Construction Accounting Software for Small Businesses
Construction accounting software offers a way for businesses to manage their accounts and finances, create contracts, estimate and forecast budgets, and keep track of projects. Many companies choose to use construction software to manage all areas of the business, while others may choose to use more specialized applications. With so many options available, finding the right one can be a challenge.
Here are some things to consider when buying construction accounting software:
What kind of accounting is necessary?
How much time will it take to learn?
Can it integrate with other software you’re using?
Is there support available if something goes wrong?
Will this help me stay within budget?
Best Construction Accounting Software For Small Business
The following are the best accounting options we identified for construction businesses and contractors.
- Sage 100 Contractor. Best overall accounting software for construction. Sage 100 Contractor established itself as a popular choice among contractors under its former name of Sage Master Builder. Contractors using the less feature-rich accounting package Sage 50 (formerly Peachtree Accounting) migrated to Sage 100 Contractor to take advantage of the enhanced estimate and job costing ability. Additionally, contractors find Sage 100 Contractor reasonably priced.
- PENTA Construction Management Software. Best accounting software for large contractors or construction companies. For construction companies performing large projects like industrial or utility construction, the most feature-rich option is PENTA Construction Management and ERP software. With a robust Oracle database backend, PENTA offers a unified alternative to oversee accounting and payroll and equipment and inspection management. However, this software’s price and management overhead mean investing in PENTA should not be entered into lightly by any company despite its size.
- Knowify. Best cloud-based accounting software for small to midsize contractors or companies. Knowify is an ideal cloud accounting solution for small to midsize construction businesses, especially those without the staff or infrastructure to run software on-premises. Since it’s a cloud-based option, it allows users to update and manage everything from timecards to invoices in real-time as long as they have access to a Wi-Fi or a cellular network. Knowify also offers a reasonable monthly rate, making it an ideal option for small contractors.
- Jonas Premier. Best cloud-based accounting software for large companies. Jonas Premier is an ideal solution for large companies managing multiple large construction projects simultaneously. Jonas Premier offers many features, all available from various devices—from laptops using a web browser (Chrome, Firefox, and Edge) to mobile phones (using the Jonas mobile apps for iPhone and Android). However, these features come with a hefty price tag, relegating this option to large enterprises exclusively.
- ZipBooks. Best free or low-cost construction accounting software. Understandably, free options for construction accounting software are significantly limited in both availability and features. Nevertheless, for a small contractor getting a business off the ground, there are a few options, with the best being ZipBooks. ZipBooks is not specifically geared toward construction but can be used as a starter option for any industry and offers features such as invoicing, reports, and balance sheets. ZipBooks also provides additional features for incremental costs, or a paid version of ZipBooks is available.
- CoConstruct + QuickBooks Online. CoConstruct is a cloud-based offering used extensively by small to midsize construction firms that are also using QuickBooks Online. Like many up-and-coming cloud solutions, it offers various features ranging from budgeting and timesheets to cost tracking and proposals. As with other cloud-based solutions, construction managers can access the application via a web browser or an iOS or Android device. Additionally, the service has a starting price under $100USD a month, making CoConstruct an attractive solution for many companies, even with the added QuickBooks subscription.
- AccuBuild. Offering both an on-premise and a cloud-based option, AccuBuild can manage construction company accounting needs and provide many features like project and document management for day-to-day operations. Companies can calculate the cost for use by the number of users per month, suggesting AccuBuild can be used by companies both large and small.
- CMiC. CMiC is a cloud-hosted, web-based accounting and financial analytics platform. It boasts a variety of features capable of making it an excellent fit for small businesses and contractors to large companies. CMiC has all the functionality needed from bid to project completion.
- Construction Partner. On on-premises, Windows-based construction ERP and accounting program, Construction Partner is geared toward construction firms of all sizes, although large firms and contractors will get the most use out of the General Ledger, Payroll, and Equipment Management modules.
- ComputerEase. Deltek’s ComputerEase provides a full-featured toolset that delivers construction accounting, job costing, and project management. Construction companies that decide to use the cloud-based option also benefit from the field tools onsite for the enhanced account and job management.
simple accounting software for contractors
The Best Construction Accounting Software
CMiC (Best Overall)
CMiCBest OverallGet PriceWatch Demo
CMiC is an excellent all-around software for construction accounting and financial management. With functionality for accounting, project management, human capital, and the field, CMiC covers most of the essential needs for any construction business. CMiC combines all of the business’s data into a single database that allows users to generate a variety of sophisticated reports that help shed light on project costs and minimize potential risks.
