Case Studies｜Financial Management
Case Study 1: Outsourcing of Accounting Function
Client:
A major European manufacturer and retailer of motor vehicles seeking to expand its business in Japan. The Company manufactures racing and leisure types of motor vehicles.
Objectives:
Outsource the firm's accounting function while the client retains all data at its offices. The client's longtime accountant had resigned, and the company was having trouble finding a suitable replacement.
Solution:
As the client's reporting was based on International Financial Reporting Standards (IFRS), Ascendant proposed putting one of its accountants, well versed in IFRS reporting, onsite for a fixed number of days at the end of each month to report on the company's finances to its European headquarters.
Results:
The proposed solution was very successful, and led to cost savings for the client as other administrative roles, the previous accountant had performed, were transferred to a junior staff member, while the Ascendant accountant focused on month-end closing and reporting.
Case Study 2: Providing a Fast Accounting Solution
Client:
A Tokyo-based export company specializing in the supply of used motor vehicles, commercial and pleasure fishing vessels and various types of equipment from Japan through online sales and other direct methods.
Objectives:
Reconcile the client's tax status, which had fallen into arrears. Briefly, the company had relied on a part-time accountant to prepare its financial statements and to file its quarterly consumption tax as well as its annual corporate tax returns. The accountant resigned suddenly and failed to hand over the documents in his possession. At the time Ascendant was approached, the client’s consumption tax returns were three quarters in arrears and the annual corporate tax return was also overdue.
Solution:
Ascendant dispatched an accountant who had the ability to compile the asset reports in a efficient manner.
Results:
Within three months, Ascendant was able to retrieve the backlog of consumption tax refunds for the company. We were also able to submit the overdue corporate tax return, enabling the company to retain its "blue tax return" filing status. The company now receives its quarterly refunds on time.
Case Study 3: Support for the Finance department
Client:
The Japanese subsidiary of one of the world's largest logistics companies
Objectives:
Establish a new, regionally based accounting system, prepare for an upcoming internal IT audit, and move to an IFRS system. The company had a poor data migration system that made balances difficult to reconcile. Several legacy systems also made controlling its financial data complicated. In addition to the internal IT audit, new external auditors were expected to examine the accounts of a recent acquisition.
Solution:
Ascendant dispatched a suitably qualified interim financial manager to help reconcile balances before, and after implementing, the new accounting system. Ascendant also provided guidance on preparation and presentation of the data to the external auditors. A team of consultants was engaged to draw up baseline reports on internal controls over month-end financial processes. Ascendant also provided advice on IFRS adoption and the disclosures and presentations required.
Results:
An ongoing IFM solution was implemented as the finance department expanded. The external audit went smoother than expected. Ascendant provided support during internal audits through baseline report observations and recommendations.
Case Study 4: Interim Financial Management (IFM) support in order to improve office administration efficiency
Client:
A leading global real estate investor
Objectives:
Manage the acquisition of seven buildings in the central Tokyo area and report on the progress of the investment to investors.
Solution:
An interim management arrangement that involved:
- Setting up the required investment vehicles
- Ensuring compliance with regulatory requirements
- Compiling managerial reports
- Interacting with property managers
- Dealing with banks on behalf of the investors
Results:
Ascendant carried out strategic and day-to-day management of all accounting and finance functions, eliminating the need to employ long-term personnel. The client received a flexible, cost-effective and scalable solution tailored to its managerial needs.
