🏗 Main Contractor · Office, Medical & Retail Fit-Outs · Manchester, England · BlackpeakCFO Deliverable
Monthly Management Accounts
January 2026 · Month 1 of 12 · Year Ending 31 December 2026
Hargreaves Construction Ltd
Manchester, England · Commercial Main Contractor — Office, Medical & Retail Fit-Outs
Founded 2018 · Annual Revenue ~£8.5M · 42 Employees (30 Field + 12 Management/Office) · Projects in Manchester, Salford & Leeds
General Contracting · Commercial GCManchester, England · Greater ManchesterEst. 2018 · 6 Years OperatingRIDDOR ✓ 0 Reportable Incidents YTD 2026CIS Contractor · Ltd Company
Prepared by BlackpeakCFO · Issued 3 February 2026 · Actuals through 31 January 2026. Revenue recognised by stage of completion (FRS 102 Section 23). WIP schedule reconciled monthly: amounts under-claimed are current assets, amounts over-claimed are current liabilities. Retention (10%) excluded from current debtors and creditors and shown separately. Corporation Tax accrued at £2,400/month. CIS deductions reconciled monthly. Employers’ liability insurance renews April 2026. For management use only — confidential.
BLACKPEAKCFO™ | MANAGEMENT ACCOUNTSHARGREAVES CONSTRUCTION LTD · JANUARY 2026CONFIDENTIAL MANAGEMENT PACK
IndexTable of ContentsConstruction Management Accounts · January 2026 · BlackpeakCFO
1
Cover Page
Company overview, Manchester operations, basis of preparation and confidentiality
2
Table of Contents
Section index, key highlights and percentage-of-completion accounting basis
3
CEO Dashboard & KPI Scorecard
8 headline KPIs, verdict dashboard and management commentary — January 2026
4
WIP Schedule
Percentage-of-completion for 6 active jobs — over-claim and under-claim analysis
5
Job Cost Report
Cost breakdown by category for top 4 active projects with budget variance
6
Income Statement
P&L — January 2026 actual vs Dec 2025 vs January budget with variances
7
Cash Flow Statement
Operating, investing and financing cash flows — retention analysis and 6-month trend
8
AR Ageing Report
Accounts receivable ageing by client — retention schedule and collection status
9
AP & Subcontractor Ageing
Payables ageing by vendor and sub — retention withheld schedule
10
Backlog & Project Pipeline
Remaining order book by job, tender pipeline and weighted probability analysis
11
Budget vs. Actual Variance
Line-by-line P&L variance with detailed commentary — January 2026
12
Finance Actions & 90-Day Plan
Immediate priorities, 30-day actions and strategic initiatives — England compliance
✨ Key Highlights — January 2026
▲Revenue £44K ahead of budget (+7.6%) driven by Salford Medical acceleration — improved billing cadence under new PM increased January draws
▲Gross margin 21.2% vs 20.0% budget — better subcontractor pricing on Salford M&E and reduced material waste on two jobs in January
⚠Net under-claims £193,400 — billing team to accelerate invoicing on Northgate HQ (0% billed, £176,000 earned to date). First application for payment due 28 Feb.
🚨 What This Report Caught That You’d Have Missed
(1) Northgate HQ has £176,000 in earned revenue with £0 billed — that’s cash sitting on the table. Without this report, you wouldn’t know until the bank account got tight. (2) Steel prices up 4.2% since Q4 quote — if you don’t lock alternate suppliers now, your next 3 projects inherit that margin hit. (3) Labour at 109.7% of budget across the portfolio — not one bad week, but a pattern that costs £42,000+ annually if uncorrected.
Accounting Basis: Revenue recognised by stage of completion (FRS 102 Section 23), based on costs incurred as a proportion of total estimated costs. WIP Schedule reconciled monthly: amounts under-claimed (costs in excess of applications) are recorded as current assets (amounts recoverable on contracts); amounts over-claimed (applications in excess of costs) as current liabilities (payments on account). Retention (10% per contract) excluded from current debtors and creditors; shown in separate schedules. Corporation Tax accrued monthly at £2,400. CIS: monthly return filed by the 19th; deductions from subcontractors paid over with PAYE. Accident book maintained — 0 RIDDOR-reportable incidents YTD.
