Read Stuart Groo’s article in Construction Executive about how “Calculating the Overhead Recovery Rate Can Make or Break a Business”
“When pricing or bidding a job, it is necessary to figure that for every dollar spent on the cost of goods sold, an additional percentage must be added to recover the overhead or fixed operating expenses that cannot be included in the bid.”
At Cogent Analytics, we never stop looking for ways to improve your business and neither should you. So, check out some of our other posts for helpful business information:
[…] importance of knowing what expenses constitute Cost of Goods and what expenses constitute Overhead are critical to establishing a meaningful Chart of Accounts. A meaningful Chart of Accounts gives […]