|
|
 |
Wine Industry Case Study 1:
Tilbrook Rasheed was approached by a bank, who was concerned about the financial
position of a Tilbrook Rasheed client, (a medium size winery). The bank
had concerns with the winery’s level of security because they were uncertain
of the winery’s profitability and future viability.
In turn, Tilbrook Rasheed met with the bank manager and the winery’s directors
to discuss their needs and requirements. We undertook a complete review
of the business and ascertained the bank’s current security exposure. We
developed fully integrated and detailed 12 month financial projections and
a five year summary budget, linking the profit and loss, balance sheet and
cash flow of the business with the physical output of the winery. This gave
the bank a clear indication of the winery’s profitability and future debt
requirements, as well as bulk and bottled wine stock needs.
After reviewing the winery’s management accounting and reporting systems we implemented a change of accounting software and set up a more appropriate chart of accounts to improve reporting information for management.
We also developed a bank reporting model detailing sales, stock movements
and cash positions, allowing more accurate and timely reporting to the bank.
This clear and concise reporting model, in conjunction with an up-to-date
security position ensured the bank had a clear picture of the current position
and future prospects of the winery. As a result Tilbrook Rasheed helped
secure continued bank finance.
Tilbrook Rasheed has continued to provide value to this client by working closely with management to develop a new sales strategy and look at ways to restructure the business to be a more efficient and tax effective business structure. Today, we continue to undertake all the statutory accounting and taxation requirements as well as participating in regular board and strategic planning meetings.
|
|
