UAE Construction ERP: BOQ, Payment Applications, Retention, Variations and Subcontracts for Contractors

A contractor does not get paid on invoices alone. Payment follows an approved BOQ, a monthly valuation of work done, a certificate from the client's engineer, retention held back and an advance slowly recovered. If those numbers live in separate spreadsheets, the company cannot say with confidence what it has earned, what it is owed and what it will have to pay subcontractors. UAE Construction ERP follows that chain in one system. Crafts Software installs it and sets up your projects and cost codes.

Projects, BOQ and budget

Each project is broken down by WBS and cost code. The approved client BOQ and the project budget sit side by side. Budget control counts subcontract commitments and certified work, not only paid bills, so overspending shows before the money leaves.

Payment applications (IPCs)

1. The application is valued cumulatively from each BOQ item and agreed variation, with materials on site.
2. Retention is calculated up to the contract cap and advance recovery is applied, with the previous certificate deducted.
3. One person prepares and another approves.
4. When the client certifies, certified quantities replace applied ones and a tax invoice is issued for the net amount with VAT.

The mechanics are explained in the IPC guide for contractors.

Advances, retention, variations

Subcontracts

Subcontracts are priced against WBS and cost code, checked against the budget and approved by threshold. Subcontractor certificates (interim, advance and retention release) carry retention, advance recovery and back charges, and post to payables with input VAT. Compare the practice in contractor software: BOQ, variations and retention.

One view of the commercial position

Each project shows revised contract sum, certified to date, retention held, advance still to recover, variations pending and invoiced to date, and one page covers all projects. HR, attendance, payroll with WPS and double-entry accounting with VAT come from the same engines as Workforce OS and UAE VAT Accounting, so site labour and finance are in the same place. Read more in construction and contracting software.

Frequently asked questions

Can we import our BOQ?

Yes, BOQ items can be imported from a spreadsheet and mapped to cost codes.

Does it support several projects and currencies?

Yes. Projects are separate, with their own budgets and commercial position.

Who uses it?

Commercial managers, quantity surveyors, site teams and finance, each with their own role.

See the product page or share your project setup.