Spring 2012 issue of Horizons

19. Develop relationships with subcontractors and suppliers and be proactive in scheduling as they can save you money with efficiency and also serve as your eyes and ears on the job 20. Actively solicit all available supplier rebates 21. Change orders should be documented to avoid any misunderstandings Indirect Construction Costs 22. Maintain relationships of productivity. How many people do you need for volume of production? 23. Charge and account for all costs to specific units whenever possible 24. Budget warranty costs and monitor costs incurred on units closed in prior years 25. Enforce controls on automobile and phone expenses by field personnel 26. Don’t purchase field equipment you don’t need 27. Make sure architectural costs are in your budgets

Other 28. Perform an “autopsy” of each house upon closing 29. Demand internal financial and job cost reporting be done by a predetermined time each month 30. Reconcile everything, every time These components of gross profit will have the greatest impact on improving the bottom line of a company’s performance.

RubinBrown’s Home Builders Services Group As a recognized leader in the home building industry, we serve home builders across the country.

Steve Hays, CPA - St. Louis Partner-In-Charge Home Builders Services Group steve.hays@rubinbrown.com 314.290.3336

Glenn Henderson, CPA, CFP - Kansas City Partner Home Builders Services Group glenn.henderson@rubinbrown.com 913.499.4429

Jim Massaro, CPA - Denver Partner Home Builders Services Group jim.massaro@rubinbrown.com 303.952.1211

www.rubinbrown.com

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