Key Results
operational costs
working capital
cash inflows
working capital ratio
The Challenge
A mid-sized logistics company faced significant accounting challenges and needed enhanced financial oversight. The business required strategic direction to strengthen liquidity management, improve cash flow, and optimize working capital performance while maintaining cost efficiency. Their growing operations demanded experienced financial leadership without the overhead of traditional in-house hires.
Client Profile
The client was a thriving mid-sized logistics company operates across the US and Europe with an annual revenue of $42 million. The company sought to transform its financial operations to support continued growth and international expansion.
The Solution
Fractional Executive Model
The fractional CFO and Controller provided expert financial oversight and strategic guidance at a fraction of the cost of full-time executives.
Development of Standard Operating Procedures
The dedicated accounting team developed detailed SOPs to streamline accounting processes, ensuring consistency and accuracy in financial operations across all locations.
Continuous Monitoring and Reporting
Financial analysts established a system to monitor key financial metrics, providing regular insights into financial performance.
Enhanced Management Reporting
The management consulting team created a robust reporting structure and implemented process controls to enhance financial oversight and decision-making.
Comprehensive Financial Statement Management
Our expert team took over the preparation, review, and analysis of the company’s financial statements, ensuring accuracy and comprehensiveness.
Our Approach
We implemented a comprehensive managed services partnership that leveraged a diverse team of financial experts. This approach provided the client with:
- Access to top-tier financial expertise at optimized costs
- A team-based model combining specialized skills from multiple domains
- Scalable resources that could flex with seasonal demands
- Strategic oversight from experienced financial leaders
- Day-to-day execution excellence from dedicated accounting specialists
The managed services model enabled the company to transform its financial operations without the overhead of building an extensive in-house department.
Results and Impact
The managed services model significantly improved the company’s financial stability and performance
while delivering transformational results.
Financial Performance
- Working capital ratio increased from 1.5 to 2.2 (70% improvement)
- 55% reduction in operational costs while enhancing service quality
- 15-20% increase in working capital availability
- 20-30% increase in cash inflows through improved collections
Operational Excellence
- Reduced Days Sales Outstanding
- More predictable cash projections for better financial planning
- Enhanced accuracy in financial reporting
- Deeper business insights driving improved decision-making
Strategic Benefits
- Scalability to adjust financial expertise as needed
- Flexibility particularly beneficial during peak seasons
- Access to specialized skills without full-time overhead costs
- Accelerated growth potential through optimized financial operations
This financial transformation not only improved immediate performance metrics but positioned the company for sustainable growth across both US and European markets.
