Outsourced Accounting Assists in Childcare Center Growth
Rochester, New York
Client Overview
Our childcare client has experienced a significant amount of growth since they began their business in 2017. Their growth is attributable to acquisitions of additional centers, a strong management team, and high levels of quality service provided to families.
The Opportunity
The childcare provider relies primarily on one financial professional to handle day-to-day accounting, month-end reporting, special projects, payroll, and general support of the operations for each location. The provider was integrating a recently acquired site, closing on the acquisition of the related real estate, and actively reviewing acquisition opportunities. The finance professional was taking maternity leave and there was no backup plan in place. The owner needed a short-term solution to cover this important function and didn’t have the human resources to get a new employee trained and ready to take over.
We worked with our client to evaluate the many roles and responsibilities of the finance professional and to identify the full scope of the RDG outsourced engagement.
The Solution
RDG implemented an outsourced accounting and advisory arrangement to provide our client staffing at both the accountant and CFO–level. We worked with our client to evaluate the many roles and responsibilities of the finance professional and to identify the full scope of the RDG outsourced engagement. We then developed a plan to transition the remaining responsibilities to others within the organization.
Because of our extensive knowledge of both the client and this industry, we were able to step in and efficiently get the job done. Our team worked hand in hand with the childcare provider to assume control of day-to-day accounting functions during the employee leave. We met with the Owner weekly to review accounts payable and cash flow, internal metrics, and strategic initiatives.
During this time we have also provided acquisition due diligence, financial projections and bank financing assistance.
The Outcome
We performed a timely month-end close for three months and published the related financials. We also enhanced internal reporting metrics used by the business and its management team. We further helped support the transition of the employee back into work by handling day-to-day accounting while they caught up on correspondence and some projects that we deferred. We continue to support the business growth and execution of strategy through our outsourced CFO services.