Cerini & Associates at Work...

Cerini & Associates at Work...
A small home health services client of ours was looking for ways to expand its business and enter new markets. At the same time, a well-known network of retirement communities was in the process of seeking a new management company to oversee the operations of the communities. The client had never before served in such a capacity.

We helped the client to assess the ability of management to handle such a vast undertaking, eventually concluding that it was a business opportunity that could not be overlooked. We assisted in the incorporation and setting the corporate structure for the new management company; the initial application with the NYS Department of Health; and in negotiating with the owner of the communities to reach mutually-agreeable terms for the management agreement.

Once the management contract was awarded to our client, we performed in-depth systems analyses to determine the proper accounting systems and internal controls that needed to be established prior to the transfer of management companies. To ensure continuity of competent staff, we interviewed and assessed all accounting personnel to determine which employees should be retained, and in what capacity.

Since the successful transition of management companies, we have been instrumental in structuring and developing monthly reporting packages provided to the communities. owner and management. We have also served as a key cog in training the accounting staff on the general ledger application currently in use, and in setting appropriate accounting policies.

We took this client from running a 2,000 square-foot home health site to the manager of a $10 million business in less than a year. What can we do for you?

Cerini & Associates at Work...
During the course of our initial audit of a nonprofit organization we were reviewing their contracts to obtain a better understanding of their operations. The contract was a negotiated fee-for-service contract with a governmental agency. This was a significant contract that our client had. Fees derived from this contract were commingled with other program fees in the organization's general ledger.

We performed tests and procedures to determine the level of revenue our client derived from the governmental agency and determined that our client has accurately recorded the contract revenue. We, however, were not satisfied from a business perspective. In performing our tests, we determined that our client expended a significant level of effort and costs in providing services under the contract.

We determined that our client was being reimbursed for only 20%, or so, of the actual costs incurred. Our client has now opened lines of communication with the funder to discuss enhanced funding for the services provided. The governmental agency is willing to discuss contract negotiations.

Cerini & Associates at Work...
A company with approximately $6 million in annual revenue couldn't understand why it was historically losing money. The corporate accountant was compliance driven, not offering significant levels of proactive advice. The owner liked what we said about being proactive in our approach to working with clients, but was skeptical due to his past experience with accountants.

We reviewed his operations, performed trend analysis and benchmarking to understand his financial situation, and spoke to some of his staff regarding job responsibilities and functionality. The result, we were able to show him how he could more efficiently run his business, better utilize his staff, better manage his resources, and more effectively capture all billable transactions.

Within a year his gross profit margin was up approximately 22% and more importantly, the company was profitable.

Cerini & Associates at Work...
A physician practice retained us to provide accounting services. From past experience, they expected historical reporting and tax compliance to satisfy bank and regulatory reporting requirements. While providing these services, we also assisted them in revamping their billing system, enhancing their monthly reporting package, establishing cost-cutting measures and implementing cost accounting systems to better understand their ineffective profit centers. With our help, management was able to incorporate our suggestions and insight into their operations. As a result, their net income increased by over six-figures in just over a year.

Cerini & Associates at Work...
A private school was in bad shape. It was utilizing its future tuition revenue to pay-off past expenditures. While the school had staff in place, they weren't effectively managing the school operations. As a result the school's financial records were in disarray, it's receivables were climbing, and its cash flow was not sufficient to meet operating needs. There was a question whether payroll could be met. In walked Eliatt Di Lieto, Partner of Small Business Services at Cerini & Associates, LLP.

Eliatt and his staff tightened accounting systems and controls; helped to develop proactive budgets and cash flow forecasts; enhanced financial reporting; analyzed operations and developed realistic plans for cutting costs, increasing cash flows, and creating new revenue streams; interfaced with the school's legal counsel to rearrange the corporate structure to maximize tax benefits; renegotiate the school's lease; and worked closely with the school's President to help him better understand his operations.

The result, a little more than a year later, the school is very profitable, the owner is looking into areas of expansion and growth, cash flow is the best it's ever been, and the future looks very bright.

Cerini & Associates at Work...
A client was looking for new ways to expand his business. New business wasn't coming in fast enough and he didn't have sufficient leads in the pipeline to drive future sales. We reviewed his marketing materials, discussed the services he provides, and really dug deep into his operations.

As a result, we were able to work with our client to develop strategies, and new services he could offer. We even helped him to recognize and establish potential partnering arrangements.

Letters From Our Clients

Cerini and Associates is a superb accounting firm. Our practice receives financial revenues from a number of sources, but has several offices with centralized billing. Monitoring of these activities is quite complex. Although we monitored our billing and collection services, when we retained Cerini and Associates as our accounting and financial planning firm, we realized that the practice was not as healthy as it could have been.

Over the first six months, the team from Cerini and Associates worked diligently to organize our reporting and financial infrastructure. As a result of their efforts, we could monitor the health of our corporation in an ongoing fashion to help change the culture of our practice management, more critically evaluate the trends in earnings and expenditures, and behave in a more fiscally responsible fashion. We could now rely on the data to help us negotiate partnership agreements, and determine feasibility of ventures aimed at promoting growth of the practice. In short, we could stop guessing what our strategic plan should be. We are very satisfied with our selection of Cerini and Associates as our accounting firm. They have offered us are very reliable, expert guidance, which has become an invaluable service to our Corporation. As the Managing Partner of our corporation, I strongly encourage all individuals involved in management, to retain their services.

Sincerely,
Dr. Eva Chalas, MD, FACOG, FACS
Long Island Gynecologic Oncologists