Tax year end update: The tax year end update is completed and will be released during the week commencing 23rd March.
I often say during demonstrations that Job Costing is more important to the majority of our customers than the Accounts. It’s the jobs that make or lose the company money, not the accounts. Customers need to be able to see up to date information at a click of a button to see how a contract is progressing. The job costing capabilities of CIA is the single biggest factor must people choose us.
The CIS (Construction Industry Scheme) module allows customers to verify subcontractors at a press of the button, it automatically calculates and deducts tax, submits the monthly return to HMRC, emails statements to the subcontractors and tells you what tax is due to be paid to the HMRC every month
The Retention diaries allow customers to know exactly how much retention is outstanding and when it’s due for release. The retention diary automatically updates as Certificate of Payments are recorded and Invoices are paid. The amount of times I have been on customers site demonstrating the software and asked “how do you know what retention is due at any particular time” and get a hand waved at a set of shelves to be told “it’s in there somewhere”
The CIA software allows one entry to update everything necessary, for example, if you enter a Purchase Invoice, the Accounts and VAT is updated as with any system, but you also allocate the invoice to the job/s involved.
You setup each job as you win the contract, you can break it down to any number of subdivisions (analysis codes), some people breakdown by build phase, other breakdown by labour, materials etc. The user can decide how much or little detail is recorded according to their requirements.
I think the Construction Industry as a whole has always been a bit slower in embracing technological improvements, obviously there are always exceptions, but (particularly the smaller to mid-range companies we deal with) there is a reluctance to change from the current system, whether that is Construction specific that they are not 100% happy with or generic systems. It’s not just the cost of the software but the hassle of re-training staff. There is also the awareness issue, we are not a household name by any stretch of the imagination, and where we don’t sell to the big companies, it has always been difficult to get the word out.
The amount of times I have been told “why didn’t I know about you 4 years ago when I bought my current system”. We have tried to address this by offering customers accountants free software so they can re-load their clients data, this works for everyone as we very often find once the accountant is aware of CIA (Construction Industry Accounts) they often recommend us to their other construction clients.
I think Job Costing has always been vital to Construction companies, but particularly now, when companies are starting to get busier. More jobs hopefully means more profit but only if the jobs are managed properly, to do this people need to know exactly what is being spent on the job at any point in time, not wait for the information to be collated. Back office staff may have been reduced after the recent slump so if software can help make everyone more efficient (and accurate) it’s a great help.
The whole idea of an integrated Accounts and Job Costing system is that information is only entered once and updates everything, there is no need for extra spreadsheets or other systems. This means job costing information is up to date and relevant, ensuring issues are spotted as early as possible when something can still be done, variations are spotted and customers charged where possible, Retentions are claimed when due, Invoices and Applications are produced as quickly and accurately as possible. All helping the Contract Manager to stay on top of their projects.
CLiP IT Solutions was formed in 2002, when the Directors believed there was a gap in the market for an Accounts and Job Costing software package designed solely for the Construction Industries smaller to mid-range companies. The ethos was to produce software that met the majority of the targets needs backed up by un-rivalled customer support, where all calls where answered immediately by experts. The directors wanted to make sure the customers were able to fully trust that the support line was always available, and that any issues would be answered in a timely fashion.