MacGillivray Builds Business With CCH Profit Driver During Tough by housework

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									                                                                                              CCH Accountants’ Suite

                                                                                            CCH Profit Driver Case Study



MacGillivray Builds Business With
CCH Profit Driver During Tough Economic Times
How do you provide even more value-added
services to your clients?
It was an issue MacGillivray, an independent regional accounting firm of
more than forty professional and support staff with clients throughout
the Golden Horseshoe area, confronted in 2007. And a question that
was answered that November when the partners learned about
CCH	Profit	Driver in a presentation held at the CCH Users’ Conference
in Dallas.

“CCH	Profit	Driver blew me away at the time,” says David Straughan,
C.A., one of the firm’s partners. “Immediately, I realized that the
program was different, because it would let our firm do things on
the fly. We could answer real questions clients had in real time and
demonstrate the most important things they should be working on
to maximize their effectiveness.”

Following the conference, MacGillivray introduced CCH	Profit	Driver in
trial to four clients who unanimously raved about it. During this time,
Mr. Straughan also attended sessions with CCH trainers to help him
commercialize the program in the marketplace. “I learned stuff in every
session that was incredibly valuable to me, everything from technical                        David Straughan, C.A.
knowledge to marketing skills.” Mr. Straughan confidently declares.                           Partner at MacGillivray


But the true impact of this software was not experienced until the recent economic downturn. That’s when clients began
calling MacGillivray, worried about the effect the economy might have on their businesses.

	                   “When	the	world	fell	apart	in	the	fall	of	2008,	we	became	the	go-to	
	                   	people	for	our	clients,”	recalls	Mr.	Straughan.	“Because	of		
	                   CCH	Profit	Driver’s	What-if	scenarios,	Goalseeking	capabilities	and		
	                   projections,	we	were	able	to	help	them	become	prepared	for	any		
	                   changing	economic	circumstances	they	may	have	to	face.”

Two Clients. Two Dilemmas.
To demonstrate, Mr. Straughan recounts the impact CCH	Profit	Driver had on two clients of his firm.

“One of our manufacturing clients called. They were concerned about how an economic downturn might affect them. They
had always experienced growing pains in the past. Their growth had come from landing major contracts, but they were being
paid in 90 days and typically had a profit margin of approximately 10%. This meant they needed big financing to fund their
growth.” He continues, “I used CCH	Profit	Driver to show them that when they use more working capital than profit margin,
as their business slows, it frees up cash in their business that was previously tied up in inventory and receivables.”
In essence, Mr. Straughan was able to point out that this client’s business was healthy and could survive the current economic crisis.
He was also able to show that the thing that would hurt them the most would be if their customers dramatically slowed payment of
their accounts receivable balances.

Then there was the highly profitable client of MacGillivray who
had never experienced cash flow problems before. According to
Mr. Straughan, this client queried, “What do we do with this
economy? We really don’t think we have any issues, but we
just want you to check.” Unlike the previous client, they were
positive that they did not have anything to worry about today.

Once again, Mr. Straughan turned to CCH	Profit	Driver. “The
software allowed me to demonstrate that my client was going
to have to right-size their operations immediately if sales slowed.
That was because so much of its day-to-day cash flow came
from its day-to-day sales. There wasn’t that much wrapped up in
working capital that they could free up. We illustrated for them
that if their business slowed down; they were only going to be
able to support their bank borrowings at their current level for
a short time”.

                                                                       Moving Forward With CCH Profit Driver
                                                                       MacGillivray officially introduced CCH	Profit	Driver as one of its
                                                                       value-added service offerings in the fall of 2008, with extremely
                                                                       positive results. “We budgeted to make about $10K in
                                                                       billing on CCH Profit Driver services in 2008. But we
                                                                       ended up doing $40K in october and november,”
                                                                       says Mr. Straughan. The firm is confident that it will enjoy even
                                                                       greater success in the upcoming year and for many years to come.

                                                                       “CCH	Profit	Driver gives us the means to really help our clients in
                                                                       ways that go far beyond traditional services provided by accounting
                                                                       firms,” says Mr. Straughan. I love this program!”

                                                                       Chances are, other accounting firms will too.

                                                                       To learn more about David Straughan’s experiences
                                                                       with CCH Profit Driver, visit his blog at
                                                                       http://macgillivraycompass.wordpress.com/




                                                                          TUrN ADvICE
                                                                          InTo ADDeD Revenue
                                                                          Interested to learn more about CCH	Profit	Driver,
                                                                          or want to sign up for a free webinar?


       natonal office                Sherbrooke office
                                                                          Call: 1-866-426-6216
       300-90 Sheppard Avenue East   1120 de Cherbourg Street             and speak to a member of our customer service team. Or visit
       Toronto. ON M2N 6X1           P.O. Box 2300
                                     Sherbrooke, QC J1H 5N7               www.cch.ca/profitdriver

       M424-4-09

								
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