Case Study
Wholesale Product Distributor
Wholesale product distribution company serving a broad network of independent retail stores
Project Needs
- Interim Chief Financial Officer to provide guidance, leadership, and stability during a financially unstable period
- Business partner to CEO and senior management team to provide recommendations to improve financial management, and the experience to implement needed changes
- Meet and manage expectations of the Asset Based Lender, which included accelerated repayment of the ABL loan in compliance with the loan default provisions
- Improve working relationships with vendor management teams
Client Motivation
- Retain CFO with skillsets to repay ABL bank debt, improve cash flow, and position the company to successfully emerge without long term debt
- Improve effectiveness of invoicing, collection, vendor payments, cash flow management, and working capital management
- The company not having an experienced CFO would force the ABL lender to manage the company and a related wind down
Deliverables
- Successfully eliminated all ABL bank debt within a record ten-week time frame
- Improved cash flow and working capital management
- Negotiated with vendor base to continue shipping product despite delayed payments
- Improved staff retention via effective management techniques
