Digo Engineering Consulting
Managing the finances of six simultaneous construction projects with different clients, milestone schedules, and vendor payment terms had become completely unmanageable. Cash was p…
Key Result
Projects Managed
About the Client
Digo Engineering Consulting is a Kathmandu-based civil and structural engineering consultancy providing project management, design, and construction supervision across Nepal. With over 25 completed projects ranging from residential complexes to commercial buildings, the firm has become one of Kathmandu Valley's trusted engineering partners. At the time CCBC was engaged, the company was managing six simultaneous construction projects with a combined contract value of NPR 12 crore.
The Challenge
Managing the finances of six simultaneous construction projects with different clients, milestone schedules, and vendor payment terms had become completely unmanageable.
Cash was pooled in a single company account with no project-wise tracking, making it impossible to know whether a project was profitable until it was finished. Vendor invoices were being processed without matching them to project budgets, leading to overpayments. Three clients had raised disputes about milestone billing, claiming services were billed before completion. The company had also missed its annual advance tax payment twice in a row.
Our Approach
Mapped all six active projects with their contract terms, milestone schedules, and vendor commitments
Set up project-wise cost centers in Tally, allowing separate tracking of revenue, costs, and profitability for each project
Created a milestone billing verification system requiring site completion sign-off before invoices are issued to clients
Implemented a vendor invoice matching process linking every payment to a specific project budget line
Built an 18-month rolling cash flow forecast covering all project milestones and vendor payment schedules
Resolved the advance tax arrears and set up quarterly advance tax reminders to prevent future penalties
Our Solution
CCBC implemented project-based accounting in Tally with separate cost centers for each active project, giving management real-time visibility into per-project revenue, expenditure, and gross margin. A milestone billing verification system was introduced requiring documented site completion before client invoices are issued, eliminating billing disputes. Vendor invoices are now matched to project-specific budget lines before payment is authorized, preventing budget overruns. A rolling 18-month cash flow forecast covering all milestone receipts and vendor payments was built into the monthly reporting cycle. Advance tax arrears were cleared and a quarterly reminder system was implemented.
Services Delivered
Results That Speak for Themselves
"For the first time, we knew exactly which projects were making money and which ones were not. CCBC gave us the financial clarity we needed to take on bigger projects and negotiate better contracts. Construction is a cash flow business, and they understood that completely."
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