Hargreaves Construction Ltd · Manchester, England · BlackpeakCFO · Construction Management PackPage 2 of 12
BLACKPEAKCFO™ | MANAGEMENT ACCOUNTSHARGREAVES CONSTRUCTION LTD · JANUARY 2026CONFIDENTIAL MANAGEMENT PACK
DashboardCEO Dashboard & KPI ScorecardJanuary 2026 · vs. Budget & vs. December 2025
Monthly Revenue
£624,000
Budget £580,000 ▲ +7.6%
Gross Profit
£132,300
Margin 21.2% ▲ vs 20.0% budget
EBIT
£44,900
7.2% margin ▲ +68.8% vs budget
Active Backlog
£5,437,600
6 active projects ● stable
Cash Position
£435,500
+£51,300 vs 1 Jan ▲ improving
AR Outstanding
£915,100
Incl retention £387,200 ●
Active Jobs
6
All in Greater Manchester ●
Headcount
42
30 field + 12 office ● stable
January 2026 Verdicts:✓ Revenue AHEAD+£44K vs budget (+7.6%) — Salford acceleration✓ Margin ON TARGET21.2% actual vs 20.0% budget — sub pricing favourable✓ Cash IMPROVING£435.5K closing — strongest since Q3 2025✓ Safety 0 INCIDENTS YTDAccident book: 0 RIDDOR-reportable incidents year-to-date 2026
January Revenue vs. Budget · By Driver
Driver
Actual
Budget
Var
Salford Medical Centre
178,400
148,000
+30,400
City Centre Hotel Phase 2
142,600
148,000
(5,400)
Deansgate Office Suite
126,400
118,000
+8,400
Other 3 Jobs
176,600
166,000
+10,600
TOTAL REVENUE
624,000
580,000
+44,000
📌 January Commentary: Revenue outperformed by £44K primarily due to Salford Medical reaching a major milestone (M&E first-fix completion) triggering a £30K billing uplift. Cash closing at £435,500 — best level since Q3 2025 — driven by strong collections. Key watch item: Northgate Corporate HQ has £0 billed against £176K earned — first application for payment must be issued by 28 February. City Centre Hotel labour costs running over budget — mitigation plan in place (see P5). Manchester construction labour market tightening in Q1 2026.
P&L Summary · Jan 2026
Line
Actual
Margin
vs Bdgt
Contract Revenue
624,000
100%
+7.6%
Total COGS
(491,700)
78.8%
fav
Gross Profit
132,300
21.2%
+1.2pp
Total G&A
(87,400)
14.0%
—
EBIT
44,900
7.2%
+68.8%
Net Income
41,300
6.6%
+79.6%
🏗 Resourcing Note: Enquiries for medical and office fit-outs continue in the pipeline. Labour availability for skilled trades is tightening — recommend confirming subcontractor commitments for H2 pipeline projects. No material supply chain disruptions currently affecting active jobs.
Cash flow strongest since Q3 2025 — £435,500 closing. Net under-claims £193,400: Northgate HQ application must be issued by 28 Feb. Safety record excellent: 0 RIDDOR-reportable incidents.Page 3 of 12
BLACKPEAKCFO™ | MANAGEMENT ACCOUNTSHARGREAVES CONSTRUCTION LTD · JANUARY 2026CONFIDENTIAL MANAGEMENT PACK
WIPWork-in-Progress Schedule — Stage of Completion Method31 January 2026 · All amounts in GBP · FRS 102 Section 23
Job Name
Location
Contract Value
% Complete
Revenue Earned
Billed to Date
Over / (Under) Billed
Est. Completion
Deansgate Office Suite
Manchester
1,850,000
78%
1,443,000
1,510,000
+67,000 OVER
Mar 2026
Salford Medical Centre
Manchester
2,340,000
52%
1,216,800
1,180,000
(36,800) UNDER
Jun 2026
Trafford Retail
Manchester
890,000
94%
836,600
845,000
+8,400 OVER
Feb 2026
Ancoats Law Firm
Manchester
1,120,000
23%
257,600
224,000
(33,600) UNDER
Aug 2026
City Centre Hotel Phase 2
Manchester
1,640,000
41%
672,400
650,000
(22,400) UNDER
Sep 2026
Northgate Corporate HQ
Manchester
2,200,000
8%
176,000
0
(176,000) UNDER
Dec 2026
TOTAL
10,040,000
4,602,400
4,409,000
(193,400) NET UNDER
Balance Sheet WIP Positions
Amounts Recoverable on Contracts (under-claimed — current asset)£268,800Payments on Account in Excess (over-claimed — current liability)(£75,400)Net Under-Claimed Position(£193,400)
Over-claims represent applications ahead of work done — revenue will be earned in future periods under FRS 102 Section 23.
