From The Worst Year in a Decade To the Best Year in a Decade
New York Based Marketing Agency
Having experienced a significant decline in revenue from an Anchor Client, the business was having issues with profitability and cash flow management.
Change was quickly needed, otherwise the Agency would not survive the next 90 days.
"Robert is the devil in the details and for someone dealing with your money this is exactly what you much have. In my 12 months working with Robert he turned a marginally profitable service based marketing agency into a very profitable company, giving this agency room to invest in itself and give its clients a better work product. If you are looking for results, Robert is your man."
Business efficiency was in serious need of an overhaul after a prolonged time with little improvement in this area. Leadership lacked focus and alignment, with a wholesale refresh of the approach in this area through team exercises, 1-on-1 coaching combined with a restructuring of management provided the leadership alignment that the agency needed.
High quality and comprehensive reporting to drive decision making change was much needed, ultimately leading to decision making opportunities that would ultimately provide the realization of their goal of being cash flow positive.
Proper budgeting implementation was created to commence a process of cash flow correction. Simultaneously, a comprehensive business analysis to determine risks and opportunities was conducted to begin a process of delivering insights to drive the agency’s future.
A comprehensive review of accounting structure, vendor and banking terms was commenced in order to manage cash flow.
Coaching across different levels of the company allowed for better alignment, efficiencies, coordination and management.
"Robert's financial knowledge is a critical component for any businesses success. Through a multitude of options he presents, he has the unique ability to assure a commitment makes financial sense for all parties concerned, while never jeopardizing quality."
With existing debt renegotiated and restructured cash flow improved; the agency was set on a positive trajectory. Through alignment meetings and coaching, company teams improved coordination and overall organizational efficiency dramatically increased. With an overhaul of billing process, billing and accounting systems, operational efficiency was further driven, and allowed for vastly improved inter-departmental alignment.
What They Accomplished
Having considered themselves a “full service” agency for many years, this New York based agency needed to rethink their niche and their service offering. They had taken a critical hit with the loss of a primary client which their business’ bottom line had relied upon for years. We provided the expertise for in-depth reporting enabling them to clearly determine which services were most profitable, as well as which they enjoyed the most. This allowed for the agency to better position themselves to prospect clients in this industry and service niche. Promoting those higher value services resulted in a 18% increase to gross profit margin.
By leveraging technology and comprehensively standardizing procedures and practices, they experienced a steep decline in operation costs, while expanding internal capacity.
With these course corrections in place, the entire team was able to capitalize on the changes in order to achieve company goals. Within six months, a truly remarkable 217% growth in net profit was accomplished.