Capital Constraints to Growth (The Basic Formula)
D. Brown Management
August 24, 2024
Capital is one of the three primary growth constraints for construction contractors. Use this simple formula to determine how much of your pre-tax net profits need to be retained in the company to support growth and to establish your safe growth limits.
capital cash finance growth
Return on Equity and Debt Leverage (2023)
D. Brown Management
August 24, 2024
Construction contracting is a risky business that should yield appropriate returns. We did this fun comparison looking at different types of contractor's financial benchmark returns and debt leverage against some selected other companies for 2023.
capital cash finance planning
Return on Working Capital (Project Level)
D. Brown Management
August 24, 2024
Reduce risk and increase returns by analyzing opportunities and selecting those that offer the highest return on working capital.
capital cash finance strategy
Capital-at-Risk: Basic Categories and Evaluation for Contractors
D. Brown Management
August 22, 2024
Contracting is a capital-intensive and risky business. Understanding the key categories of capital at risk, along with their different risk factors, enables construction owners and leaders to make better decisions.
capital finance risk
Resource - Equipment Fleet Management for Contractors
D. Brown Management
July 22, 2023
Construction Equipment Economics should be required reading for all all owners, senior leadership, and managers of estimating, operations, equipment, and accounting for contractors with equipment fair market value (FMV) exceeding $1M.
equipment estimating field operations finance
Accounting and Finance (Similarities, Differences, and Integration)
D. Brown Management
July 17, 2023
For a growing contractor, understanding the differences between accounting and finance is often a challenge. The two functions are related but very different.
accounting finance organizational development