⚠ ALERT — Northgate Corporate HQ: Job is 8% complete with £0 billed against £176,000 earned. This is the largest single under-claim. First application for payment must be issued by 28 February 2026. Owner: Billing Manager. Client: Northgate Developments Ltd.
WIP reconciled monthly under FRS 102 Section 23. Under-claims (£268,800) = current asset. Over-claims (£75,400) = current liability. Net under-claimed £193,400 — applications for payment to be brought forward on 3 jobs.Page 4 of 12
BLACKPEAKCFO™ | MANAGEMENT ACCOUNTSHARGREAVES CONSTRUCTION LTD · JANUARY 2026CONFIDENTIAL MANAGEMENT PACK
Job CostJob Cost Analysis — Top 4 Active ProjectsPhase budget to actual · 31 January 2026 · BlackpeakCFO
⚠ City Centre Hotel Phase 2 — Cost Overrun Commentary: Labour running 9.7% over budget due to site access delays (council parking suspension) causing overtime on three weekends. Additional site supervision added 3 February. Equipment (120% of budget) — unexpected crane extension £6,400. Materials escalation on Salford being actively managed — two alternate steel suppliers approved January 2026. Both jobs require weekly cost review through Q1.
All Active Jobs — Margin Summary
Job
Bdgt Mgn
Proj Mgn
Status
Salford Medical
21.5%
22.8%
AHEAD
City Centre Hotel P2
21.0%
18.4%
WATCH
Northgate Corp HQ
22.5%
23.0%
ON TRACK
Deansgate Office
21.2%
20.8%
MONITOR
Ancoats Law Firm
21.0%
21.5%
ON TRACK
Trafford Retail
19.5%
19.2%
MONITOR
Salford Medical margin +1.3pp ahead of budget. City Centre Hotel WATCH — site access delays caused overtime. Additional supervision added 3 Feb. Weekly cost reviews ongoing.Page 5 of 12
BLACKPEAKCFO™ | MANAGEMENT ACCOUNTSHARGREAVES CONSTRUCTION LTD · JANUARY 2026CONFIDENTIAL MANAGEMENT PACK
P&LWhere the Money Went — January 2026Actual vs. December 2025 Actual vs. January Budget · All amounts GBP · POC method
Line Item
Jan 2026 Actual
Dec 2025 Actual
Jan Budget
Variance £
Variance %
REVENUE
Contract Revenue (POC)
624,000
698,400
580,000
+44,000
+7.6%
COST OF REVENUE
Direct Labour
168,400
182,600
159,000
(9,400)
-5.9%
Materials & Supplies
187,200
204,800
178,000
(9,200)
-5.2%
Subcontractors
98,400
114,200
94,000
(4,400)
-4.7%
Equipment Rental
24,100
28,400
23,000
(1,100)
-4.8%
Other Direct Costs
13,600
16,200
12,000
(1,600)
-13.3%
TOTAL COST OF REVENUE
491,700
546,200
466,000
(25,700)
-5.5%
GROSS PROFIT
132,300
152,200
114,000
+18,300
+16.1%
GROSS MARGIN %
21.2%
21.8%
19.7%
+1.5pp
—
GENERAL & ADMINISTRATIVE EXPENSES
Overhead Salaries (12 staff)
62,400
62,400
62,400
0
—
Office Rent (Manchester HQ)
4,800
4,800
4,800
0
—
Insurance (Public & Employers’ Liability)
12,400
12,400
12,400
0
—
Vehicle & Fuel
7,800
8,900
7,800
0
—
TOTAL G&A
87,400
88,500
87,400
0
—
EBIT
44,900
63,700
26,600
+18,300
+68.8%
Interest Expense
(1,200)
(1,200)
(1,200)
0
—
Corporation Tax Accrual
(2,400)
(2,400)
(2,400)
0
—
NET INCOME
41,300
60,100
23,000
+18,300
+79.6%
NET MARGIN %
6.6%
8.6%
4.0%
+2.6pp
—
✨ Revenue Beat (+£44K): Percentage-of-completion billings ahead of budget on Salford Medical (milestone trigger +£30K) and Deansgate Office Suite (+£8K near-completion acceleration). December 2025 revenue higher at £698K reflects year-end schedule pushes by multiple clients.
