Client: Divvy Parking
an Australian Parking Marketplace Start-up
The Client a B2C e-commerce business based in Sydney, had been profitable for the last five years, but failed to reach the owners goals around revenue, market share and profit. The owner didn’t have the time to think about strategy, the performance of employees or to explore market opportunities. He felt like he ” Was constantly fighting fires and working around the clock to keep his customers happy and his Employees motivated”. The owner was highly entrepreneurial but had no formal business education, so putting the structures in place to support the growth was challenging.
James was engaged as CFO two to three days a week. He worked onsite with the management team and board to formulate a long-term plan and strategy. The long term financial model was used to negotiate a valuation and investment deal with NRMA. James was part of the team that sold and negotiated the deal with the NRMA deal team (NRMA – finance & strategy team, CFO and CEO), the deal went through in October 2016, as reported in the Australian Financial Review.
Once the long-term plan and strategy was formulated, James lead a budgeting and planning project to align the longer-term direction into fiscal year targets across sales, marketing, product and development. These financial and operational metrics such as spend vs budget, cost per acquisition, new spaces / new buildings, revenue and users were reviewed monthly and discussed in management meetings and communicated to the board.
James managed the internal accounts team and drove process efficiencies and governance improvements within the organisation.
The investment deal went through allowing the company to scale their sales team and aggressively build out their software platform, to capitalise on their first mover advantage. The deal not only gave them the financial clout to invest in headcount, but increased their brands market credibility. The deal has created positive publicity and awareness, increasing the sales pipeline and future revenues.
The clear strategy and long term plan has focused the team. Metrics and targets are clear across the management team, allowing for focused discussions around performance and progress towards goals. The business is taking steps towards profitability and the businesses financial valuation continues to grow.
James has been a crucial part of the Divvy team. His commercial and strategic acumen is second to none. He was critical to getting the deal across the line and proved a skilled negotiator in high pressure meetings with c-suite executives. He has focused the team with clear, measurable targets and put the building blocks in place to execute on our ambitious goals.