  |  Posted by on 06.30.16

Construction Fraud

Construction fraud: if something on the job smells funny, it probably stinks: six ways to freshen the air 

“Fraud is alive and well within the construction industry and permeates virtually all levels of construction activity for both domestic and international projects.”

The Association of Certified Fraud Examiners didn’t mince words when this was published in 2012. That’s not what you call good news if you’re a construction company owner or the person financially at risk on a construction project. In the past four years, nothing has changed.

Read full post  |  Posted by on 06.02.16

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