What is Construction Accounting?

Construction accounting is a specialised branch of accounting focused on managing and recording the financial transactions of construction projects. It encompasses the oversight of budgets, adherence to industry regulations, and forecasting future expenses. 

Unlike conventional business accounting, construction accounting must account for the unique nature of the industry, including project-based operations, long-term contracts, and the involvement of multiple contractors and subcontractors. 

Effective construction accounting is crucial for maintaining cash flow, ensuring profitability, and achieving overall business success within the construction sector.