Background:
Our client is a rapidly growing Transport industry trading locally on the Sunshine Coast and servicing the whole of the East Coast of Queensland. They have 13 employees.
Issues:
In reviewing the client's situation, we identified that the business needed improvements to their finance and cashflow which were adversely affecting the business and the ability to grow. We also identified that the business structure they were using wasn't meeting their needs.
Their main cashflow issues were being able to pay debts when they fell due and meeting loan repayments. Also, the client wanted to ensure their assets were protected and they were minimising as much tax as possible.
Results:
We arranged to meet with the client regularly (on a quarterly basis) to monitor the performance of the business and ensure that our advice was paying off for the client. In these quarterly meetings we provided the client with tools to implement immediately in the business. These tools were to ensure the cashflow was improved and included improving supplier payments, improving procedures for following up outstanding invoices, improving invoicing procedures and workflow.
We also performed a review and restructure of the business and arranged new finance. Because of this, the company has been able to grow from an annual net profit position of $69,000 to an outstanding $300,000 (320%). The company now also has the ability to grow and acquired new assets which allowed them to take on new contracts which in turn made them more profitable.
If you would like us to help you improve your business so that you can achieve your business and lifestyle goals, please call us on 5413 9300.