⚠ Note on G&A: Vehicle & Fuel at £7,800 vs £8,900 December (seasonal — fewer site visits during holiday period). All G&A categories on or within budget for January. Corporation Tax (£2,400/month) is an estimated accrual; the final liability is confirmed with the year-end accounts.
Net Income £41,300 (+79.6% vs budget). Gross margin 21.2% vs 19.7% budget. December 2025 revenue £698K included year-end project accelerations from two clients. Corporation Tax accrued monthly.Page 6 of 12
BLACKPEAKCFO™ | MANAGEMENT ACCOUNTSHARGREAVES CONSTRUCTION LTD · JANUARY 2026CONFIDENTIAL MANAGEMENT PACK
CashCash Flow Summary — January 2026Operating, Investing & Financing · Jan 2026 · Plus 6-Month Operating Trend
Cash Flow Item
January 2026
OPENING BALANCE
Cash — 1 January 2026
384,200
OPERATING ACTIVITIES
Collections from Clients (net of retention)
+612,400
Direct Labour Payroll
(168,400)
Materials & Supplier Payments (some 30-day terms)
(285,800)
G&A & Overhead Payments
(72,400)
NET OPERATING CASH FLOW
+85,800
INVESTING ACTIVITIES
Equipment Purchase (service van)
(22,000)
NET INVESTING CASH FLOW
(22,000)
FINANCING ACTIVITIES
Equipment Loan Repayment
(12,500)
NET FINANCING CASH FLOW
(12,500)
NET CHANGE IN CASH
+51,300
CLOSING CASH — 31 January 2026
435,500
Check: £384,200 + £51,300 = £435,500
✓ Reconciled
Retention Analysis — 31 January 2026
Retention Receivable (10% held by clients)£387,200Retention Payable (10% we hold from subs)(£144,800)Net Retention Position (owed to others)(£242,400)
Retention typically released 30–60 days after substantial completion per contract terms. Largest upcoming release: Deansgate Office Suite £92,500 in March 2026.
6-Month Operating Cash Flow Trend
Month
Op. Cash Flow
Note
Aug 2025
42,100
Soft collections
Sep 2025
68,400
Q3 milestone billings
Oct 2025
54,200
Normal operations
Nov 2025
38,800
Holiday slowdown
Dec 2025
71,400
Year-end client payments
Jan 2026
85,800
Best 6-month period
💰 Cash position is the strongest since Q3 2025. Strong January collections (£612K) against £624K revenue reflects good DSO management. Materials payments include £285,800 which captures some December invoices paid in January (30-day terms). Equipment purchase (£22K service van) funded from operations — no additional borrowing required.
Operating cash flow £85,800 — 6-month high. Retention held by clients: £387,200 (to be released on job completion). Net retention owed to subs: £144,800.Page 7 of 12
BLACKPEAKCFO™ | MANAGEMENT ACCOUNTSHARGREAVES CONSTRUCTION LTD · JANUARY 2026CONFIDENTIAL MANAGEMENT PACK
AR AgeingAccounts Receivable Ageing — 31 January 2026Excludes retention £387,200 (shown separately below) · 30-day standard terms
Client
Job
Current 0–30
31–60 Days
61–90 Days
91+ Days
Total AR
Salford Medical Partners
Salford Medical
98,400
42,200
—
—
140,600
Riverside Hotels Ltd
City Centre Hotel P2
86,200
28,400
18,200
—
132,800
Deansgate Office LP
Deansgate Office Suite
—
42,600
28,400
—
71,000
Ancoats Legal Ltd
Ancoats Law Firm
48,400
—
—
—
48,400
Northgate Developments Ltd
Northgate Corp HQ
36,200
—
—
—
36,200
Trafford Retail LP
Trafford Retail
15,400
22,600
22,100
32,100
92,200
Other (small jobs)
Various
—
6,700
—
—
6,700
TOTALS
284,600
142,500
68,700
32,100
527,900
% of Total AR
53.9%
27.0%
13.0%
6.1%
100%
⚠ Trafford Retail LP — 91+ Day Balance £32,100: Represents disputed contra-charge for an M&E coordination delay. Client claims Hargreaves caused 3-week delay in M&E first fix. Our PM disputes this — documented daily logs provided to client. Legal letter sent 28 January 2026. BlackpeakCFO to coordinate with the company’s solicitor. Target resolution by 15 February. If uncollected by 31 March, consider referring the dispute to adjudication under the Construction Act.
