Business Advisory

Stern Cohen clients are at all stages of the business cycle: start up, growth, or in transition due to retirement. Whatever stage you’re at, whatever challenges you’re facing, we can offer advice based on first-hand experience with business financials and planning. We’ll tailor our service to your needs, bring in our full service team, and support you when you need us.

Rest assured, Stern Cohen is a full service accounting provider. We don’t outsource significant services like tax, succession and estate planning, valuation or litigation support. Instead, we provide a complete range of specialized services in-house so as your business grows and matures we’re ready at each stage of the cycle with the service and advice you need when you need it. Our clients sleep well at night knowing they have expert guidance for their business.

Stern Cohen’s business advisory services include:

  • Management advisory
  • Financial modelling (see details below)
  • Business financing
  • Mergers and acquisitions
  • Corporate structuring and restructuring
  • Reorganizations
  • Divestitures
  • Due diligence
  • Litigation support
  • Cash flow projections
  • Business valuation / Intellectual property valuation
  • Exit, retirement and succession planning

Business Advisory Needs:

As a business owner, are you considering any of the following questions?

  1. Should I open a new plant?
  2. How should I price my new product line?
  3. How can I manage cash flow when starting a project that will drain my resources?
  4. How much can I afford to pay my staff and when should I hire new staff to keep up with business demands?
  5. When will I start making a profit on our new facility, and what will my return on investment be?

The answers to these questions and many more are available with our financial modeling service.  Why create a financial model? It will reduce your risk and highlight the successful way forward. Rather than relying on your intuition to answer these questions, business owners can benefit from a quantitative approach to assessing the risks and long-term financial benefits of their decisions. The ideal tool for this is a customized, dynamic financial model leveraging best practices from Bay Street, where deals running into the billions of dollars are decided based on financial model outputs.

Financial Modeling – How it Works

We assist business owners with making business decisions by creating a customized financial model. Financial models are used on Bay Street to assess the feasibility of deals, projects and ventures running into the billions of dollars, and we are proud to bring the same level of quality models to small and medium-sized businesses.

Financial models make use of key financial and operational information about your business. The information is then processed to analyze how your business will react to different economic situations or events, and to forecast the outcome of financial decisions before committing any funds to a specific project. The audience of a financial model is usually twofold: the decision-makers within an organization, and those providing financing (investors and banks). Therefore, business owners can use models not only to make decisions, but also to convince equity and debt owners that their projects are solid investments.

A robust financial model will provide the user with the ability to quickly alter assumptions related to revenues, expenses, etc., and to immediately see their impact on financial metrics such as net profit and company/project value over time, discounted cash flow, payback period, etc. The typical steps involved in the financial model development process are outlined in the infographic below:

Financial Model Development Steps Infographic

Our financial models are built in Excel, making it easier to customize them to the evolving needs of your business. In addition, they allow extensive customizations to be made easily and rapidly, so that the same model can be used first in a deal context, and later in an operational or integration process, providing the foundation for your company’s decision making and finance functions.

Some examples illustrating common uses of financial models include:

  • M&A financial model to assist a manufacturing firm with pricing the purchase of a similar firm with $100M of assets
  • Financial/strategic planning model to assist an IT consulting firm with implementing a budget/variance process to assist with tripling revenues by 2020 and increase bank funding
  • Business plan and financial model for a distribution company with $5M of revenues, which was used to negotiate a line of credit with the bank

For more information about our business advisory or financial modeling services, we invite you to call or contact us.

Testimonial

“As a business owner, I’ve been fortunate to work with the Stern Cohen team. At a critical juncture, they provided the vital assistance my business needed and they continue to support the growth of my business today. I highly recommend their accounting and business advisory services.”

Shawn Stone,
President of IEC – International Electronic Components Inc.

IEC - International Electronic Components Inc.

Our Clients

Which one are you?

Business Owners

Corporations

High Net Worth Individuals

Professionals

Family-Owned Business

Not-for-Profits / Charities / Unions / Associations