Case Study - Membership Organisation
Client Case Study – Membership Organisation
Streamlined bookkeeping and financial management that helped improve a consistently negative balance sheet valuation to a positive one in 2021.
Summary
Freedom in Numbers began working with this particular client towards the at the beginning of 2020 after being approached by a board member after their internal financial controller resigned.
Being a large membership organisation, it was extremely important that the finances were kept tidy. The organisation was planning to go through a period of digitisation to improve the processes and overall management of the organisation.
The Challenges
Had recently begun to implement Xero, but internal controls and processes were poor and the team were struggling to cope with the change.
Many of the processes and reporting were manual and labour intensive.
Bad debts were increasing, and control were lax to chase and collect from customers.
Strategy for change
✔ Consistent monthly reporting with video and voice over commentary, to make it easier for the board and teams to understand how their contribution is helping grow the business, and improve profitability.
✔ Full digitisation of processes to improve efficiencies in the organisation, with bookkeeping support for internal team members.
✔ Full Business support with management reporting and cash flow planning to improve the understanding of the business finances by management to help make better business decisions.
Impact to the business
Regular customised financial reporting to management, helping them with better decision making.
Time saved by automating repetitive tasks to allow the team to work on key areas of the organisation.
500% increase in balance sheet reserves, turning a negative balance sheet into a positive in 2021.
Bad debts reduced by 90% year on year, increasing cash flow to the organisation to drive further improvements.
How did you feel before you started working with us?
“In a state of panic. Our internal financial controller had just implemented Xero and then resigned, and the internal finance team didn’t have a full knowledge of how to use it yet.”
What would have been the result if you kept feeling & working the way you were?
“We would have struggled to implement the changes needed to move into a better financial future for the organisation. Management wanted change, and we felt we couldn’t deliver it the way we were working.”
What specific success have you had from the work we’ve done with you so far?
“The finances have dramatically improved. With the help of Freedom in Numbers, we have been able to implement our plans to digitise the organisation, taking efficiencies when recommended to reduce the time wasted on menial tasks, and drive the business forward.”
There’s a science behind our customer service scores!
We also regularly track our net presenter score (NPS) which scores our business reputation against other businesses to see just how much our customers score us and whether they would refer us to other business owners.
We use this to motivate our team to consistently achieve a high level of customer service with our customers, and drive the business forward.
What does an NPS score mean?
A Net Promoter Score that is below 0 would be an indication that customers have a lot of issues to address with their bookkeeper or accountant.
A score between 0 and 30 is a good range to be in, however, there is still room for improvement. If your NPS is higher than 30 that would indicate that your bookkeeper or accountant is doing great and has far more happy customers than unhappy ones.
An NPS over 70 means that customers love you and your company is generating a lot of positive word-of-mouth from their referrals. This range is known as world class.
To compare, Apple’s most recent score was 47, and Xero’s was 42. The higher your NPS is, the more likely it is that your customers would recommend you to their business contacts and friends.
What does our score mean?
Typically, the accountancy and bookkeeping industry has an average NPS score of -5 (minus 5), which doesn’t mean a lot to most people, but generally a score of 0 or below is bad.
Each customer scores you between 0 and 10, with 10 being the highest. Our latest score was 88 out of 100, which is in the World Class range!