Pros
- Can be scaled to meet the needs of different sized businesses
- Available as either a cloud-based or on-premise solution
- Quality customer support and training materials
Cons
- Users report that the product can be slow at times
- Setup and initial training can be time-consuming
CMiC’s construction-specific accounting systems include core functionality around budgeting, corporate and project forecasting, general ledger, accounts payable, and accounts receivable. The accounting features of CMiC include automated controls and risk management features that help companies minimize risks and errors and maximize financial performance. CMiC creates a single centralized record of past and present financial transactions, which saves time, improves data integrity, and allows for accurate documentation, forecasting, and reporting on financial health.
Beyond its strong accounting and financial management tools, CMiC includes robust tools for project management, human capital management, and asset management. This makes CMiC a strong enterprise offering that allows for alignment and visibility across projects. Additionally, CMiC’s FIELD product includes a mobile app that allows managers and workers in the field to share project information, documents, and status updates with staff in the home office.
CMiC is offered as both a cloud-based and on-premise solution. Users report that CMiC can take a while to set up and learn, but CMiC is able to provide in-depth training to help facilitate the transition to the new system. CMiC also has a strong customer support operation and an extensive library of on-demand reference materials for users to answer questions or troubleshoot themselves.
CMiC also has the benefit of being a scalable solution, just as useful for small construction businesses as it is for larger organizations. While potential customers need to contact CMiC for pricing information, CMiC is a highly customizable solution and its different options for features and deployment help ensure that you can scale it to your business’s needs.
CMiC’s focus on and deep knowledge of the construction industry, strong collection of features, flexibility, and appropriateness for companies of all sizes makes it our Best Overall pick.
FOUNDATION (Runner-Up)
FOUNDATIONRunner-Up
Started in 1985, FOUNDATION is one of the best construction accounting software vendors available. FOUNDATION offers robust features with a wide range of modules for businesses of all sizes, making it a comprehensive and customizable option that can serve a wide variety of construction operations.
Pros
- Easier to learn and use than many other leading options
- Mobile app and cloud-based installation available
- Exceptionally helpful and responsive customer service
Cons
- Reporting capabilities are not as strong as some competitors
- Users sometimes encounter glitches, freezing, crashes, etc.
Like many other construction accounting software options, FOUNDATION’s base modules include job costing, payroll, general ledger, accounts payable, accounts receivable, and purchase order/subcontractor management. FOUNDATION goes further with the comprehensiveness of additional modules for project management, scheduling, inventory and equipment tracking, document imaging, and many other aspects of construction financial management.
Users have mixed feelings about the reporting capabilities of FOUNDATION, with some users feeling that the prebuilt reports do not meet their needs. However, FOUNDATION recently added integration with DataGenie, which strengthens FOUNDATION’s functionality around reporting. FOUNDATION offers a number of predefined reports, but DataGenie offers users the ability to customize and design their own reports.
Users find that FOUNDATION is easy to learn and use, especially compared to other sophisticated construction accounting and management software. Modules are simple to understand and laid out logically. However, some users report that the software sometimes freezes, crashes, or has glitches, and many of the software updates are just to address bugs rather than adding or improving features.
When users run into issues, FOUNDATION is also extremely well-regarded for its customer service, with industry expertise, quick response times, and helpfulness in resolving problems. With so many different features and modules available, this customer support can help customers make sure that they are maximizing the software’s features and functionality.
FOUNDATION is available as both an on-premise and a cloud-based solution, which allows businesses to choose their preferred installation. In addition to offering a cloud-based product, FOUNDATION has a strong mobile app that makes it possible to share real-time information from the jobsite. The mobile app is also helpful for managing employee time and payroll and handling service dispatch.
FOUNDATION’s customizability means that its pricing will vary according to each business’s specific needs. Interested businesses should contact a FOUNDATION sales representative to help determine which modules are right for you and get a quote for a customized package.
FOUNDATION’s strong features and customer service make it one of our leading picks for construction accounting software and our overall Runner-Up.
Sage 300 Construction and Real Estate (Best for Construction Accounting & Project Management)
Sage 300 CREBest for Accounting & Project Management
With thousands of customers and several decades in the industry, Sage 300 CRE is one of the most prominent tools available on the market, supporting complex financial management needs for midsize and large construction firms. As a market leader, Sage 300 CRE has a strong track record that makes it one of the top choices for construction accounting software.
