Virtual CFO
As virtual CFO, we can help you with
Cash is King
What if scenarios
Strategic positioning
Team work
Automatic Alerts -
Critical Ratio analysis
Your Heads up display
Credit control policies
Cash Flow Forecasting
A forecast is similar to a budget however forecast is more dynamic, as it changes according to current scenario and actuals on the go
Under the following circumstances, you need insights to take sound business decisions
Expanding into a new Territory
Raising Funds
Hiring additional staff
Acquiring New Business Entity
Scenario Modeling
You operate in a dynamic business environment, where there are multiple factors affecting achievement of your goals. And each of these factors are variable, hence you never have complete confidence in taking critical decisions. You can’t go back once you take decisions but face the results. Fortunately now you can virtually live the situation that you may face in the future through our scenario modeling where we can help you decide with confidence. We can perform a what-if analysis for various business decisions that you may take and predict your cash position under different scenarios.
Some of the decisions and situations are listed below
What if you lose your biggest client?
What if purchase prices increase by 10%?
What if you cannot collect your receivables within the agreed 30 days?
What if you have to lower your selling prices by 5% due to increased competition?
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Pricing Review
Pricing is a very sensitive matter in any business, however having a strategy for pricing your product if service will help you scaling your business and also plug any income leakage. Product/ Service positioning also matters to attract new customers and selling more to existing customers, below are some examples
Bundled Products and Services
Discount Offers and coupons
Seasonal Pricing
KPI Setting/ Target Setting
As your business grows your team grows and we understand that it is very important that everybody in the organization strives to achieve the business objectives. It is proven that a team with clear goals will achieve greater business objectives and faster. We will help you to set these goals internally to your team so that you achieve your dream.
Following are few areas where we can help you set targets that actually impact financials of your business
Marketing
Trend in advertisement cost to sales achieved
Sales
Trend in staff cost to sales achieved
Production
Trend in Cost of Sales to Sales
Human Resource
Trend in Employee Turnover to Salaries
Stores
Stock to Turnover trend
Finance
Trend in Interest cost to sales
Live Monitoring
Get Automatic Alerts when important events are triggered. This prevents you from ignoring important signals and helps you be prepared for eventuality.
Below are sample alerts which we can set for you.
*Please note that this works only if you are using quickbooks online tool.
Running low on Cash
Get alerted when bank balance is below minimum
Shrinking Netprofit
Get Alerts when Expenses exceed budgets
Sales Team under performing
Get alerted when salary to sales percentage dips
Receivables crossing limit
Get Alerts when you need to push for collections
The Dashboard
You need to know what's happening in your business on real time basis at a glance
There is a great example from one of our firms who starts with 4 separate dashboards within one folder. Each focus on a different area of the business
Income
(growth, net, breakdown etc)
Cash
(what is in hand, forecast cashflow etc)
Performance
Comparison
(year-on-year performance, actual vs budget etc)
Non Financial
(Employee Turnover, Market Share)
Debtors/ Receivables Management
CashFlow is the lifeline in your business. And if you are running a business where you provide credit line to your customers, managing receivables is the most critical part of your business. We come in to reduce your stress in managing this crucial part of your business in following ways