Fractional CFO for Contractors

Your crew is busy.
Your margins are a mystery.

Most contractors doing $1M–$10M know their revenue — but not which jobs, crews, or service lines are actually making money. MarkupCFO delivers CFO-level financial clarity built specifically for the trades.

What lands every month
P&L by job type
Installs, service, maintenance, commercial — not blended
Job costing report
Which jobs made money. Which didn't. Why.
Cash position forecast
30/60/90-day outlook — before problems hit
CFO call included
Numbers explained, actions agreed, every month
$1M–$10M
Sweet spot revenue range
20+ yrs
Trades business finance experience
5 days
First report after onboarding
$750/mo
Starts at — fraction of full-time CFO

Three things every contractor
should know but usually doesn't.

Which jobs are actually profitable

Your bookkeeper gives you one blended P&L. But commercial, residential, service, installs, and maintenance all have different margins. The losers hide inside the winners — and you keep bidding more of them.

Where your cash is going

Revenue is strong and the bank account is tight. You're not losing money — but with payroll weekly, invoices net-30, and seasonal dips, the gap between profit and cash can be $150K or more. Without a weekly view, it's invisible until it's urgent.

Whether your rates cover your overhead

Most contractors don't know their true overhead rate per billable hour. If your pricing doesn't cover labor + materials + overhead + profit margin, every busy season just makes the problem bigger. This is usually where the money disappears.

Built for contractors.
All of them.

The financial challenges are the same across every trade — job costing, overhead allocation, seasonal cash flow, crew profitability. We understand every one of them.

HVAC

Seasonal cash swings, install vs. service margins, maintenance agreement ROI, overhead rate per tech hour

Electrical

Residential vs. commercial margin split, WIP schedules for commercial projects, billing cycle cash gaps

Plumbing

Emergency vs. planned work margins, parts markup analysis, subcontractor cost tracking per job

Roofing

Storm work vs. scheduled margins, material cost variance, crew efficiency by job size and type

Mechanical

Multi-phase project billing, change order tracking, overhead per division for complex jobs

General Contractors

Subcontractor margin management, multi-project cash flow, retainage tracking, WIP across all open jobs

Right-size check: MarkupCFO is built for contractors doing $1M–$10M in annual revenue. Below that, a good bookkeeper is your next move. Above that, you need a full-time controller. We're the gap in between — and we're priced for it.

Concrete reports. Not vague guidance.

Every month, on schedule. The same package that would cost $150K/year in a full-time hire.

P&L by Work Type

Revenue and gross margin broken out by category — not blended. See exactly where each service line stands every month.

Job Costing Summary

Top jobs ranked by margin. Flags underperforming jobs before you bid more like them. The report that pays for itself.

Cash Position Report

Today's balance, what's coming in, what's going out — 30/60/90 days forward. Know before it's a problem.

Monthly CFO Review Call

Walk through the numbers together. Explain what they mean. Agree on 2–3 specific actions. Every month, not once a quarter.

KPI Dashboard (Growth+)

12 key metrics tracked monthly — margins, overhead rate, AR days, labor efficiency. Trend vs. prior month and prior year.

Written Summary + Action Items

After every call: a concise email with what matters, what's at risk, and exactly what to do. No digging through PDFs.

What changes when you
know your numbers.

$180K
Recovered in Month 1
Identified $180,000 in under-billed work and missed change orders in the first month of engagement — found during a standard WIP review.
General contractor, Texas — $4.2M revenue
11 pts
Margin improvement
After job costing analysis revealed commercial service work was running at 31% gross margin vs. 52% for residential, the owner adjusted pricing and shifted mix. Margin improved by 11 points in 6 months.
HVAC contractor, Georgia — $2.8M revenue
$500K
Line of credit secured
Prepared lender-ready financials, overhead rate documentation, and a 12-month cash flow projection. Client secured a $500K revolving line of credit in 60 days — their first.
Electrical contractor, Ohio — $3.6M revenue

Built for people who
work with their hands.