Retention Receivable Schedule — 10% held by clients
Client
Retention Held
Est. Release
Salford Medical Partners
140,000
Jun 2026 est.
Riverside Hotels Ltd
82,000
Sep 2026 est.
Deansgate Office LP
92,500
Mar 2026 est.
Ancoats Legal Ltd
28,000
Aug 2026 est.
Trafford Retail LP
44,700
Feb 2026 est.
TOTAL RETAINAGE
387,200
AR Summary · Collection Priority
Current AR (excl. retention)£527,900
Retention receivable£387,200
TOTAL AR (all-in)£915,100
61+ days (excl. retention)£100,800
DSO estimate (current AR only)~25 days
Deansgate Office retention £92,500 due March 2026 on substantial completion — monitor punch-list completion to accelerate release.
Total AR £915,100 (incl. retention £387,200). 91+ day dispute £32,100 on Trafford Retail — legal letter sent 28 Jan. Deansgate retention £92,500 expected Mar 2026 on completion.Page 8 of 12
BLACKPEAKCFO™ | MANAGEMENT ACCOUNTSHARGREAVES CONSTRUCTION LTD · JANUARY 2026CONFIDENTIAL MANAGEMENT PACK
AP / SubsAccounts Payable & Subcontractor Ageing — 31 January 2026Standard payment terms: 30-day terms · 61+ days requires FD approval to hold · Excl. retention withheld
Vendor / Sub
Type
Current 0–30
31–60 Days
61–90 Days
91+ Days
Total AP
Pennine Steel Supply
Materials
48,200
22,400
—
—
70,600
Pennine M&E Solutions
Subcontractor
32,400
18,600
—
—
51,000
Northwest Electrical Group
Subcontractor
28,800
14,200
8,400
—
51,400
Northwest Concrete
Subcontractor
18,200
—
—
—
18,200
ProTech Equipment Rentals
Equipment
8,400
—
—
—
8,400
Various Suppliers
Materials
12,400
1,500
14,400
8,600
36,900
TOTALS
148,400
56,700
22,800
8,600
236,500
% of Total AP
62.7%
24.0%
9.6%
3.6%
100%
⚠ Various Suppliers — 61+ Day Review Required: £23,000 in balances 61+ days requires FD approval to continue holding. BlackpeakCFO to identify specific invoices and confirm whether (a) disputed, (b) goods not received, or (c) cash flow hold. FD sign-off required by 10 February 2026. Our standard payment terms are 30-day terms — exceeding this without approval risks subcontractor disputes.
AP Summary
Total AP (excl. retention)£236,500
Retention withheld from subs£144,800
TOTAL AP (all-in)£381,300
61+ days requiring FD review£31,400
Retention withheld from subs (£144,800) is released to subs upon our receipt from the client. Timing follows client retention release schedule (see P8).
Retention Withheld from Subcontractors
Subcontractor
Withheld
Release Trigger
Pennine M&E Solutions
42,800
On client release
Northwest Electrical Group
38,400
On client release
Northwest Concrete
28,200
On client release
Other Subs (4)
35,400
On client release
TOTAL WITHHELD
144,800
Sub retention is a flow-through: we release to subs within 30 days of receiving our retention from the client. All subcontractor certificates of insurance on file (3 up for renewal Feb 2026 — see P12 actions).
AP total £236,500 (excl. retention). 61+ days £31,400 requires FD review by 10 Feb. Sub retention withheld £144,800 — released to subs on receipt from clients. 30-day terms policy standard.Page 9 of 12
BLACKPEAKCFO™ | MANAGEMENT ACCOUNTSHARGREAVES CONSTRUCTION LTD · JANUARY 2026CONFIDENTIAL MANAGEMENT PACK
BacklogBacklog & Project Pipeline — 31 January 2026Remaining revenue by job plus weighted tender pipeline · Greater Manchester focus
Job
Original Contract
% Complete
Remaining Revenue
Est. Completion
Proj. Margin %
Salford Medical Centre
2,340,000
52%
1,123,200
Jun 2026
22.8%
City Centre Hotel Phase 2
1,640,000
41%
967,600
Sep 2026
18.4% ⚠
Ancoats Law Firm
1,120,000
23%
862,400
Aug 2026
21.5%
Northgate Corporate HQ
2,200,000
8%
2,024,000
Dec 2026
23.0%
Deansgate Office Suite
1,850,000
78%
407,000
Mar 2026
20.8%
Trafford Retail
890,000
94%
53,400
Feb 2026
19.2%
TOTAL BACKLOG
10,040,000
—
5,437,600
Tender Pipeline — Outstanding Proposals
Project
Tender Value
Prob.
