Xero Accounting Software Revolutionizes One Construction Business
The construction industry is tough, but Tony and his earthmoving business have been operating in Geelong for some time now. The hours are long (to be ready to start work at 7 AM Tony needs to be up around 5am). He loads his excavator, bobcat and truck, tops up the diesel in all the engines and then hits the road.
Once on site Tony conducts the safety checks, then the rest of the day involves driving machinery, removing concrete, shifting dirt, digging up trees and whatever else the owner or developer requires. Tony also takes phone calls from new and prospective clients and discusses new projects while on the the current job. He rarely has time to make a packed lunch or cook himself a hot meal to bring to the site. At the end of the job he cleans up, packs up, greases the moving parts, moves everything back onto the truck and trailer and then moves onto the next job site to repeat the process.
Tony’s wife Jules, is a nurse and is a very good “people” person. She works a lot of hours and does a lot of shift work. With her long hours and dislike of numbers she is not interested in helping Tony with the books. Especially as the only time they get to see each other is at the end of a long day and some weekends, when they are both so tired. The last thing Jules wants is to talk about is tax and deductions.
Neither Tony nor Jules want to become bookkeepers, but they do want to run a successful business with the right systems in place. They also want support and guidance to ensure that they maintain their competitive edge in the tough world of construction.
But this is the only time in Tony’s busy week that he can squeeze in the invoicing. He reluctantly sits at his old computer, opens up his old MYOB software and starts plugging away.
On July 1st Tony called Diligence Bookkeeping to see if Diligence could help do his tax and to see if there was a better option for his bookkeeping.
Two nights later the owner of Diligence Bookkeeping, Steve Miller, sat with Tony at his dinner table in Torquay, having just created a Xero Accounting Software account and completed the basic Xero setup for Tony. Diligence then loaded the required information for Tony’s invoicing and ensured that all the MYOB contacts and addresses were transferred correctly.
Tony was especially excited when Steve showed him the Xero App for his iPhone that would allow Tony to do his invoicing from the job site so that the customer paid him for the time to complete his invoice before he left the site. This was going to eliminate the evening and weekend job that he used to do instead of spending time with Jules, plus it means that he would get paid faster and his cashflow position would be dramatically improved.
For the first time in his life Tony was very excited about accounting software!!
The invoicing process for his construction business became so much simpler for Tony. Whenever he needed help to add inventory items or to create accounting codes, all Tony needed to do was contact Diligence Bookkeeping and we could make the needed additions remotely due to the cloud based nature of the Xero software. This made Tony’s life become so much simpler and he was so much happier!!
When tax time came around, Tony asked if Diligence could load his last three months of data from Xero into his old MYOB software. Diligence actually recommended that it would be just as quick to load the entire financial year of data into Xero and to complete his end of year tax returns from there!!
Because Tony was able to download an entire year of transactions for each of his accounts and Diligence loaded them straight into Xero the following day.
Tony saw first hand that with great software and support he and Jules were going to be able to have more time together, charge the client for the time it takes to invoice, get some of the bookkeeping done during the day through his iPhone and delegate the rest of his bookkeeping to the Xero Accounting Software specialists at Diligence Bookkeeping.
Tony reckons he does about 20 jobs a week, and it used to take about 10 minutes to do each invoice and he often left it to the weekend. That meant that he was doing over 3 hours of unpaid work on a weekend instead of spending it with Jules and the kids. Because of the time delay from when the job was done to when the invoice was getting done, he knew he was missing key bits of information that were hurting his business. Now with his app for Xero he going to be able to complete an invoice in five minutes and do it before he leaves the customer’s site and email the invoice before he drives off. He says it’s a revolution in his business.