Are you considering changes but aren’t sure if they make sense to pursue? You are not alone. Our client was facing the same question. She had two companies, lots of data, but no certainty. Together, we helped her bring order to her numbers. And the results exceeded all expectations!
Why did the client call us?
The owner of two smaller companies was at a crossroads. She was considering a change in business direction and replacing key personnel.
She needed to verify if her reasoning was sound and if it made sense from a financial perspective. She wanted to make decisions with peace of mind. Not based on gut feeling, but based on data.
What was the situation in the company at that moment?
Each company had its own accounting – maintained only to the bare minimum, without any overview of the whole. The center of attention was marketing. Campaign costs and the number of clicks were tracked in detail.
However, what no one was addressing were the actual revenues, margins, or the return on these activities. Revenues were evaluated only indicatively and were not connected to accounting. The business was running, but no one really knew what was truly earning money and what was just costing money.
How did we solve the problem?
Under the leadership of our external CFO Julie Samková, we, together with the project analyst and supervisor, brought the company under control. We relied on our proven system and got to work:
- We unified accounting and analytics for both companies.
- We introduced monthly consolidated reporting.
- We launched managerial accounting – two levels of cost tracking.
- We created sales reports with cost allocation.
- We calculated margins for individual areas.
- We prepared an annual plan, which we regularly refine.
- We introduced monthly financial meetings.
- We translated planned changes into numbers, thereby reducing concerns about risk.
- We unified reports in Power BI; everything is clear, consistent, and sustainable in the long term.
What were the results?
- Thanks to clear numbers, the client finally knew whether her companies were actually making money and where.
- We discovered a non-functioning business branch.
- The analysis showed that one part of the business was generating only costs. Based on this, a fundamental redirection of marketing occurred.
- Profit increased sixfold – in a single year, the company earned 6x more than the year before.
- We reduced seasonal fluctuations. Thanks to planning, we shortened the loss period from 7 months to just 3.
In a year-on-year comparison, we saved 1 million CZK in marketing and labor costs. We are now better able to target products with higher margins. With overviews in Power BI, the client sees long-term trends – and knows where to direct energy and money.
We continue to work with the client and are focusing on implementing a new business model, even more precise reports, and increasing profit.
What does this mean for you?
Even in a small business, there is room for growth and efficiency. Planning and continuously tracking goals are excellent tools for getting rid of the fear of economic results and changes.
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6-TIMES HIGHER PROFITABILITY
Within one year -
4 MONTHS SHORTER LOSS PERIOD
Thanks to planning -
1 MILLION CZK SAVED
On marketing and wage costs -
PRODUCTS WITH HIGHER MARGINS
We know which ones they are and can target them
Do you finally want to understand your numbers? We will help you set them up so they make sense. And so you can stop worrying about the question “is this actually making a profit at all”. Get in touch. And let’s sort out your company’s numbers and your peace of mind together.