Driving Growth In Professional Services Firms..
May 18, 2009
Small to mid-market professional services firms, such as engineers, IT consultants, architects and design shops, often have bookkeepers or accountants, but do not have the right kind of financial management expertise and tools needed to drive growth, and truly understand and improve their profitability and cash flow. Business owners should be asking themselves:
- How does your firm stack up to other peer firms?
- Do you know what's driving your profitability and cash flow?
- Do you fully understand the relationships between staff utilization, overhead rates, billable hours, and cash flow?
- A feeling that profitability could be much stronger, and a concern that high staff salaries and pressure on billing rates are just making things worse.
- A need to grow revenue so the company can reach the next level, but concern about spending marketing dollars and lack of time for marketing.
- The knowledge that receivables are steadily growing with bank lines increasingly stretched, and seemingly no progress in improving long term cash flow and stability.
- Lacking a strategy to build corporate value and to find a way to ultimately exit profitability.
A deep understanding of the components of your business will help you stop running in place. As the business starts to grow, you can now focus on long term strategy and ultimately a profitable exit.
B2B CFO ® is a trusted business advisor, creating financial and goal clarity to increase cash, profitability, sales and successful exit strategies. Every professional services firm, regardless of its size, needs a Chief Financial Officer. You can now afford a CFO with B2B CFO®. Contact David Kirkup, B2B CFO®, for a discussion about how to begin taking control of your firm.
