Case Study

Service Line: Fractional CFO Services

Overview

Like many founders of young companies, Shaun Ericson of Cireson – a San Diego-based technology company – didn’t know much about accounting and, in his own words, “didn’t care much about it” either. As the company grew and began to be profitable, “anything surrounding accounting was a mess,” according to Shaun, prompting Cireson to reach out to PBO Advisory Group for help in February 2014.

 

Challenge

Cireson did not have a finance department and had no accounting controls or system in place. PBO Advisory Group, led by Kristy Facchini acting as a fractional CFO, was tasked with implementing the necessary processes and building an internal team so the company’s leadership could focus on Cireson’s continued growth with the assurance that the financial side of the business was being properly managed.


Solution

Kristy and her PBO Advisory Group team quickly assessed the company and its situation to determine not only what Cireson currently needed but also to set in place a structure that would support the company’s future business plans and objectives. Shaun credits PBO Advisory Group for streamlining the entire accounting and finance function and successfully navigating the company through a global expansion while defining, measuring, and reporting on key metrics and drivers of the business health.

Acting as a fractional CFO, the many initiatives that Kristy directed for Cireson included:

  • Implementing accounts payable and receivable processes to keep cash flowing in the early days
  • Identifying, measuring, and reporting on key performance indicators
  • Selection and implementation of NetSuite to support ASC606 compliance
  • Hiring, training, and mentoring of full-time accounting staff
  • Introducing budget process, strategic product pricing, and return on investment analysis
  • Obtaining business line of credit
  • Cost savings reviews and recommendations
  • Expansion into foreign countries, including entity creation, transfer pricing analysis, tax considerations, and Identifying in-country resources to support
  • Liaison with tax advisors for planning and returns
  • Implementing 401k and member appreciation rights incentive plans
  • Supported 409A valuations and R&D Credit determinations

Result

Cireson has seen significant growth in the past seven years since its partnership with PBO Advisory Group began and now has offices worldwide. Shaun credits the strength of the company’s accounting and finance as one of the growth factors.

With Kristy’s guidance, financial issues are now a central focus for Cireson’s leadership and a vital tool when making major decisions. According to Shaun, “Kristy understands what we do and our vision for the future, then she knows what we need to do to get there.”

Today, PBO Advisory Group is actively working with Cireson and Kristy still serves as Cireson’s fractional CFO. In fact, Shaun thinks of her as an employee and the CFO of his company. Kristy not only works closely with the company’s leadership, she also oversees and trains the accounting staff as well as mentors them.

PBO Advisory Group has helped us better understand our business, scale it efficiently, and even rein us in on occasion. Per Shaun, “PBO’s team of experts have been there for us, guiding and challenging us every step of the way.”