Middle Georgia, as one of the major growth MSAs (metropolitan statistical areas) in Georgia, has experienced significant growth, population increases, and the resulting benefits of new construction.  Our experiences and client base in real estate and construction covers a wide spectrum including home builders, general contractors, commercial developers, sub-contractors both large and small, property managers, and speculators in commercial and residential rental real estate. 

In serving this diverse real estate & construction client base, we strive to stay on the forefront of emerging issues in the industry and in advising clients as to best-practices.  As a business owner operating in the real estate and construction industry, you have a variety of financial and business challenges that must be dealt with professionally and expertly in order to succeed and to grow your company.  Some of the challenges and issues may include:

• Organization type.  If you are an owner of rental real estate, the organization type you choose will critically impact your accounting methods and your ability to maximize tax benefits from capital transactions as well as periodic income and losses.
  
• Passive activities.  It is unfortunate when taxpayers cannot maximize their losses because they may have gotten trapped as a suspended passive loss.  It is regrettable when this occurs because of the mere failure to properly plan for those losses and their tax treatment.  Careful planning with experienced professionals is critical.
  
• 1031 Exchanges.  Real estate transactions can have significant tax consequences.  However, Congress has included many provisions in the Internal Revenue Code to encourage real estate investment.  These provisions give taxpayers many opportunities for creative tax planning.  Like-kind exchanges allow taxpayers to delay payment of tax, which allows your investment to continue to work for you instead of loosing a portion of your proceeds to taxes.  These transactions can be straightforward or quite complex depending on your goals. 
  
• Income recognition.  For some contractors, a critical component of your financial reporting is the computation and presentation of your percentage of completion calculation.  The process for this calculation is heavily dependent on the consistency of its application and the impact of management decisions related to included or excluded costs such as overhead and other general expenses.
  
• Job Costs.  One of the most unique aspects of construction accounting is in the area of "Job Cost" reporting.  Often times software is used that does not adequately capture job cost information with the result that billing is cumbersome and necessary financial information cannot be readily obtained from the accounting software at a later date.  Invariably contractors resort to utilization of manual spreadsheets and subsidiary ledgers that lead to errors and miscalculations in job costs.  We can help you identify these weaknesses and make useful recommendations to remedy them.

We have worked with a variety of real estate developers, owners, commercial and residential general contractors both large and small, and various subcontractors.  We have developed the experience and expertise to help you identify many of the issues you will encounter, analyze your options, and can provide recommendations for for you to consider.  Please contact us to learn more on how we may be of service to you.