Pros
- Long track record in the construction and real estate industries
- Extensive reporting and business intelligence features
- Strong customer service and support offerings
Cons
- Software can be difficult to learn and the UI feels dated compared to newer competitors
- High price, especially for certain features and higher tiers of customer support
- Only available as an on-premise solution
Sage 300 CRE distinguishes itself with a full suite of features that include sophisticated accounting tools and reports for job costing, payroll and HR, and billing and invoicing. The software also includes features for estimating, document management, project management, business intelligence, and service management, which makes it a strong all-around option for businesses seeking out a comprehensive software product. Sage 300 CRE’s reporting and business intelligence features are among the highlights for many users. With more than 1,400 prebuilt report formats and extensive customization available, Sage 300 CRE allows users to access important insights about their business and individual jobs.
Sage 300 CRE (formerly known as Timberline) has been on the market for several decades. While this has made Sage 300 CRE a trusted product, some users report that certain modules feel outdated or unintuitive and that the product is not as dynamic as some newer competitors. Sage 300 CRE is also only offered as an on-premise solution, so businesses that would prefer the convenience and flexibility of a cloud-based product will have to consider other alternatives.
Additionally, the number and complexity of features makes Sage 300 CRE difficult to navigate for many users, so it may take time to transition from another platform or get new team members up to speed. However, Sage has a well-regarded customer support team who can help ensure that each business makes the best use of Sage 300 CRE’s many tools and features. Sage 300 CRE also recently launched the Business Care Gold Plus Plan, which includes additional enhancements and superior customer support for additional assistance.
Sage 300 CRE’s comprehensive tools come at a fairly high price, which means that it may not be a good fit for smaller companies. While exact pricing will depend on factors specific to your business, Sage 300 CRE can easily cost thousands of dollars per year between implementation costs, ongoing subscription fees, and higher tiers of customer service. But for larger companies with complex operations who are looking for some of the most comprehensive accounting and financial management tools in the industry, Sage 300 CRE is an excellent choice and our pick as Best for Construction Accounting and Project Management.
Jonas Enterprise (Best for Enterprise Customers)
Jonas EnterpriseBest for Enterprise Customers
For large companies looking to add construction accounting software that will meet the complex business needs of multiple simultaneous projects running in various states and localities, Jonas Enterprise is a good pick. Jonas Enterprise is tailored toward commercial construction companies. In addition to the essential job costing elements included in construction accounting software, Jonas Enterprise also has modules suited to general contracting and specialized building trades alike.
Pros
- Comprehensive functionality for accounting and other construction management
- Good for businesses operating in multiple jurisdictions
- Excellent training and customer support resources
- Option for on-premise or cloud-based installation
Cons
- Cost is high for many businesses
- Some users feel the product is clunky and not intuitive
Jonas Enterprise has strong accounting functionality, with seamless integration between the general ledger, job costing, accounts payable, and accounts receivable modules. Users report that Jonas Enterprise has particularly strong job costing features and helpful dashboards and reporting features, with the ability to drill down on particular projects. As an enterprise product, Jonas Enterprise’s functionality extends beyond construction accounting. Jonas Enterprise also includes tools for project management, service management, inventory and equipment tracking, scheduling, and payroll. The payroll module is another standout feature for businesses with complex payroll needs, as the module is capable of handling payroll across different jurisdictions (in both the U.S. and Canada), unions, pay periods, and reporting needs.
With such robust functionality, Jonas Enterprise offers good resources for training and support to help customers get the most out of the product. Training resources during the implementation phase include training videos, lectures, webinars, and documentation. They also have 24/7 customer support hotlines and emailed support available.
Jonas Enterprise can be installed on-premise with a Windows operating system or as a cloud-based service, depending on the company’s preference. For cloud customers, Jonas offers support in setting up the hardware needed to manage and maintain servers. While the on-premise solution is more expensive upfront, Jonas states that the investment for each option comes out to around the same amount after about four or five years.
Compared to other products, Jonas Enterprise can be costly, with an implementation fee of $20,000 and per-user subscription costs of $200 per month or more. However, as a comprehensive solution for many aspects of construction management, Jonas Enterprise is a worthwhile pick for larger companies and our choice for Best Construction Accounting Software for Enterprise Customers.
Sage 100 Contractor (Best Midsize Contractor Accounting Software)
Sage 100 ContractorBest for Midsize Contractors
Formerly known as Sage Master Builder, Sage 100 Contractor is a popular choice for smaller and midsize construction firms. Striking a balance between a reasonable price and strong feature set, Sage 100 Contractor is a great choice for construction professionals who are upgrading from a more general accounting software program like Quickbooks to their first construction-specific accounting solution.