★★★★★

"I've had bookkeepers, I've had accountants — nobody ever told me which jobs were making money until MarkupCFO. First month in, I found out my commercial service work was basically breaking even. We repriced it and that was a six-figure difference in year one."

TM
Travis Malone
Owner, Malone Mechanical Inc. — Nashville, TN
★★★★★

"Cash flow used to blindside me every October. Last year was the first fall in eight years that I didn't have to draw on my line of credit. The 90-day cash forecast changed how I think about the slow season entirely."

SR
Sandra Reyes
President, Lone Star Electrical — Houston, TX
★★★★★

"We were doing $2.1M and I couldn't figure out why I felt broke. Turned out our overhead rate was $8/hour short of what it needed to be — we were subsidizing every job. Fixed the rate cards, and I actually saw the money this year."

MD
Mike Dankert
Owner, Dankert Plumbing & HVAC — Columbus, OH

Simple, flat monthly pricing.
Cancel anytime.

No minimum commitment. No surprise invoices. Pay monthly and cancel with 30 days' notice whenever you want.

Monthly Annual Save 2 months (17% off)
Starter
Essentials
Best for $800K–$2M
$750/mo

  • Monthly P&L by work category
  • Job costing summary (top jobs)
  • Cash position report (30/60/90 day)
  • 1× CFO review call per month
  • Written summary + action items
  • First report in 5 business days
Get Started
CFO
Full CFO
Best for $3M–$7M
$2,500/mo

  • Everything in Growth
  • WIP schedule (commercial/multi-week)
  • Labor efficiency + materials variance
  • Monthly management memo
  • Annual operating budget
  • Strategic advisory (hiring, LOC, exit)
  • On-call async — 4hr response time
Get Started
Partner
CFO Partner
Best for $5M–$15M
$5,000/mo

  • Everything in Full CFO
  • Weekly check-in calls
  • Board/lender-ready reporting
  • M&A and exit preparation
  • Acquisition financial due diligence
  • Multi-entity/division reporting
  • Priority on-call — 2hr response time
Get Started

No minimum commitment. Cancel anytime with 30 days' notice. First month invoiced in advance. All fees in USD.

Works with your tools

First report in 5 business days.

1

Free Diagnostic

30 minutes. We review your numbers live and give you 3 specific findings on the spot. No slides, no pitch — just your financials.

2

Sign & Pay

Simple engagement letter. First month invoiced in advance. Digital signature, 5 minutes. Cancel anytime after.

3

Quick Onboarding

Grant us read access to your accounting software. Fill out a short checklist (1 hour). We configure your report templates.

4

First Report Delivered

Within 5 business days of receiving access. Monthly from there — same schedule, every month. You always know what's coming.

CPA, CMA — 20+ Years in Trades Finance

Financial expertise built
in the field, not a boardroom.

MarkupCFO is operated by a CPA, CMA with over 20 years of management accounting experience working specifically with trades and contracting businesses. That means we understand job costing at the individual ticket level, what a realistic overhead rate looks like for a 12-truck operation, and why your March cash flow doesn't match your February P&L.

We're not a bookkeeping firm. We're not a tax preparation service. We're the financial layer between your books and your decisions — the analysis and forward-looking management that turns your data into clarity.

20+
Years in trades business finance
$800K+
Minimum client revenue
6
Trade categories served
CPA
CMA-certified management accountant

What separates us from generic CFOs

  • We know what a healthy overhead rate looks like for a 10-truck HVAC company
  • We understand WIP accounting for multi-week commercial electrical jobs
  • We know the seasonal cash timing patterns for every major US market
  • We speak job costing, not "project profitability optimization"
  • We work with the software you already have — no forced migrations
  • We price for where you are, not where a $20M company is

Deep expertise.
One point of contact.

Matt leads every client relationship and every call. Behind him is a specialized team of financial analysts, bookkeeping specialists, an industry operations expert, and a modeling analyst — all built specifically for trades contractors.

RT
Rachel Torres
Senior Financial Analyst

Former VP Finance at a regional HVAC company that grew from $4M to $22M. Rachel builds the monthly reporting packages and catches job cost issues before they become habits.

