The Challenge
Lahlouh did not have up-to-date financial statements due to lengthy closing periods. The internal accounting lacked efficiency and therefore financial numbers were neither timely nor consistent and often held mistakes. With about a 45 day closing window, management had trouble making decisions on reports that were not completely accurate. Expenses and other vital numbers were not consistently logged in a timely manner, which decreased efficiency and accuracy for the company. Lahlouh required a quicker closing period to have the financial information necessary to continue to grow a business in an appropriate amount of time.
The Solution
SD Mayer managed the internal accounting at Lahlouh to organize information in a way that was easy for management to understand. We mapped out solutions to improve the reporting process and how to optimize financial and managerial decisions based on the information on the reports. We strived to organize the information in a way that made sense and then educated employees on how to analyze the numbers from their original source and put them accurately into their financial statements. With our suggestion, Lahlouh hired someone to work with them in information technology to implement two different systems within the accounting information systems service. SD Mayer consulted our client on these accounts and remained engaged in Lahlouh’s operations as new procedures were implemented.
The Results
Lahlouh now closes within 15-20 days of the month, which is down to a third of the time it previously took. Management is able to make better decisions both due to organized financials and an educated employee team who better understands how to analyze these. At SD Mayer we encourage employee education because it generates sustained organization and development while promoting a more involved workforce. Based off of a previous banking relationship with Steve Mayer, Lahlouh became a client years ago and remains one today.
