Cash Flow Forecasting & Management:
Stop Late Payments From Stalling Your Projects
Construction businesses routinely wait 60 to 90 days for payment while covering labour, materials, and subcontractor costs upfront, leaving even profitable projects starved of cash. We build forecasting, retention tracking, and payment systems that keep money moving through your business, not stuck on someone else’s ledger.
- Cash Flow Specialists
- Fast, Accurate Rebate Claims
£3.1m+
CIS Recovered
100 %
HMRC & MTD Ready
50+
Five-Star Reviews
Construction
Tax EXPERTS
Fixed Fee
No hidden charges
HMRC Compliance
Who We Are
Accountants who protect your cash position, not just your accounts
Most construction businesses discover a cash shortfall only when a supplier chases payment or payroll is due, by which point the problem is already live. We track your incoming payments, retention releases, and outgoing commitments together, so you see a cash squeeze weeks before it happens rather than after.
Real time cash flow tracking across active and upcoming projects
Early warning forecasting to flag shortfalls before they bite
Protecting Your Working Capital
Retention money and payment terms shouldn’t hold your business hostage
Retention clauses commonly withhold 5% of contract value until practical completion and again until the defects period ends, tying up cash for six months or more on a single job. On a contractor turning over £500,000 a year, unreleased retention alone can represent tens of thousands of pounds sitting outside the business at any given time.
We track every retention balance and release date against your contracts, and build payment terms into your client agreements that protect your cash position from day one.
100%
CIS Compliance Rate
Forecasting Before the Gap Hits
The earlier we see a shortfall, the easier it is to fix
Cash flow problems in construction rarely appear overnight, they build gradually as payment terms stretch, retention accumulates, and material costs rise faster than invoices go out. We prepare rolling forecasts against your actual project pipeline, so you know weeks in advance whether you need to chase a payment, delay a purchase, or arrange short term finance.
Retention balance tracking across every live and completed contract
Payment term structuring built into new client and subcontractor agreements
Common Pain Points
What Drains Cash Flow on Construction Projects
Most cash flow problems in construction come from a small set of recurring, fixable causes.
Extended Client Payment Terms
Waiting 60 to 90 days for payment while wages and materials are due immediately creates a permanent funding gap.
Retention Money Tied Up for Months
Withheld amounts released only at practical completion and again after the defects period lock up working capital long after the work is done.
Underpricing Jobs Against True Costs
Bids based on outdated material or labour costs can turn a busy period into a loss making one, even with full order books.
Poor Visibility Across Multiple Projects
Without project level cash tracking, a healthy looking bank balance can mask a shortfall building on a specific job.
Seasonal Revenue Swings
With tax withheld monthly but refunds only processed after the tax year ends, subcontractors can face a squeeze even while profitable on paper.
Free Consultation
Let’s talk about your construction accounting challenges
Book a 30-minute call with our specialist accountant for construction business. We’ll look at how your business is set up and flag quick wins you can act on straight away.
- CIS and VAT reverse charge handled correctly
- Deep expertise in contractor, subcontractor tax rules
- Forward-looking advice, not just year-end filing
- Transparent fixed fees, no surprises
Our Services
Comprehensive Cash Flow Forecasting and Management for Construction Businesses
From forecasting through to recovery, we manage the full cash flow picture on your behalf.
Rolling Cash Flow Forecasting
We project your cash position weeks and months ahead based on your actual project pipeline and payment history.
Retention Tracking & Recovery
We monitor every retention balance and chase release dates so money owed to you doesn’t get forgotten.
Payment Term Negotiation Support
We help structure client and subcontractor contracts with payment terms that protect your working capital.
Job Level Profitability Monitoring
We track cash in and out per project, so shortfalls on one job don’t get hidden by surplus on another.
Late Payment Chasing & Credit Control
We manage reminders and follow up on overdue invoices so collection doesn’t fall to you.
Short Term Finance Guidance
We advise on invoice finance, overdraft facilities, and other funding options when a genuine timing gap needs bridging.
Switching Accountants, Step by Step
Four stages from enquiry to full onboarding
Moving to a new accountant mid-contract feels risky, so we have built a process designed to protect your CIS records, VAT position and ongoing site work throughout.
Initial Consultation
A free 30-minute call to walk through your current contracts, subcontractor arrangements and any outstanding CIS or VAT issues.
Custom Fee Proposal
Within 48 hours, you receive a fixed-fee proposal built around your actual contract volume and subcontractor headcount, not a generic package.
Coordinated Transition
We contact your current accountant directly to transfer CIS records, VAT history and working papers without any gaps in compliance.
Continued Support
Once onboarded, our accountant remains your single point of contact for every contract, HMRC query and financial decision going forward.
Client Stories
Real feedback from real construction businesses
Over 60 verified five-star reviews from subcontractors, contractors and developers across the UK.
★★★★★
“I’d been under-claiming CIS repayments for two years without realising it. They found and recovered £14,000 within weeks of taking us on. Nobody had ever explained the scheme to me this clearly before.”
★★★★★
“We had no real idea which contracts were making money until they built us a proper job-costing system. Now we price the next tender based on actual data, not guesswork.”
★★★★★
“Every site brings its own VAT and SDLT questions, and they have never once been slow to answer. Switching from our old firm was the easiest financial decision we have made in years.”
Why Choose US
Why choose Construction Tax Accountants
Dedicated Accountant
Your dedicated accountant already knows your subcontractor payments, your live projects and your VAT position, so every call picks up exactly where the last one left off.
ACCA Qualified Team
Registered as Chartered Certified Accountants, providing you with expert advice you can rely on and trust completely.
Transparent Fixed Fees
You will never receive an unexpected invoice. All fees are fixed, all-inclusive and agreed upfront, with no hourly rates and no extra charges for additional advice or HMRC queries.
Repayments Chased, Not Just Filed
We do not wait for HMRC to process your CIS repayment in its own time. We track every claim and follow up until it is paid.
Cloud Systems Built for Site-Based Businesses
We work across Xero, QuickBooks and FreeAgent, integrated with CIS and job-costing tools so your figures are accurate whether you are in the office or on site.
Beyond the Numbers
We connect clients with invoice-finance providers, contractor-insurance brokers and CITB levy specialists as part of the relationship, not as an upsell.
FAQS
Key Questions and Answers about Cash Flow Forecasting & Management
Why do construction businesses struggle with cash flow even when profitable on paper?
How much retention can I expect to have tied up at any time?
Typically 5% of contract value, split between practical completion and the end of the defects period, though this varies by contract terms.
Can I do anything about clients who consistently pay late?
Yes, stronger payment terms, deposit requirements, and active credit control can significantly reduce how long cash stays outstanding.
How far ahead should I be forecasting cash flow?
At minimum 13 weeks ahead, ideally tied to your actual project schedule so forecasts reflect real payment and cost timing rather than averages.
Is invoice finance a good option for construction businesses?
It can be, particularly for bridging the gap between paying subcontractors and receiving client payment, though the right choice depends on your margins and volume.
Do seasonal slowdowns always cause cash flow problems?
Not if planned for in advance, since forecasting can highlight lean periods early enough to build reserves or adjust spending beforehand.
Why choose Construction Tax Accountants for cash flow management?
We specialise in the specific cash flow pressures of construction, from retention to payment terms, rather than applying generic small business advice to a project based industry.
Still have questions?
Our construction accountants are ready to answer any questions about your specific tax situation with no obligation for an initial conversation.
- Mon–Fri, 9am–5:30pm