After being in business for about five years, a local roofing contractor contacted us because they felt they had outgrown their current CPA. They were doing well and wanted to take their business to the next level. In order for the Company to realize its maximum potential, management concluded that they needed to surround themselves with an advisory team to assist them in understanding all of the financial factors that impact operations.
The following is a summary of the services we provided to assist the client in meeting its goals:
- Conducted a review of their QuickBooks files, accounting records, and sales and CAT tax reporting; began reviewing this information with management on a quarterly basis
- Helped structure a deal to bring in a new shareholder, including determination of an appropriate buy-in amount, and worked with the Company’s attorney to finalize operating agreements
- Advised management on structuring a real estate holding company for the purchase of a building
- Performed a job costing analysis
- Introduced management to commercial bankers to facilitate the financing process in a challenging credit environment
- Introduced management to insurance contacts
- Conducted a search for a new in-house accountant
- Quarterly meetings are held to discuss tax and business planning, giving management a much clearer understanding of the Company’s financial position on an ongoing basis, as opposed to just an annual basis, and allowing them to better manage day-to-day operations
- Bringing in a new shareholder allowed them to continue to focus on growing the business
- Formation of a real estate holding company allowed the company to limit its liability exposure and maximize depreciation expense, resulting in significant tax savings
- Management has a better handle on their job costs which allows them to ensure jobs are profitable
- The Company was able to secure financing for the building despite the difficult lending environment
- Identification of an insurance agent who was able to help the Company secure bonding in the future and review property and casualty coverage
- Internal financial reporting was strengthened and enhanced through Skoda Minotti’s placement of a new accountant
- Management is now able to offer its employees the option to save for retirement. Management and employees alike are able to take advantage of the resulting tax benefits.
- Many departments were involved, including accounting, tax, small business services, valuation advisory services, financial staffing and financial services.
- Structured a Simple IRA plan
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