Case Study: Leading Construction Business Increase Bonding Company achieves stronger bonding capacity with Marcum LLP

Marcum Helps Construction Business Increase Bonding Program through Fixed Asset Analysis

Leading Construction Business Increase Bonding Company, a premier heavy highway civil contractor, was facing serious scrutiny from its bonding company and bank over the quality of its financial reporting. Marcum LLP was brought in to help address issues around construction estimates, change orders, indirect overhead allocation, revenue recognition, and fixed asset depreciation.

Marcum LLP corrected the company’s accounting and financial presentation by reworking fixed asset useful lives, properly allocating indirect costs, and improving change order recognition. The first restated financial statement increased equity by approximately $2.5 million, and the improved reporting helped the customer strengthen relationships with its bank and bonding company and increase its bonding program.