Wtd Value
Award
Stockport Office Park Ph.2
1,840,000
65%
1,196,000
Feb 2026
Chorlton Dental Group
420,000
80%
336,000
Mar 2026
Bury Retail Centre
680,000
40%
272,000
Apr 2026
Salford Quays Campus
2,100,000
35%
735,000
May 2026
WEIGHTED PIPELINE
5,040,000
~52%
2,539,000
📋 Pipeline Commentary: Chorlton Dental Group (80% probability, Mar award) — referral from the Salford Medical client — confirm performance bond and insurance requirements. Stockport Office Park Phase 2 (65%, Feb) — repeat client, good margin history. Salford Quays Campus (£2.1M) would need a performance bond facility review — speak to the insurance broker before tender submission (see P12 strategic item). Leeds expansion: 2 active Leeds tenders under consideration — a shared PM presence may be warranted if both are awarded.
💵 Backlog Coverage: £5.44M backlog at ~22% blended margin = ~£1.2M projected gross profit from existing jobs. Trafford Retail wraps in Feb 2026 — capacity opens for new work. Northgate HQ (£2.0M remaining, Dec 2026) provides strong H2 2026 revenue base. Target: maintain £5M+ backlog throughout 2026 with pipeline wins.
Total backlog £5,437,600 across 6 active jobs. Weighted pipeline £2,539,000 from 4 outstanding tenders. Northgate HQ provides £2.0M H2 2026 revenue base. Leeds expansion under consideration.Page 10 of 12
BLACKPEAKCFO™ | MANAGEMENT ACCOUNTSHARGREAVES CONSTRUCTION LTD · JANUARY 2026CONFIDENTIAL MANAGEMENT PACK
VarianceBudget vs. Actual — January 2026vs. FY2026 Annual Operating Budget (approved November 2025) · YTD = January (Month 1)
City Centre Hotel site access delays caused overtime on 3 weekends (+£9,400). Additional supervision added 3 Feb. Mitigation plan in place.
Materials & Supplies
187,200
178,000
(9,200)
-5.2%
187,200
178,000
AMBER
Steel prices +4.2% vs Q4 2025 quote (Salford -£15,400 unf). Two alternate suppliers approved Jan 2026. Expected normalisation from Feb.
Subcontractors
98,400
94,000
(4,400)
-4.7%
98,400
94,000
GREEN
Pennine M&E negotiated 6.6% better pricing on Salford M&E scope (+£45K fav). Offset partially by Hotel Phase 2 scope. Net favourable overall.
Equipment Rental
24,100
23,000
(1,100)
-4.8%
24,100
23,000
AMBER
City Centre Hotel crane extension (£6,400 unf) offset by better rates elsewhere. Fleet utilisation review recommended (see P12 strategic).
Other Direct Costs
13,600
12,000
(1,600)
-13.3%
13,600
12,000
AMBER
Permit fees on Ancoats Law Firm slightly higher than estimated (£1,200 unf). One-off — no recurrence expected.
GROSS PROFIT
132,300
114,000
+18,300
+16.1%
132,300
114,000
GREEN
GP £18.3K ahead. Margin 21.2% vs 19.7% budget — revenue beat more than offset COGS overruns.
G&A Expenses
Overhead Salaries
62,400
62,400
0
—
62,400
62,400
GREEN
All 12 management/admin staff fully employed. No changes. Fully on budget.
All Other G&A
25,000
25,000
0
—
25,000
25,000
GREEN
Rent, insurance, vehicles all on budget. No G&A line items exceeded in January.
NET INCOME
41,300
23,000
+18,300
+79.6%
41,300
23,000
GREEN
Strong January result. Revenue beat of £44K drove entire NI outperformance. COGS overruns (£25.7K) absorbed by revenue upside. G&A fully on budget.
