Tired of fronting job costs? A smarter subcontractor cash strategy

Tired of fronting job costs? A smarter subcontractor cash strategy

In this episode of The Cost Code Show, Ryan Gilmore sits down with Robbie Reynolds, VP of Business Development at Billd, to unpack one of the biggest challenges trade contractors face: cash flow. Robbie explains why subcontractors often end up acting as the bank on construction projects, how long payment cycles create pressure on growth, and what contractors can do to build a smarter capital strategy instead of relying on gut instinct. The conversation covers practical ways to think about liquidity, capital stack planning, financing costs, and tools like lines of credit, supplier terms, pay app advances, and early pay programs. Robbie also shares advice on how subcontractors can avoid common mistakes, plan for downside scenarios, and position themselves to grow confidently and profitably. Be sure to check out the free Working Capital Toolkit linked in the show notes for a deeper dive into the strategies discussed in the episode. Key learning outcomes * Why subcontractors often end up financing projects before they get paid * How to assess your cash needs and build a stronger capital stack * When to use tools like lines of credit, supplier terms, and pay app advances * Why financing costs should be factored into your bids * How better liquidity planning can help you grow and win more work * Where early pay programs fit into an overall cash flow strategy  Get your free Working Capital Toolkit: https://billd.com/resources/capital-stack-whitepaper/

Dialed-in certified payroll: Leveling up your prevailing wage game

Prevailing wage work can be incredibly profitable… Until one “small” payroll mistake turns into a massive compliance problem. In this episode of The Cost Codes Show, host Ryan Gilmore sits down with Jack Biltis, President and Co-founder of eBacon [https://www.ebacon.com/], to unpack what trade contractors really need to know about certified payroll, prevailing wage compliance, and fringe calculations. Jack shares what he’s seen firsthand: why contractors get burned (even when mistakes are innocent), how the best-run shops build a repeatable certified payroll process, and why getting time collection and documentation right is the difference between smooth audits and painful penalties. Key learning points * Why prevailing wage compliance is so risky, and how “small” errors can trigger outsized penalties * What an “ideal” certified payroll workflow looks like (job setup → time capture → approvals → payroll → reports) * How to keep field + office teams aligned * A practical primer on classifications, wage determinations, and where the rates come from * How fringe benefits work, how credits are calculated, and common pitfalls contractors miss * What’s changing next (including updates affecting fringe/annualization and PTO guidance) * The #1 action item Jack recommends for any contractor entering prevailing wage work: electronic time & attendance  Knowify is financially focused job management software for trade contractors. Schedule time to talk to us [https://knowify.com/request-demo/].

Keep, fix, or ditch QuickBooks? A contractor’s reality check

Key takeaways * Most contractors haven’t outgrown QuickBooks, they’ve outgrown a poor setup. Misconfigured cost codes, wrong QuickBooks versions, and misuse of classes or chart of accounts are the real culprits behind bad job costing. * Moving to a mid-tier construction ERP can be a step backward. While platforms like Sage or Foundation offer strong job costing, they often sacrifice usability, integrations, automation, and efficiency. * QuickBooks shines when paired with the right tools. Contractors can unlock enterprise-level workflows by layering purpose-built construction software on top of QuickBooks instead of replacing it. * Technology decisions should start with business requirements, not frustration. Understanding your current pain points, future growth plans, and internal processes is more important than feature lists. * ROI comes from better data and visibility, not just new software. Accurate, timely job cost and WIP data empower better decisions long before “cost savings” show up on paper. * Scalability matters more than sophistication. The best tech stack is one that supports growth over the next 3–5 years without forcing constant platform changes. Ready to take the next step? If you’re looking to extend QuickBooks with real construction management, job costing, and billing workflows, Knowify helps specialty contractors run projects, control budgets, and invoice with confidence—without abandoning the accounting system you already rely on. 👉 Learn more at https://knowify.com [https://knowify.com]. Want to go deeper on construction accounting, ERPs, and tech stack decisions? Scott Franchini’s in-depth articles break down these topics with unmatched clarity and real-world experience. 👉 Explore Scott’s latest insights to continue your research and make smarter technology decisions.  Scott's articles:  * https://www.redhammer.io/blog/before-you-ditch-qbo-a-clear-look-at-the-construction-software-gap [https://www.redhammer.io/blog/before-you-ditch-qbo-a-clear-look-at-the-construction-software-gap]  https://www.redhammer.io/blog/the-complete-guide-to-intuit-enterprise-suite-for-construction-companies-2025 [https://www.redhammer.io/blog/the-complete-guide-to-intuit-enterprise-suite-for-construction-companies-2025]  * https://www.redhammer.io/blog/best-construction-accounting-software-platforms-in-2025-complete-guide-for-contractors [https://www.redhammer.io/blog/best-construction-accounting-software-platforms-in-2025-complete-guide-for-contractors]