P&L by Service LineBudget vs. ActualOverhead Allocation
DO
Derek Osman
Data & Bookkeeping Specialist

QuickBooks ProAdvisor and Xero-certified. Derek handles data imports, reconciliation review, and AR aging analysis — making sure the numbers going in are the numbers that actually happened.

QuickBooksXeroServiceTitanJobber
PN
Priya Nair, CPA
Tax & Compliance Advisor

12 years in small business and construction accounting. Priya coordinates with your existing CPA — cleaning up management reports, flagging timing decisions, and making sure tax season doesn't create surprises.

Tax CoordinationEntity StructureCompliance
JW
James Whitfield
Industry Operations Specialist

Former operations manager at a $15M HVAC company. James bridges the gap between what's happening in the field and what it means in the financials — he's why our job costing reports actually reflect how trades businesses work.

HVAC & Electrical OpsCrew UtilizationField-to-Finance
SR
Sofia Reyes
Financial Modeling Analyst

FP&A background in PE-backed service businesses. Sofia builds the 30/60/90-day cash models, annual budgets, and scenario analyses that answer "what if we add a crew?" or "can we afford that equipment purchase?"

Cash Flow ModelsScenario AnalysisAnnual Budgets

All client communications and calls go through Matt. The team works behind the scenes to make every call substantive.

Straight answers.

Do I need QuickBooks?
No. We work with whatever accounting software you're already using — QuickBooks Online, Xero, ServiceTitan, Jobber, Buildertrend, Procore, or even spreadsheets. If your books are reasonably current, we can work with them. We'll tell you upfront if anything needs to be addressed before we start.
I already have a bookkeeper. Do I still need this?
Yes — and we won't replace your bookkeeper. They handle what happened (data entry, reconciliation). We handle what it means and what to do next. Most of our clients have a bookkeeper. We coordinate with them. You get both layers working together.
Is there a minimum contract or commitment?
No minimum commitment. Pay monthly and cancel with 30 days' notice whenever you want. Annual plans are available at a 17% discount (2 months free) if you prefer locking in the rate. Either way, you're not trapped.
What if my books are a mess?
That's usually why people call us. We'll do an honest assessment in Month 1 and tell you what we're working with. If you need cleanup before analysis is meaningful, we'll recommend a bookkeeper who knows trades. We've built partnerships specifically for this scenario.
What exactly is the Free Financial Diagnostic?
A 30-minute working session — not a sales call. We ask you to pull up your latest P&L and bank statement. We review them live with you and give you three specific financial observations on the spot: typically something about your margins, your overhead rate, or your cash position. You walk away with real information regardless of whether you become a client.
Are you a CPA? Are you licensed in my state?
MarkupCFO is operated by a CPA, CMA — a management accounting credential. Our services are financial advisory and management reporting, which don't require US state CPA licensure. We're not auditing your books or preparing your taxes — we're the analytical layer between your books and your decisions. You keep your tax accountant; we handle everything in between.

Book your free
Financial Diagnostic.

30 minutes. We review your numbers live and give you three specific findings — job margins, cash position, overhead rate. Real information, no obligation.

  • 30-minute working session

    Not a sales call. We look at your actual numbers and give you real findings before you commit to anything.

  • Three specific findings

    You'll leave with actionable insights on your margins, overhead rate, or cash position — whether you become a client or not.

  • No obligation

    If it's a fit, we'll tell you which tier makes sense and what to expect. If it's not, we'll say that too.

  • Response within 1 business day

    Fill out the form and we'll follow up to schedule your diagnostic. Or email directly: matt@calnan.co

We'll follow up within 1 business day to schedule your 30-minute session.

uch shortly.

Check your inbox for a confirmation. We'll follow up within 1 business day to schedule your diagnostic.

The numbers behind the trades

Real financial insights for contractors who want to know their numbers — written by a CFO who's worked inside the trades.

HVAC

How Much Should an HVAC Company Be Making? A CFO's Breakdown

Most HVAC shops run at 6–8% profit when they should hit 12–18%. The gap isn't HVAC skill — it's financial visibility. Here's the breakdown.