Pros
- Construction-specific features at a reasonable price
- Functionality beyond accounting including estimating and project management
- Strong customer service and training resources
Cons
- Can be challenging to learn for new users
- On-premise solution more cumbersome than cloud-based alternatives
Sage 100 Contractor offers many essential features for construction accounting software, like job costing, work in progress reporting, certified payroll, and change order management. Sage 100 Contractor offers customizable dashboards along with a number of built-in reports that users can also use for key insights on project status, costs, and profitability.
Sage 100 Contractor also includes modules for other important functionality in any construction business, like estimating and project management. This ability to manage multiple aspects of a construction business is highly convenient, and the ability to import and export budgets, subcontracts, purchase orders, and more saves users time and reduces the possibility of data entry errors.
Reviewers find that Sage 100 Contractor offers quick implementation and good customer service. However, one downside is that there is a steep learning curve. Some users report that the product can be difficult to learn, especially for those transitioning from a simpler product like Quickbooks. Sage 100 does have a variety of training resources available to help with this transition, including live and on-demand training, a peer-to-peer learning community, a library of articles and resources, and online customer support chat.
Sage 100 Contractor is installed as an on-premise solution. With more businesses increasingly preferring cloud-based technology, accessing data and keeping up with maintenance and updates can feel cumbersome with Sage 100 Contractor compared to other cloud-based products. For businesses seeking a cloud-only accounting solution, Sage Intacct Construction may be a better option to consider.
Sage 100 Contractor’s focus on small and medium-sized businesses also means that its cost is relatively affordable compared to more comprehensive solutions on the market. While it costs more than Quickbooks and other basic solutions, Sage 100 Contractor delivers solid value with its more wide-ranging feature set. Companies should contact Sage for precise information about pricing structure.
Between Sage 100 Contractor’s strong array of essential accounting features and the ease of implementing and transitioning from a general accounting system, we recommend Sage 100 Contractor as the Best Accounting Software for Midsize Contractors.
Quickbooks (Best Small Contractor Accounting Software)
QuickbooksBest for Small Contractors
While Quickbooks isn’t specifically for construction accounting, they do offer enough capabilities for construction that small contractors can use the software. The Quickbooks for Construction product builds on the basic version of Quickbooks with construction-specific features like job costing and integrations with other construction management software. These basic features, coupled with affordable pricing and a user-friendly interface, make Quickbooks a good option for smaller construction businesses.
Pros
- Affordable pricing for small businesses
- Integrates with construction management software like Corecon and Buildertrend
- User-friendly interface is easy to learn
Cons
- Limited feature set compared to more construction-specific accounting software
- Caps on users make it less appropriate for midsize to large businesses
For construction businesses with a smaller number of employees and projects with predictable job costs, Quickbooks can be a great solution. Many of the more advanced capabilities of competing construction accounting software products will not be available with Quickbooks, but there are enough construction-specific features in its Quickbooks for Construction product to make it a viable solution for some businesses.
Quickbooks includes basic functionality for job costing, invoicing, and contract management. The software also offers dashboards that managers can use to monitor profit margins and costs associated with each project. This includes the ability to track labor costs and employee time, with easy syncing to the Quickbooks Payroll feature for an additional fee.
Another benefit to Quickbooks is the easy-to-learn, easy-to-use interface. Customizing reports, entering invoices, and connecting bank accounts for simplified transactions are all streamlined in Quickbooks. For people without a need for complex financial reporting, Quickbooks makes accounting simple.
As the go-to accounting software for many small businesses, one of Quickbooks’ advantages is affordable pricing. Quickbooks offers two tiers of pricing:
- Plus – $40 for the first three months and then $80 per month after.
- Advanced – $90 for the first three months and then $180 per month after.
Advanced offers more capabilities like batching invoices and bills, automating workflows, and on-demand training for the software. Payroll is an additional feature that can be added on for $22.50 flat plus $4 per employee per month for Core, $37.50 flat plus $8 per employee per month for Premium, and $62.50 flat plus $10 per employee per month for Elite. With Plus, a customer can have five users included in the monthly fee, although up to 25 additional users can be added as the company scales up. For small companies, that should be more than enough to cover the employees who need to access the software.
Most editions of Quickbooks are cloud-based, which means that they can be run on any device with an internet connection, updates are immediately available for installation, and upgrades from one edition of Quickbooks to another are simple. Quickbooks also integrates with many other software programs, so it is easy to use Quickbooks when you want to bring in data from other programs. Construction-specific integrations include project management products like Corecon and Buildertrend.
Conclusion
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