Subcontractors, Washington, and What Comes Next: Policy Moves That Matter

In this episode of The Cost Code Show, Ryan Gilmore sits down with Mike Oscar, Director of Government Relations for the American Subcontractors Association (ASA), to unpack what is really at stake for subcontractors in 2025 and 2026. Mike breaks down how ASA is fighting on Capitol Hill to protect subs on issues like prompt payment, change order reform, tax policy, and workforce development, translating dense legislation into real-world impacts on cash flow, margins, and hiring. They dig into how new federal rules, the National Defense Authorization Act, and major tax changes all tie back to day-to-day subcontracting work, plus where ASA is pushing for practical reforms that actually get money into subs’ hands faster and support the next generation of tradespeople. Key Points: * Why timely payment and change order reform remain ASA’s top legislative priority, and how the Small Business Payment Performance Act and related efforts aim to get subs paid 50% on approved change orders before the job is finished. * How updates to federal acquisition regulations (FAR) and the National Defense Authorization Act affect subcontractors working on federal and military projects, and how wins there can trickle down to state and local work. * The real impact of recent tax legislation ("one big, beautiful bill") on subcontractors, including preservation of the 20% 199A deduction, bonus depreciation, Section 179 expensing, and key credits for equipment, vehicles, and clean energy work. * How changes to 529 plans now support students choosing the trades, covering apprenticeship costs, tools, uniforms, and even childcare for those training while raising a family. * ASA’s multi-angle approach to workforce development: supporting apprenticeship programs, engaging schools, exploring immigration-to-apprenticeship pathways, and staying at the table on safety and OSHA rulemaking (including heat standards). * How subcontractors can plug into ASA’s advocacy work to make sure their voices shape the laws and regulations that govern how they get paid and how they grow.

Advising Through Uncertainty: Guiding Construction Clients in Volatile Times

Advising through uncertainty in construction—that’s the focus of this conversation with Deb Defer, Director of CAS Consulting at Woodard. Deb shares the playbook she’s refined across decades in and around construction: from defining CAS the right way, to month-end rhythms that keep owners confident, to the specific numbers that actually move the needle on jobs and margins. We cover early-warning signs (like AP overtaking AR), why consistent WIP methodology matters, and how to simplify job costing so field teams actually participate. Deb also explains how to design a tech stack the crew will use, why forecasting reduces stress, and how advisors prevent burnout with clear expectations and communication. Whether you’re a trade contractor or an accounting pro serving construction, this episode gives you practical tools to stay proactive—and profitable—when conditions get noisy. Key takeaways * CAS = pre-accounting, controllership, FP&A; deliver value at each tier. * If AP > AR, act fast—cash pressure is already here. * Forecast scenarios (2 jobs vs. 5 jobs) to plan hiring, equipment, and cash. * Pick a WIP method (e.g., % complete) and keep it consistent. * Watch gross margin by job; allocate overhead to see true profitability. * Use mobile capture/time tracking so job costs stay real-time. * Set expectations (e.g., close by the 5th–10th), communicate early, and stay human.