Source: BizActions, Thomson Reuters Background on Business Taxes and Owner Liability The federal income tax treatment of a domestic business operation — one that’s domiciled in the United States — depends on how it’s set up. A business’s “choice of entity” has broad implications, including: Whether there’s an entity-level federal income tax, How much flexibility […]
Corporate Structure Primer Read More »
Source: Jeff Wright, Hitachi Business Finance When applying for any type of funding, it is essential that you are in tune with all aspects of your business. You need to have a deep understanding of exactly what you will be using the money for and how much is needed before you obtain it. Ask yourself these
5 Important Questions to Ask Before Seeking a Loan Read More »
Source: Dan Hammaker, Axial Savvy CEOs will prepare for an exit well in advance, aligning time of the sale with their operational peak to maximize value. But no matter how well-run a company is, the 2-3 years preceding a CEO’s desired exit window offer an opportunity to evaluate potential business improvements. By then, any ROI
How Acquisitions Add Value Before a Company Sale Read More »
Denver-based MCG Civil, a national heavy construction business with over $100 million in revenue, has acquired Charlotte-based Horsepower Site Services, a leading regional provider of specialty construction services including grading, underground utilities, erosion control, concrete, paving, etc. SF Managing Director Dave Gilroy and Partner Bill Schiffli managed this transaction process end-to-end. Horsepower Site Services, LLC
Scale Finance Closes Acquisition of Horsepower Site Services by MCG Civil Read More »
Celerity, a SONA USA INC. company is dedicated to installation and service of high-speed internet and television systems for multi-resident properties in Southeast Florida. The Company’s core focus is installing reliable and high-speed fiber optic based systems in many multi-tenant properties in the region. The Company manages its own Internet Service Provider, in-house technicians to
Scale Finance Closes Growth Financing for Celerity Read More »
Reliant provides mobility assistance for patients and residents from hospitals, skilled nursing facilities, assisted living facilities, rehabilitation facilities, and private pay individuals who are in their homes or in a residential or medical facility of some kind. Scale Finance provides fractional use Controller services for Reliant. Prior to the recent control-change transaction, SF provided accounting
Scale Finance Advises on Acquisition of Reliant Transport Read More »
Travel Resorts of America (www.travelresorts.com) is pleased to announce the closing of a $20 million Asset Backed Loan (ABL) facility through Quorum Federal Credit Union. The facility will be used to provide working capital to Travel Resorts in support of selling new resort memberships at the company’s nine luxury RV Resorts locations. Travel Resorts is
Scale Finance Closes $20 Million ABL Financing for TRA Read More »
Source: Axial Network Every selling business owner dreams of the same exit outcome: sell high, retire well. As such, in the years leading up to the sale, most owner-operators become marketing experts – articulating the strengths of their company, showing would-be buyers the potential for continued growth (and ultimately buyer return). What most owners fail
5 Ways Entrepreneurs Hurt the Chance of Selling their Business Successfully Read More »
Source: Chris Mitchell, Hitachi Business Finance How is an asset-based loan structured? What are common asset based lending terms? The question can arise from business owners and lenders alike. Let’s take a look at common structure expectations. It is widely believed to expect 80-90% of accounts receivable (A/R) and 50% of inventory, but that could
Asset-Based Lending Terms & Structure Read More »
Source: BizActions Credit sales are a fact of business life. And to keep those accounts from spinning out of control, your company must maintain a delicate balance between the total cost of bad debts and your profit gains. Your cash manager needs to constantly monitor your total receivables and bad debts. Part of the process
Tracking Key Cash Collections Metrics Read More »
Graf Research™ unleashes innovation by developing ideas into disruptive technologies. The Graf mission aims to perform research, provide services, apply analytics, and create products that enable secure, high-performance, embedded, and adaptive computing solutions.
When the Director of Finance for Graf was leaving the company, Graf needed an experienced financial team to get them through the transition. Managing Director Gary Hayes was introduced to Graf and determined that CFO Rendy Richards and Controller John Schefke would be an ideal combination. These two were particularly important because Graf is a U.S. Government contractor, and both Richards and Schefke have strong backgrounds and deep skill sets in this industry.
