Grow a Business
Services for Growing a Business
Planned business growth can be obtained in a variety of ways including:
- The addition of a new product
- Merger or acquisition
- Expansion of your business location or the addition of a new location
- Adding a new sales channel
It is planned business growth because there was an actual decision made to grow and an action taken. Even with planned business growth, it is vital that businesses make sure that the current business can handle the expected growth from a resource as well as cash flow standpoint.
Unplanned business growth that can occur in a business where the business is not able to fund or sustain the growth and can actually end up causing them to fail.
- Taking on a large order where your current cash flow can not fund materials to manufacture product or packaging.
- Taking on a project where you need to hire increased staff to get the project, but the business can not sustain the added headcount after the project is completed.
To quote David Packard of Hewlett Packard "More companies die of indigestion than starvation."
When growing your business, these are some key points to keep in mind to help you grow without it affecting your business adversely:
- Expenses are often paid out before the revenues are collected
- You have more control of your account payable then you do accounts receivable
- Suppliers are quick to shut you off if you don’t pay
- Customers are always looking to delay payments
At Rudy Fischer, CPA, CMA, we offer financial business consulting and business coaching to help you grow your business at the right pace for your current business so it does not affect your business and are able to sustain the growth long term.
Strategy & Planning Services
We provide the following services under strategy and planning for businesses that are in the process of growing. Our goal is to help you grow at the right pace for your cash flow as well as your resources and priorities.
- Business Strategy: If your business is in growth mode it is most likely that your current business strategy is out of date and needs to be updated to reflect your growth expectations.
- Feasibility Study: A study which will help determine whether your expansion plans or new product ideas have the potential for providing you with increased profitability in your business before you invest both your time and money.
- Business Plan/Business Case: The amount of money you are looking for will determine if a lender or investor needs a full business plan or just a business case. Either will need to provide them the justification to grant you financing for adding products, capacity, or additional assets. It is also very dependent on your current relationship and history with the lender/investor as well as the level of risk.
- Financial Model Development: This is the development of a mathematics based financial model of your business that allows the owner/operator determine possible outcomes. A financial model can be used to plan your growth and aid you with "what if" analysis which include information from your current operations and is supplemented with growth plans. Five years of proforma statements are developed.
Running Your Business
It is important when you growing a business to make sure that your business continues to run efficiently and profitably. We provide the following business consulting and business coaching engagements to help you while you grow your business.
- Chart of Accounts Modifications: Make modifications to your chart of accounts in your accounting system to accommodate new lines of business, additional locations, markets, or any changes that are required for where you are now in your business.
- Budgeting and Forecasting: The development of forward looking plans based on realistic goals and objectives is key in growth mode. If you are growing, you need to plan for asset purchases and cash requirements that are required whether that is through retained earnings, working capital, or financing. Proper forecasting allows you to know what revenue you will anticipate to support your growth. Budgeting and forecasting can be input into most accounting systems, so you are able to track and report.
- Cash Flow Management: The planning of your cash flow requirements based on your sales, collection cycle, purchases, payment cycle, and capital needs during growth is key to ensure you have the appropriate cash fund your expenditures and cover your growth.
- Product and Service Costing: Determining the potential demand on your short and long term fixed, step, and variable costs to be considered for healthy growth, costing, and pricing. You want to look for cost reduction opportunities and productivity improvements.
- Pricing and Packaging: Determining the pricing and packaging for your products and services based on growth expectations to ensure the current business can sustain growth funding required. You need to look at the profitability of your products and services and need to determine if any price adjustments can increase your cash flow.
- Business Restructuring: An engagement to help you structure your business so that it is more attractive for financing or investment and helps meet your business needs.
Measurement and Performance
As you begin to grow your business it is crucial to measure and keep on top of how your business is performing. We offer the following financial consulting engagements to help you understand your business performance so you can stay on top of any fluctuations.
- Business Assessment: An engagement which is a deep dive into every part of your business in order to understand how your business is performing and where your performance bottlenecks are that could impede your growth. Through RK Fischer & Associates we offer a free online assessment with a 30 minute consultation.
- Productivity Analysis and Review: This engagement will help you maximize your profits based on your current resources which include people, services, materials, asset usage, and anything else that affects your profit generating capabilities in your business.
- Margin Analysis: Understanding your business profits from sales and the variations that may occur based on volume and / or product mix increase, decrease, or change. This helps you determine whether an increase in sales will generate a corresponding increase in profitability.
- Risk and Sensitivity Analysis: The assessment of the outcome of your financial plan based on changing assumptions and market conditions regarding your growth assumptions. This will help determine what items can negatively impact your profits and what the impacts are if they exist.
- Profitability Analysis: This will take your margin analysis to the next level by considering all of the operating , sales, and administrative expenses.
- Management Reporting: This would include the development of reporting tailored for management in order to run the business more efficiently and effectively with an increased focus on Key Success Factors for growth. This includes both operational as well as financial reports.
Business Coaching and Advisory Services
As you begin growing your business, you will most likely need to have business and financial guidance to obtain and maintain the growth you want. We are able to provide you with the level of help that suits you.
- Business Coaching: As your business grows, you will find you need to learn or gain insight into areas of your business you have not concentrated on before as the goals and objectives for your business have changed.
- Advisory Services: With growth, you need to keep an eye on the bottom line and may want monthly or quarterly guidance on an adhoc basis to review your results and prioritize your focus over the next period of time. This can be customized to meet the needs of your business.
- Executive Management Services: Can act as a senior member of your management team in a financial or operational capacity on a part-time basis.
Our offices are located in Southwestern Ontario, but we are able to provide services remotely across Canada. We do not provide business coaching onsite except within our local area, but provide other consulting services onsite that are a minimum of a day if you are located in Peterborough, Orillia, Clarington, Bowmanville, Oshawa, Whitby, Ajax, Pickering, Scarborough, Toronto, Markham, Aurora, Newmarket, Richmond Hill, Vaughan, King City, Brampton, Caledon, Bolton, Mississauga, Etobicoke, Oakville, Burlington, Milton, Hamilton, Guelph, Kitchener, Cambridge, Waterloo, and Windsor. Our local service area for onsite services under one day is Sarnia, Chatham, and London.
For services outside our service area within Canada who require onsite services, please contact me to determine how we may best service your requirements.
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Rudy Fischer, CPA, CMA | (877)504-2049 ext 102 | email@example.com