Conquest Equipment is a manufacturer and wholesaler of industrial cleaning equipment for warehouses and businesses engaged in high end logistics.
Background
The business was undergoing a transition of their business operation model from equipment wholesaler to equipment rental. The change in the model had profound impact on every aspect of the business, and significantly for the financial part of the business. Implications from the change of business included impacts to profitability, funding, cashflow, financial position and the long-term value of the business.
The Opportunity
Strategic Specialists Group were working in the business through a Marketing and Sales specialist. Whilst undertaking a review of the marketing and sales process, the specialist recognised the need for robust financial management to effectively support transition of the business from wholesaling to equipment leasing and rental market.
The Process
The CFO conducted a financial Discovery Roadmap to:
- Review the financial implications of the new business model.
- Evaluate financial systems, processes, and procedures to support delivery of the business model.
- Conduct a capabilities assessment of the financial team and identify coaching and mentoring development program to support financial skills development and financial leadership.
Following delivery of the Roadmap, the CFO was engaged by the business to implement the plan and work with the team to develop skills and capabilities.
The Outcome
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Initial results include financial strategy and management to support achievement of 10% growth in turnover in one year through the new business model of equipment leasing and rental. Other results include:
- An accomplished CFO worked in the business with the leadership team to define a financial strategy to align with the business strategy
- The clearly defined financial strategy focused on delivering sustainable growth.
- Internal systems were redesigned to shift from wholesale sales to leasing and rental including procedures to support a change to accounts receivable and impacts on cashflow and risk.
- The CFO coached and mentored the financial team to build skills, capabilities, and abilities to accurately monitor financial performance and focus on appropriate levers to drive business goals.