Budget Analysis, Financial Planning and Growth Strategy for Non-Profit
As a nonprofit dedicated to improving the journey of cancer patients, this foundation is devoted to ensuring women battling cancer feel valued and important by providing monthly beauty care boxes filled with various holistic wellness products to help improve confidence and inner strength during their fight with cancer.
Situation:
Our client increased the number of products shipped, donations, and partnerships rapidly over the past two years and is poised to accelerate this growth as we move into 2021. In preparation for the continued growth our main focus was easing our client’s “growing pains”. We accomplished this by digitizing the bookkeeping, analyzing the financial history and implementing accounting tools, as well as conducting best-practices research to provide strategic recommendations for scaling successfully.
Challenge:
The main challenge for this client project was understanding and digitizing our client’s financial history. Prior to engagement with Rem and Company, our client conducted business by (1) taking and holding pictures of all receipts, and (2) using a variety of informal methods of payment such as Venmo, Cash App, direct deposits, etc. In order to understand the business and provide recommendations, our team combed through two years of vague, often incomplete or overlapping, receipts.
Additionally, our client needed assistance exploring new packaging and shipping options to reduce time and cost inefficiencies, new banking and accounting strategies, and a plan for board development.
Approach:
Given the main problem of our client was getting a clear financial picture and strategic plan for their growing business, our team broke implemented a three pronged approach:
Budget Analysis: We combed through two years of transaction receipts and transitioned this history to excel. In excel we were able to break down the transactions into categories, summarize the information, and provide our client with a clear understanding of their revenue and expenses.
Financials: We built upon the information we uncovered in the budget analysis to benchmark strategic financial objectives for the upcoming year. We created multiple potential levels for these benchmarks in accordance with potential growth scenarios. The main goal here was to provide our client with financial guidance for 2021.
Growth Strategy: Starting with the financial plan and budget, we developed a full game plan for 2021. This plan included recommendations for banking, accounting, packaging and shipping, and creating a board of directors.
This approach enabled us to understand the current financial and operational situation (revenue, expenses, employees, packaging and shipping, banking, board of directors, etc.). We then identified the solutions that would have an immediate impact.
Impact:
Rem and Company was able to provide the client with a clear view of past expenses and fundraising efforts. As well as a forward looking budget strategy. In addition to a deeper understanding of the financials, we were able to provide multiple impactful recommendations to help achieve the 2021 goals and beyond.
Team Breakdown:
Team Lead: Lewis Burnham
Strategist: Kavi Dewan
Strategist: Jonas Mendes
Strategist: Yuxin Liu
Strategist: Shania Wang
Relevant Background Information:
Business Type: Cancer Non-profit
Industry: Beauty
Location: Chicago, IL
At Rem and Company, we're on a mission to keep doors open and dreams alive. Rem and Company started as a social impact initiative offering free consulting services to small businesses impacted by COVID-19. Rem and Company has become an information hub and digital community platform for small businesses in need. At Rem and Company, small businesses stay up to date on trends in their industries, learn new approaches from peers, build a network, and develop the capacity to adapt as the world around them changes. Our consulting teams provide small businesses with the opportunity to identify and prioritize issues facing their business, propose innovative strategies and facilitate execution. If you are a small business owner and want to learn more about how we can help, request a free consultation.