Achieved long-lasting results
When the owners of Pesznecker Brothers, Inc. called Renee, the 36-year-old manufacturing company with nationwide sales had been losing money for three years and had overdrafts at the bank. The current ratio was .64; liquidation ratio of assets to liabilities was .37. The company’s financial records were inaccurate and out-of-date. The staff was poorly trained and disorganized, and the IRS was threatening a forced shut-down.
Renee was referred by the Special Assets Department of the company’s lender.
Working with full operating authority, Renee
- Stopped overdrafts and losses
- Cut costs
- Eliminated unprofitable projects
- Designed and implemented a new cost accounting system and system of management controls
- Avoided Chapter 11 by negotiating a creditors’ extension
- Profitability was restored.
- Operations were more efficient.
- Delivery times decreased by half.
- Staff accountability and morale improved.
- Today the Company is run by the next generation and remains consistently profitable.