The subcontractors budget will help you plan for your subcontractor expenses.
In this video you'll learn how to:
- Budget and plan for subcontractor expenses based on your sales / revenue forecasts
Creating Your Subcontracting Budget
The purpose of this article is just to give you a quick overview of the subcontracting tab within your LMN Budget.
- We suggest adding your Subcontract Expense in by type of work (ie. Gas + Electrical, Fences + Decks, etc).
- The key number in the subcontracting budget is the Forecast which will indicate your Forecast for the budget year. Your Previous numbers would be from the year prior.
- Make sure you're forecasting enough subcontractors to keep up with your forecast sales goal (e.g. if you're forecasting more sales than last year, you might(?) need more subs).
- If you had a special circumstance last year where you used far more (or far less) subcontracting than ever before, don't budget for the same % of subcontractors unless you think that special circumstance is going to happen again!