Revamping the Accounting Function and Readying for Audit
The acquisition of a $500 million revenue software technology Company by a dual sponsor led to the Company transiting office locations, accounting teams, and ERP systems. After the departure of the Company’s CFO, they chose Accordion as their partner to initially assist with completing bank reconciliations.
Accordion worked with the Sponsor and Management Team to report on the remediation and validation of all current year balance sheet reconciliations, stabilize the order-to-cash, record-to-report, and procure-to-pay processes, and enhance the month-end close process. In addition to managing and improving the accounting function, the key deliverable was a plan for the upcoming to annual audit, and project managing to completion prior to the deadline for lender reporting.
Finance/Accounting Assessment & Design
Accounting Policies & Procedures
Process & Controls Implementation
Accordion led the overhaul of the accounting function, with a focus on remediating the significant deficiencies as identified in the 2017 audit report, specifically:
- Validated and reconciled all 2018 balance sheet accounts
- Evaluated and revised technical accounting memos, including debt modification vs extinguishment and accounting for hedging the floating rate debt
- Assessed and improved the cash application and reconciliation process, including sourcing and implementing a cash reconciliation automation tool
During the project the client requested Accordion act as interim controller, specifically:
- Completed and reduced the monthly close process from over 20 days to a 5 day close with recommendations on best practices and training staff on proper reconciliation of G/L accounts
- Worked with Management Team to develop a proper timeline of deliverables to facilitate the completion of audit in a timely manner
- Interviewed candidates and made recommendations for incoming Controller and other staff accounting positions
- Drafted the financial statements for the audit report
Accordion played a key role in implementing the proper processes and validation of accounts to get all year-end accounts reconciled and prepared with documentation for the audit, facilitating a successful audit with analysis, review, and approval of all requests, and recommendations to improve the cash reporting and reconciliation. Specific results include:
- Remediated all 4 significant deficiencies identified in the 2017 audit, producing a clean audit report for 2018
- Identified the unmatched cash and credit card receipts between the banks and G/L accounts, and made a recommendation for a cash automation tool to cut down on discrepancies significantly.
- Developed technical accounting policies and updated historical financials in accordance with GAAP
- Implemented process improvements to ensure accurate and efficient recording and reporting
- Significantly reduced reconciliation time, driving the first fully reconciled month