Hospital Care is amongst the top 10 hospital chains currently operating in India and operates 10 hospitals in Maharashtra with a bed capacity of approx 750. The chain is Private Equity backed and is in the middle of a significant expansion plan. Management expectations are for Finance and Accounts (F&A) department to provide visibility on Return on Investments from the new facilities, capacity utilization, hospital profitability and Return on Capital Employed (ROCE). The Hospital also runs ‘health care delivery’ centers and specialty labs within each of the hospitals that they operate. Continue reading
Organicfood is a Private Equity (PE) invested fast growing Indian company in the supply chain space. Organicfood’s business model is to procure, store, process and on – sell the produce from farmers to the end consumers. The company takes on the responsibility of guaranteeing marketability of the farmer’s produce and also ensuring that the produce meets the highest standards. Continue reading
RealBuild is a Promoter owned and managed, and privately funded mid-sized real estate company headquartered in Mumbai. RealBuild had developed approximately 10L sqft of residential and commercial space in and around Mumbai immediately before MyCFO’s involvement with the Company and developed around 5Lsqft of commercial real estate during the time of our involvement. Senior Management was and continues to be exclusively run by close friends and relatives of Promoter. Initial work has been done to induct a professional CEO at RealBuild Continue reading
Our client Pharmax is a family owned and managed company with turnover close to INR 700 Crores. Pharmax is a leading name in the Active Pharmaceutical Ingredient (API) and Finished Drug Formulation (FDF) segments which is sold in both the regulated and the generic markets in India and over 50 countries worldwide. The company has state of the art manufacturing facilities approved by US FDA and has 17 Abbreviated New Drug Application (ANDA) filed and 12 in the pipeline.
Challenges for MyCFO:
Budgeting at Pharmax was a simple ‘spread sheeting’ exercise restricted only to collation of data inputs received from various departments. The variance between budgets and actuals for instance in financial year 13-14 was more than 80%. The variances were reported every month to the HOD’s and the management on a month on month basis for their review and comments. Continue reading
Our client Fulex is in the business of developing fuel efficiency solutions for the Genset manufacturers. This involves carrying out R&D on the technological and commercial feasibility of the products and, once the feasibility is demonstrated, developing and manufacturing these products. The Company is in a high growth phase with a need for maintaining high level of working capital to sustain the growth, in addition to capital requirement to fund expansion.
The objective of the budget exercise was
- (a) to develop 5 / 10 year plans, Annual Operating Plan or Annual Budgets with monthly / quarterly break-ups at a departmental and segment level
- (b) Determine sales targets to the sales team, broken by products, geographies, customer segments etc.
- (c) Determine P&L position and cash/working capital requirements at various levels of sales
- (d) Determine the amount of capital to be infused to support ongoing operations and expansion plans
- (e) Planning for manpower needs
- (f) Expense control, by allotting expense budgets to departments
- (g) Determining profitability by product, geography, customer segments etc
- (h) Exploring feasibility of expansion plans with metrics such ROI and IRR
- (i) Scenario analysis, Sensitivity analysis and “what-if” analysis through modification of the assumptions.
Digimed is an Indian group in the digital media space which has been acquired by a leading media house based in Europe.
MyCFO plays the role of a Controller reporting to the Group CFO based out of Netherlands. The mandate is to streamline the accounting, compliance and reporting function in line with the group’s global practices. This entails booking revenues and costs based on accounting conventions and principles in line with Indian GAAP and IFRS, authorizing and tracking of expenses, liaise with the auditors for accounts finalization, setting the India budgets, managing and forecasting future cash flows, getting involved in monthly review meetings with the India CEO and the Group CFO, measuring business performance by setting up profit center accounting and reporting, improving operations by implementing an IT solution to track time to enable the management to take decisions on efficiency and pricing, drafting SOP’s for key business processes amongst others. The role comes with accountability to deliver results that an in house Controller/CFO would take on had there been one. Continue reading
Virtualrace is a start up promoted by professionals who have held CFO level positions in the past. Virtualrace is a pedometer based, mass participation event conducted over 100 days. Virtualrace is backed by a Venture Capital Fund and it encourages activity and health in a fun and inclusive manner that complements hectic lifestyles.
MyCFO plays the role of a full fledged CFO. MyCFO got involved at a pre – revenue stage to assist the promoters to monetize the business concept. Being a full blown CFO role, MyCFO also is involved in assisting the company in defining the key metrics to measure business performance, preparation of MIS, communication with the investors, negotiations with vendors, thinking through price points and customer profitability, involvement in getting the website operational, thinking through modes of distribution and logistics including tax, cash flow and profit impact and drafting employment letters and salary structures for new recruits. Continue reading
IndFrag is an 80 year old, $ 100mn Indian group and the industry leader in industrial fragrances and flavours. The company is based in Mumbai having manufacturing capacities in Mumbai, Gujarat and Netherlands.
MyCFO assisted the company in a comprehensive change management project from a Promoter managed to a Professionally managed company. MyCFO was involved preparation of MIS reports, preparation of financial statements under local GAAP, analysis of product and business profitability, project managing the implementation of an ERP, preparing the data room for potential PE partners. Continue reading
HeatEx is a mid-sized manufacturer of heat exchangers used in the oil and gas, fertilisers and power industries. The company has manufacturing facilities in Navi Mumbai.
MyCFO was mandated to identify, communicate and negotiate with potential overseas partners, with the objective of increasing the sales of HeatEx. Continue reading
Diagnostic Center is an ultramodern diagnostic centre with comprehensive facilities for Laboratory, Imaging investigations and other diagnostic facilities head-quartered in Mumbai. Lifecare provides digital x-ray, digital imaging, mammography, bone densitometry, sonography, cardiac imaging, advanced dentistry, spirometry, eye check up amongst others. Continue reading