Read article →
Electrical

Why Your Electrical Contracting Business Isn't Profitable (And How to Fix It)

Electrical contractors leave $50K–$150K on the table through bad job costing. The same four fixes work almost every time.

Read article →
Cash Flow

Cash Flow for Contractors: The Simple System That Actually Works

Profitable doesn't mean cash-healthy. The 13-week rolling forecast is the one tool that changes how contractors manage money.

Read article →

How Much Should an HVAC Company Be Making? A CFO's Breakdown

If you run an HVAC company, you probably know the feeling: You're booked solid. Your crew is working. Revenue is coming in. But when you look at your actual profit, something feels off.

You're not alone. Most HVAC contractors are operating at 6–8% net profit when they should be hitting 12–18%. The gap isn't because you're bad at HVAC. It's because you don't have visibility into your real numbers.

Industry Benchmarks: What's Normal?

Revenue RangeHealthy Profit MarginReality (Most Shops)
$500K–$1M15–20%4–6%
$1M–$2M12–18%5–8%
$2M–$4M10–15%6–9%
$4M+10–14%7–10%

Most HVAC shops are operating 5–10 percentage points below industry standard. That's money left on the table every single month.

Why Most HVAC Companies Underperform

1. No Real Job Costing

You bid a furnace replacement at $4,500 and think you'll make $1,500 profit. Real cost after accounting for travel time, truck overhead, office time, apprentice supervision, and warranty follow-ups? Probably $3,800. Real profit: $700, not $1,500. Across 10 jobs/month, that gap costs you $100,000/year.

2. Overhead Allocation Is a Guess

Service manager, office rent, truck fuel, insurance — most shops don't know where these go in job bids. They take a flat markup and hope. Some jobs cover overhead. Some don't.

3. Service Calls Are Priced Too Low

A replacement is a 6–8 hour job with high parts costs. A service call is 1–2 hours with minimal parts. Using the same markup percentage underprices service calls by 30–50%.

The 3 Numbers Every HVAC Owner Should Track

Number 1: Gross Margin by Service Type

Most HVAC shops find replacements run 18–25% margin but service calls only 8–12%. This tells you where to focus.

Number 2: Actual Cost Per Labor Hour

Total payroll + overhead ÷ total billable hours. Your real cost is likely $65–$85/hour. If you're billing $110/hour, you have a problem.

Number 3: Overhead as % of Revenue

Fixed costs ÷ annual revenue. For HVAC, this should be 25–35%. Above 40%, overhead is eating your profit.

What to Do If Your Margins Are Thin

  1. Run real job costing for 60 days. Track every labor hour, material, and truck cost per job.
  2. Separate service call pricing from replacement pricing. Service calls need 1.5–2× the markup.
  3. Audit overhead allocation. Every fixed cost dollar must be covered by your pricing.
  4. Raise prices on unprofitable work. Unprofitable jobs aren't worth having.

Do this work and you'll typically see profit go from 8% to 14–16% within 90 days. Same revenue. Better pricing.

Want to see your real HVAC margins?

MarkupCFO helps HVAC contractors run real job costing, build pricing strategy, and go from 8% to 14%+ profit. Let's start with a diagnostic look at your numbers.

Book a Free Diagnostic

Next article
Continue reading: Electrical contractor profitability →

Why Your Electrical Contracting Business Isn't Profitable (And How to Fix It)

You're billing clients. Revenue looks good. But when you sit down with your accountant in December, profit is thinner than expected.

This is the electrical contractor's classic problem: broken job costing, overhead that's not allocated, and bids that don't reflect real costs.

The Billing Problem: You're Underbidding

A $12,000 commercial remodel bid looks profitable until you add the real costs: travel time (2 hours unbilled), truck cost ($400), job supervision (4 hours), apprentice supervision, warranty callbacks. Real labor: 51 hours, not 40. Real profit: $1,280, not $3,000 — a 43% miss. Across 15–20 jobs/month, that's $100,000+ in annual profit left on the table.

