financial accounting and modelling
For SMEs finance is often one of the last areas to be allocated dedicated resource. However, financial activities can be the difference between success and failure.
It’s a skillset that is usually unique, can feel too complex to navigate without expert knowledge, or is a blind spot for business leaders (you don’t know what you don’t know).
Finance is an area that we’re passionate about turning into a value-generating resource not just a cost-centre to a business, and helping non-financial people understand its importance.
Client 1
Came to us for a strategic review during which we quickly realised there were significant compliance issues. Their accountant was unqualified and has given erroneous advice on VAT registration that meant there was a serious compliance issue:
Put in financial systems and processes for bookkeeping and month-end, writing a user manual for non-financial users so they could keep their cost base low
Identified the VAT error and sorted out a payment plan with HMRC to repay the £100k owed, minimising the penalty and interest payable
Initiated and provided a pricing review for their customers and increased prices across the board with a full communications strategy and plan, improving profitability
Enabled regular Management Information to be reviewed on an ongoing basis to keep profitability improving continuously going forward
Client 2
Reached a critical part in the business deciding on when and how to exit or take on further investment. Their budget wasn’t sophisticated enough to forecast for investors and funders, and didn’t accurately project beyond 12 months:
Took all the existing inputs and through a half-day workshop identified the cost and revenue drivers that were the engine of the business performance and profitability
Translated the drivers to mechanics and relationships between the numbers to automate the forecast into a fully integrated financial model of P&L, Balance Sheet and Cash Flow
Enabled the management team to take control of the model themselves though simplified inputs and a model dashboard so they could update or produce different scenarios