The two Scale Finance professionals quickly responded to Graf’s time-sensitive need, logically split up the work, learned the DELTEK version used by Graf, introduced more efficient processes and techniques, and helped meet their financial reporting needs. Our professionals also determined that the Senior Staff Accountant was underutilized and helped her grow into a permanent, cost-effective Controller role.
FX HedgePool (FXHP)
FX HedgePool (FXHP) is a New York and London-based highly innovative fintech company. FXHP is an award-winning peer-to-peer matching platform that optimizes the FX swaps market. The Company eliminates market impact and minimizes the effects of volatility – significantly improving outcomes for all investors.
FXHP’s unique credit model separates liquidity from credit, creating a new source of safe and dependable liquidity for the swaps market. The Company exists for the community, guided by the community with a “win-win-win” commitment that helps members, underlying investors, and banks yield safer and better results.
Scale Finance began serving FXHP years ago, providing annual business valuations to support 409A compliance for the Company’s management incentive equity plan. During this period, Scale Finance Managing Director Dave Gilroy advised FXHP about potential strategic corporate transactions. In 2022, the Company decided to raise institutional venture capital. Scale Finance managed this process from end to end, resulting in a highly successful closing of an $8 million Series A equity financing led by Information Venture Partners with participation from Fidelity International Strategic Ventures and NAventures (National Bank of Canada’s corporate venture capital arm).
Scale Finance continues to provide periodic business valuation support.
Heritage Trust
As the first independent trust company in New Mexico, established in 1994, Heritage Trust (HT) uses innovation, experience, and flexibility to meet clients’ needs. HT provides a full range of trust services, e.g., acting as their client fiduciary for their Trust assets, being an executor or personal representative related to the distribution of estate assets, managing and growing financial assets, and preparing annual tax returns for trusted clients.
Co-Founder and Managing Director of Scale Finance Gary Hayes has been providing CFO and managing Controller support since February 2021. We have streamlined their monthly and year-end close process and established budget/forecast capability to support management. Their business has grown over 40% since Scale Finance has been involved with the company’s financial management. Gary has also participated in Board Meetings as and when needed.
Southland Transportation Company
Southland Transportation provides transport, supply chain, and campus management services on a local, regional, and nationwide basis. When Southland contacted Scale Finance, they had a strong accounting staff but no Controller or CFO. After an unsuccessful search for a full-time CFO, Southland engaged CFO and Partner Rendy Richards as their fractional CFO.
Over 18 months, Richards helped integrate a new acquisition, made improvements in accounting and finance processes, developed the company’s first-ever annual budget, helped with the onboarding of a new Controller, and provided business valuations in conjunction with Scale Finance’s Managing Director, Dave Gilroy.
For over six decades, Cooper Electrical has served a wide range of industrial, commercial, and municipal customers across the Southeast, providing best-in-class Electrical Design/Build, BIM, Prefabrication, Instrumentation & Controls, and Calibration services. Cooper’s expertise spans multiple major markets, including bio-pharmaceutical, chemical, water & wastewater, power generation, manufacturing, gas production & transmission, and food & beverage.
When Cooper’s CFO left the company for another opportunity, the owners engaged Rendy Richards as interim CFO while they searched for a full-time replacement. On a half-time basis over eight months, Richards kept the company’s financial organization humming, made improvements in several business processes, initiated a detailed financial forecast, and met with the owners to share his observations and recommendations on the most feasible way to staff their finance and accounting department cost-effectively.
SymmetryRX, LLC
SymmetryRX is a leading provider of eSampling services allowing Pharma Manufacturing companies to access physician practices for the ordering and distribution of drug samples across the US. The Company was acquired in November 2018 from Aptus Health, a wholly-owned subsidiary of Merck. Since then, the company has expanded its robust suite of services that provides pharma manufacturing executives, brand managers, sales managers, product managers, and launch managers the ability to help more patients have greater access to samples, improving medication adherence and healthcare outcomes.
Co-Founder and Managing Director of Scale Finance Gary Hayes has been providing CFO Services to the Company since 2018 and was integral in the acquisition process, facilitated initial financing to support the company with a 7A SBA loan package of $600 thousand and an SBA-backed $300 thousand LOC. Since then, Gary has been actively providing CFO support across financial reporting, budgeting, forecasting, cash planning, and strategic planning.
