Engagement Overview
A second-generation family manufacturer faced a cash flow crisis after decades of growth without professional financial management. The founder's son had taken over but inherited outdated systems and no visibility into true profitability by product line or customer.
Cash Crisis
- Maxed credit lines with no visibility
Systemic Issues
- No job costing or product profitability
- Spreadsheet-based accounting
- No cash flow forecasting
The Strategy
We implemented a two-track approach: immediate crisis management and long-term infrastructure building:
Financial Systems
ERP implementation with job costing, real-time dashboards, and automated reporting.
Profitability Analysis
Built product-line and customer profitability models that revealed surprising winners and losers.
Month 1-2
Crisis Stabilization
- Vendor negotiations
- AR acceleration
Month 3-4
Debt Restructuring
- Lender meetings
- Term sheet negotiation
Month 5-6
Systems Build
- ERP selection/launch
- Job costing setup
- Dashboard creation
Month 7-8
Transition
- Controller hiring
- Process documentation
- Knowledge transfer
Operational Improvements
- Real-time financial dashboards live
- Full-time controller hired and trained
- Vendor relationships restored
Key Takeaway
Owner/CEO, Manufacturing Company