Providing a part-time CFO to achieve unique value
Superior CFO services to enable growth and provide steady financial leadership
A small, closely-held U.S. company with manufacturing operations in China received a private equity investment to enable growth. To meet the increased accounting and finance requirements, the company needed an experienced CFO but did not want to invest in a full-time C-level employee. The CEO came to Aventine Hill Partners for help.
Through our CFO Advisory services, we provided an experienced CFO on a part-time consulting basis. The Advisor had extensive experience in US GAAP, IFRS, and Chinese accounting, and is a CPA with an audit and controls background. This unique skillset allowed the Advisor to quickly bring the company up to reporting and control standards consistent with the PE Agreement.
While small, the business was complex. Issues to be properly managed and reported included a non-controlling interest, A/R factoring, foreign exchange exposure, inter-company accounting, consolidation accounting, elimination accounting, international cash management, and tax planning. The CFO Advisor worked with company accountants in the U.S. and China to review existing internal controls for financial accounts and processes. Because of the complexity, a number of procedures and accounting decisions needed modification to make them more accurate and simple. Training was provided to assure the controls were implemented correctly and the financial reporting accuracy would be as required.
The addition of the PE investment also resulted in evolving a more formal Board structure. Using experience in the industry, the CFO Advisor introduced the CEO to Board member candidates who could both advise the business and introduce the company to potential customers. The Advisor improved the financial reporting and analysis packages for the Board to facilitate better alignment among the majority owners and the PE firm.
With help and leadership from Aventine Hill Partners, this company was able to successfully meet the PE Agreement requirements in a timely and quality manner. And, it has the leadership and expertise of a highly experienced CFO on a part-time basis, creating ongoing unique value in a cost effective way. Learn more about our CFO Advisory services.