Case Study #1:     Private Software Company - Revenue and Direct Cost Reporting and Process Improvement

Client Environment
  • Complex environment - multiple element arrangements with hardware, software and services and inventory management considerations
  • Multiple, disparate systems lacking process documentation
  • Need for timely information to support subsequent rounds of financing
  • This was a "figure out how it's done and build it from the ground up" scenario to report monthly results and improve processes during staff turn-over with no knowledge-base transition
Solution
  • Brill Kennedy designed, implemented and documented:
            --  processes and controls for revenue, cost and margin reporting
            --  model for multiple-element arrangement revenue calculations
            --  drill-down reporting - from the the financial statements to the transaction level
  • Designed and implemented revenue and cost reporting by aligning data from disparate systems in use by Accounting and Operations
  • Managed the close and audit processes until permanent hire was on-board
  • Assisted with permanent hire recruiting and training
Impact
  • Accelerated the revenue, direct cost and margin monthly close and annual audit cycles
  • Improved accuracy of reporting (resulting in lack of audit adjustments or control recommendations)
  • Enhanced reporting at the transaction and customer level to serve business needs of the Accounting and Operations organizations
  • Provided key financial information for use in obtaining financing
  • Brill Kennedy was retained by the client to improve other business cycles - cash, receivables and payables /accruals

Case Study #2:     Sale of a Private Equity Owned Government Contractor to a Fortune 100 Company

Client Environment
  • Private Equity owner initially undertook a dual track IPO / Sales Process resulting in intense demands on the Government Contractor client
  • Multiple portfolio companies acquired in a short time span, running on various accounting systems and undergoing a Deltek Costpoint implementation
  • Need for advisor experienced in financial reporting, operations and transactions (IPO and M&A) to help direct and manage the dual track financial reporting process and take pressure off internal staff
  • This was a "help us understand what we need to do and roll-up sleeves and help us do it" exercise.
Solution
  • Brill Kennedy managed the dual-track IPO/ Sales financial reporting process and quickly shifted gears upon client decision to pursue a sale of the Company
            --  established and managed financial reporting process and timeline
            --  drafted S-1 content and Technical Accounting Memos / SEC Pre-Clearance Letters
            --  managed financial and tax diligence - preparing for buyer due diligence and responding to diligence requests
            --  assisted with account reconciliations for year-end reporting and audit and drafted client response to audit control recommendations
            --  designed process and reporting for unbilled receivables, software maintenance contracts and DCAA exposures
            --  established templates for tax reporting, working capital analysis and purchase accounting
Impact
  • Successful exit for the owners and management  through a sale of the entity to a Fortune 100 Company
  • Successful Deltek Costpoint implementation and accounts of multiple acquired entities reconciled and in compliance with GAAP

Case Study #3:     Interim Director of SEC Reporting

Client Environment
  • Public software company needed someone to manage the 10-K and 10-Q reporting processes while the search for a permanent hire was undertaken
  • Immediate client need upon year-end resignation of Director of SEC Reporting
  • Many international reporting subsidiaries, minimal time to get up to speed
Solution
  • Led the SEC reporting function for the year-end 10-K and first quarter 10-Q reporting cycles:
            --  directed staff and reviewed reporting packages and reconciliations of US and International reporting units
            --  managed process and timeline
            --  drafted and edited content of 10-K and 10-Q documents
            --  coordinated with external auditors and internal legal and accounting teams to meet audit requirements and SEC filing deadlines
  • Researched recently issued technical accounting pronouncements for revenue recognition and prepared position papers
  • Created lease reporting template for use by world-wide reporting units
  • Transitioned the role to the permanent hire
Impact
  • Client's year-end and first quarter filing timelines were met will little to no disruption to the organization upon senior staff resignation
  • Audit and SEC filing processes were smooth, allowing for a well-thought through hiring decision and transition for the permanent hire
  • Improved, standardized template for world-wide lease reporting