Net Income £41,300 (+79.6% vs budget). Revenue beat £44K absorbed all COGS overruns. G&A on budget across all categories. YTD = January (Month 1 of 12). Corporation Tax accrued monthly.Page 11 of 12
BLACKPEAKCFO™ | MANAGEMENT ACCOUNTSHARGREAVES CONSTRUCTION LTD · JANUARY 2026CONFIDENTIAL MANAGEMENT PACK
ActionsWhat to Do Next — Finance Actions & 90-Day PlanImmediate priorities · 30-day actions · Strategic initiatives · England compliance
⚡ Immediate (This Week)
HIGHIssue Northgate HQ First Application
£176,000 earned, £0 billed. Northgate Developments Ltd is the client. Application for payment #001 must be submitted by 28 February or cash flow impact materialises. Owner: Billing Manager. Confirm RIBA G702 Application for Payment format per contract.
Due: 28 Feb 2026 · Owner: Billing Manager
HIGHResolve Trafford Retail Dispute
£32,100 disputed contra-charge (91+ days). Legal letter sent 28 Jan. BlackpeakCFO and the company’s solicitor to coordinate the response. If no resolution by 31 March, consider adjudication under the Construction Act. Make sure the daily logs are complete and have been provided to the client.
Due: 15 Feb 2026 · Owner: FD + solicitor
MEDCity Centre Hotel Cost Review
Labour at 109.7% and equipment at 120% of budget. PM to present labour scheduling plan and equipment utilisation audit. Target: reduce overruns to within 5% of budget by March. Additional supervision added 3 Feb — monitor weekly.
Due: 1 Mar 2026 · Owner: Project Manager
📅 30-Day Actions
MEDCIS Monthly Return
January CIS return (tax month to 5 February) due 19 February 2026; deductions paid over with PAYE by 22 February. Verify any new subcontractor with HMRC before their first payment and issue deduction statements. BlackpeakCFO to confirm.
Due: 15 Mar 2026 · Owner: FD
MEDSub Insurance Certificate Renewals
3 subcontractors have insurance certificates expiring February 2026: Pennine M&E Solutions, Northwest Concrete and one electrical subcontractor. Admin to obtain renewed certificates before the next payment. Do not release retention without a current certificate on file. Standard requirement: public liability and employers’ liability cover at the levels set in the subcontract.
Due: 28 Feb 2026 · Owner: Risk / Admin
LOEquipment Depreciation Schedule
Q4 2025 equipment purchases not yet added to fixed asset / depreciation schedule. BlackpeakCFO to update the FRS 102 fixed asset schedule and confirm the Annual Investment Allowance claim for the FY2025 Corporation Tax return. Also confirm: service van purchased January 2026 (£22K) — classify correctly and begin depreciation.
Due: 31 Mar 2026 · Owner: BlackpeakCFO
📊 Strategic (90 Days)
Equipment Fleet Utilisation Review
3 pieces of equipment idle 60+ days (excavator, scissor lift, compactor). Review lease vs. sell options. Equipment cost running over budget on Hotel job in part due to idle assets generating no revenue. Model: sell underutilised equipment, apply proceeds to reduce equipment loan balance.
Performance Bond Facility
Current single contract bond limit £10M. Northgate HQ (£2.2M) + Salford Quays Campus tender (£2.1M) = £4.3M concurrent. With Salford (£2.3M) still active, approaching limit. Meet the insurance broker before the Salford Quays tender submission (May 2026). Target: increase to £15M single / £25M aggregate.
Leeds Office Assessment
2 active Leeds tenders. If both are awarded, managing from Manchester adds travel cost and PM oversight risk. BlackpeakCFO to model the cost of a shared Leeds PM presence against the revenue benefit. Decision threshold: award of 2+ Leeds jobs totalling £3M+ triggers an office/co-working space assessment.
Insurance Renewal Preparation
Employers’ liability insurance renews April 2026. Gather payroll by trade, subcontractor CIS status and field hours for the insurer now. Confirm the employment status of all 30 field operatives (employee or CIS subcontractor), as false self-employment is a known risk area. Accident book: 0 RIDDOR-reportable incidents YTD.
Prepared by BlackpeakCFO · Monthly Management Accounts · United Kingdom — Confidential — for management use only. — blackpeakcfo.com
Next report: February 2026 Management Accounts — due 5 March 2026. January CIS return due 19 February 2026.Page 12 of 12
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