Job Costing Mistakes: The Hidden Killer

Real Job Costing Includes:

  • Direct labor hours (crew time on the job)
  • Indirect labor (management, estimating, coordination)
  • Materials, truck costs, tools/equipment depreciation
  • Overhead allocation (office, insurance, management)

If you're only tracking "materials + direct labor," you're missing 25–35% of your actual cost.

What Profitable Electrical Contractors Do Differently

1. Track Actual Hours, Not Estimates

For 60 days, log all time: on-job, travel, prep/cleanup, inspection waits, rework. Most contractors discover real hours are 15–30% higher than estimated.

2. Calculate Overhead Cost Per Hour

Total overhead ÷ Annual billable hours = Overhead/hour. A $2M shop with $500K overhead = $250/hour in overhead. If you're not loading that into bids, you're underbidding on every job.

3. Price by Job Type

  • Residential: 25–30% markup
  • Commercial: 35–45% markup
  • Service/emergency: 60–80% markup

The Monthly Review That Changes Everything

Review actual job costs monthly. Which job types win? Which crews are efficient? Where are the overruns? Adjust next month's bids. After 90 days, most electrical contractors move from 7–9% to 12–15% profit.

Ready to fix your electrical contractor profit margins?

MarkupCFO specializes in electrical contractor job costing and pricing strategy. We'll help you go from 8% to 14%+ profit without changing your revenue.

Book a Free Diagnostic

Next article
Continue reading: Cash flow for contractors →

Cash Flow for Contractors: The Simple System That Actually Works

Profitable doesn't mean cash-healthy. This is the contractor's finance problem.

Your P&L says you made $300K this year. But cash is tight, payroll is Thursday, and your supplier is calling about a 30-day-past-due invoice. You're profitable on paper. You're broke in reality. This is a cash flow problem — and it's fixable.

Why Contractor Cash Flow Is Different

  • Revenue is lumpy. Some months $100K. Other months $30K.
  • Payment terms are 30–60 days. You invoice today. You get paid in 6–8 weeks. Payroll is Friday.
  • Expenses hit before revenue. Materials, labor, and equipment costs come before the customer pays.
  • Seasonality kills cash. Winter is slow. You're still paying the crew.

Traditional monthly forecasting doesn't work. You need weekly visibility.

The Four Cash Flow Killers

Killer 1: Invoicing Lag

Finishing Thursday, invoicing Tuesday, customer receives Friday = 10+ days of unnecessary delay. Fix: Invoice same day, every time.

Killer 2: Slow-Paying Customers

You agreed Net 30. They pay Net 45–60. Fix: 30–50% deposits on large jobs. Net 14 for small jobs. No exceptions.

Killer 3: Holding Inventory

Pre-buying materials ties up cash for 2–4 weeks. Fix: Just-in-time ordering. Buy for next week, not next quarter.

Killer 4: No 13-Week Visibility

Flying blind. Fix: Build a 13-week rolling cash flow forecast.

The 13-Week Cash Flow Forecast

A simple spreadsheet: week-by-week cash in (invoices expected to be paid), cash out (payroll, suppliers, materials, draws), net, and running balance.

Example

Week 1: In $12K | Out $14K | Net −$2K | Balance $25K
Week 2: In $8K | Out $13K | Net −$5K | Balance $20K
Week 3: In $22K (big invoice) | Out $14K | Net +$8K | Balance $28K
Week 4: In $10K | Out $15K | Net −$5K | Balance $23K

This tells you exactly which weeks are tight, when you can hire, when to defer purchases, and how much working capital you need. Update it every Friday. Takes 20 minutes. Removes all the guesswork.

Ready to fix your contractor cash flow?

MarkupCFO builds 13-week cash flow forecasts and weekly cash management systems for contractors. Stop guessing. Start planning.

Book a Free Diagnostic

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Stop guessing.
Start knowing.

A 30-minute diagnostic. Real findings. No commitment required.

Book Your Free Diagnostic

Or email matt@calnan.co directly