The client is a mid-size commercial and residential construction company operating across Southern California. With more than 15 years of experience and a portfolio of multi-million-dollar projects, the company has built a strong reputation for quality fieldwork and reliable project delivery.
The Strategic Vision
With strong revenue and a solid market reputation, leadership recognized an opportunity to build more sophisticated financial infrastructure to match the ambition of their growth strategy. They chose to invest in the systems, processes, and expertise that would give them full visibility, predictable cash flow, and the confidence to pursue larger contracts.
Those priorities included proactive cash management, disciplined billing and collections, construction-grade job costing with visibility during execution, and centralized contract management. Leadership elected to invest in outsourced financial expertise rather than build a full in-house accounting department, and partnered with PBO Advisory Group to build the financial foundation their vision required.
The PBO Approach
PBO Advisory deployed a CFO with construction industry expertise to design systems for the outsourced accounting team to implement in a structured operational and financial framework designed specifically for the client’s environment. The team rebuilt the accounting function with standardized month-end close and construction-specific best practices, including WIP schedules, cost-to-complete analysis, and under and over-billing tracking, with comprehensive job-level reporting.
Cash flow management was strengthened through a detailed 13-week forecasting model and weekly cash meetings with leadership. Vendor payments were prioritized strategically based on cash cycles and project timelines. Standardized billing schedules aligned to contract terms, accelerated progress billings, and a proactive follow-up cadence captured revenue faster, while documentation checklists reduced payment rejections.
Contracts, certificates of insurance, lien releases, and change orders were centrally stored, with automated triggers for renewals and expirations. Process maps and system integrations across accounting, project management, and payroll connected field and office, eliminating manual data entry and creating a single source of truth.
The Results
Within six months, the construction company’s financial operations were elevated to organized, predictable, and fully aligned with industry best practices.
- $450K in accelerated collections within the first 90 days
- On-time billing improved from 68 percent to 98 percent
- Days sales outstanding reduced by 22 percent
- Month-end close reduced from more than six weeks to 10 days
- A scalable foundation built without hiring a full in-house team
Beyond the financial performance, the firm gained operational alignment. Real-time job costing replaced spreadsheet tracking, project managers were freed from financial data entry to focus on field execution, and accurate financial data reinforced confident decision-making. Underbilling was reduced by 30 percent and invoice disputes and rejections were cut by 40 percent, creating the working capital clarity and operational efficiency needed to pursue larger projects.
Ready to Elevate Your Financial Operations?
Whether you are looking to optimize cash flow, build construction-specific financial systems, or gain the visibility needed to pursue larger contracts, PBO Advisory Group delivers outsourced solutions that provide enterprise-grade capabilities without the cost of a full in-house team. Contact us today to learn how we can help.
