by Simplar | Jun 11, 2026 | Financial Management and Risk, Financial Management and Risk, Weekly Construction Message
The unique nature of the construction financial transaction (total revenues contracted for rather than collected at the point of sale) demands that the three traditional financial statements we have been discussing these past weeks be prepared using the percentage of...
by Simplar | Jun 4, 2026 | Built Environment, Business of Construction, Financial Management and Risk, Financial Management and Risk, Leadership, Weekly Construction Message
Piloting a plane by instruments is the practice of navigating and controlling an aircraft using only the cockpit displays, entirely independent of outside visual references like the horizon or landmarks. It requires precise cross-checking, interpretation, and control....
by Simplar | May 28, 2026 | Built Environment, Cash Flow (Getting Paid), Financial Management and Risk, Financial Management and Risk, Weekly Construction Message
A key risk factor I discovered dealing with thousands of failed contractors was that these contractors failed to use business science tools to manage their business and were often surprised and angry when they suddenly ran out of cash and had to close the doors. If...
by Simplar | Apr 23, 2026 | Business of Construction, Cash Flow (Getting Paid), Financial Management and Risk
Last week we settled on this definition of business which bears repeating: Business is the purposeful pursuit of profit through the commercial activity of satisfying customer needs at a cost that is less than the selling price. To be classified as a business, an...
by Simplar | Nov 28, 2025 | Financial Management and Risk, Financial Management and Risk, Risk Management, Risk Management, Weekly Construction Message
Dennis Birch, a well-respected construction accountant, argued that “many US contractors are watchers instead of managers of their financial affairs.” He claimed that “they do a lot of responding to things that happen to them but don’t have much...
