Cole Accounting working with PCH Business Support
Cole Accounting Ltd achieves 50% growth in Revenue and 10% increase in profitability working with Paul Holmes from PCH Business Support, whilst allowing Danielle Cole to work less in the business, proving to be a godsend in the current lockdown situation facing the country.
Danielle reflects on the current situation facing the nation in relation to the Corona Virus pandemic and how Cole Accounting is coping:
“ Over and above the amazing growth in revenue and profit in the last year working with Paul, the improvements to the way the business works and our systems and processes now in place, has significantly reduced the company’s reliance on me as the MD to be working in the business – his input has been critical to our survival in the current crisis and had this happened even 6 months earlier, the team agree we wouldn’t have survived, we are able to look after our clients, balance being at home with childcare demands and yet able to still work on the business with an action plan of further changes and improvements that will help us further when this is all over – we have even launched a new service in the last few weeks providing direct business support to our clients to deal with their businesses surviving, which Paul is delivering as a Cole Accounting service”
Danielle Cole - MD Cole Accounting
The case study was originally planned for the end of the first 6 months working with Danielle, to capture the progress she has made in the business, but events in the real world have taken over and had a huge impact on all businesses, Cole Accounting included – The case study, although focusing on working ON the business prior to the crisis, shows the impact of working smarter not harder – something that is critical for all businesses right now, every business needs to be pragmatic, look at all options, evaluate the Government support and other financial options, review the business model, adapt to the current climate, create an online version adapting what the business already does and where possible working ON the business, raising profile and marketing, streamlining the business, strengthening it, implementing all those changes you didn’t have time for previously – then when its over, the business will be ahead of the competition in visibility and profitability.
Paul Holmes April 2020
The case study
Danielle Cole, the successful owner of an Accountancy firm in Cheltenham had been the first person to complete 6 months of the PCH Business Support monthly support programme, she is now rapidly heading towards the 3rd block of 6 months and PCH has become an integral part of the business not just in times of challenge but as a constant, providing guidance, challenge and support.
The progress that this has made to Danielle’s business has been dramatic. Not only improving profitability by more than 10%, revenue by 50% but projected to hit 100% but now slightly delayed due to the lockdown. Danielle did not work any harder to achieve this, nor did she get more clients or team members – in fact quite the opposite in many cases. It was mostly by thinking differently about how the services are presented, monitored and charged, looking at internal systems and controls and it has worked well.
Cole Accounting, is a small family run business that has been looking to grow, but struggling to make the changes needed. A flat-out busy business and MD, with a full list of very happy clients but forever in firefighting mode and struggling to match industry expectations for profitability and turnover.
Danielle had spent some time working on the commercial proposition for the business. She recently reviewed and increased her prices but found she was still struggling to make a real difference. The business was underperforming and like many other business owners she was not benefitting from a full salary in order to help the business.
I was introduced to Danielle to look at the business from a strategic and operational standpoint to see what changes could be made.
In many cases business leaders and owners grow their businesses organically and often without clear aims, goals and business systems in place. Inevitably this then leads to a point where the business can’t grow any further. The owner and the team are flat out just trying to maintain the current workload, stopping to make changes isn’t possible and knowing what to change is too difficult to identify, with no time to pause to even consider.
Unfortunately, this was where Cole Accounting was heading, they were still just profitable and full with clients without needing to advertise. However, everyone was working flat out in the business, with Danielle focusing almost exclusively on fire-fighting the to-do list and very much working IN the business and rarely ON it.
it was a perfect time to start to help.
The process
· Detailed business review
· Aims Goals Objectives Strategy Plan
· Action List
· Development list
· Prioritisation/Review
· Systems Processes Data
· Challenge Support Guidance
· Operational development
· Growth
The initial session on first meeting with Danielle was an overview to get an insight into the challenges, where the business was heading and any personal aims. In that first session we generated some areas that might be contributing to the situation and challenged some of the established practices.
“From the very first meeting with Paul, he challenged the way I looked at my business. He explained that to really understand and know your business, you must look at it from a different perspective. Number one being it’s not “your personal business” but “a” business, there to work for you.
Like most small business owners, I felt protective of the business I had worked hard to nurture and grow and when someone tries to get you to step away and evaluate your business objectively, it can be difficult. But Paul gives you the insight in how this can benefit not only you but the business too.”
Danielle agreed to proceed to the full programme whilst retaining some reservations that the areas where improvements and changes might be found, were actually possible!
The monthly support programme commenced with a detailed half day review to fully understand how the business operated. Systematically we worked through every aspect of the company, digging into the pain points, developing the aims and goals for Danielle and the business and beginning to develop action and development plan. Each section of the business was covered, and it generated around 40 key actions for Danielle and the team to begin to focus on.
Many of the initial tasks were to start to look at the data in the business and to really understand the metrics of what was going on. In some cases the data didn’t exist, so putting the systems in place to start to capture some of these, was also important.
One of the company’s stated aims was to go the extra mile for all their clients and this was clearly working with fantastic feedback from them. My suspicion was that they may be helping their clients a little too much and perhaps providing Silver or Gold level services for clients on more basic level packages. The data evaluation confirmed that this was indeed almost always the case.
The processes established from the programme began to take shape and be put in place. Controls were implemented to ensure high quality delivery to clients but at the correct levels. Clients that were benefitting from “effectively” having free hours and services, were happy to move up package levels and the benefits to the business have been enormous. Previously free helpful services from the team became chargeable options for the clients.
This was just one of the many areas we identified to help the business.
Monthly update session followed, focusing on progress, new issues, items to address and a prioritisation process for the task list. There continued to be ongoing support for Danielle with decisions, evaluating the business in all areas, helping, supporting and challenging throughout.
Nearly a year on the impact on the business is clear to see and there is lots still to come with additional revenue streams, team expansion and more.
Results
“Once you have established your personal and business goals, Paul helps you develop an action list to use to work towards these goals, broken down into manageable stages. With his extensive business knowledge and invaluable expertise in business practices, systems and project management, he is there to support you on your new business journey.
Since working with Paul, my view of the business is more entrepreneurial and strategic than ever before. I can see my goals and how I will work towards achieving them. The business is developing structure and systems to enable it to run smoothly without too much involvement on my part, allowing me to concentrate on the ongoing development and growth, vital in a changing business world.
In the last ten months, business efficiency has improved within the team and is being carefully monitored, profitability has increased by just over 10% and I am looking to recruit a new team member to facilitate more time for me to concentrate on working on the business rather than in it and to regain quality personal time.
Turnover has jumped sharply by around 50% and is projected to eventually double from the position at the beginning of the programme, It feels like I am back in control of the business and helping it grow rather than just running flat out to keep up. Indeed without Paul’s help I am pretty certain Cole Accounting would not be in a position to survive the Corona Virus crisis so I have no hesitation in continuing to work with Paul or recommending the support to all businesses looking to survive the coming months then to grow and avoid becoming overwhelmed.”
Danielle Cole – Owner/Managing Director of Cole Accounting Cheltenham