Precision Metal Products
The Challenge
Precision Metal Products, a mid-sized metal fabrication company with 85 employees, was experiencing rapid growth but facing cash flow challenges. Their previous accounting firm lacked manufacturing industry expertise, resulting in missed tax opportunities and inefficient financial processes.
The company needed to reduce tax burden, improve cash flow, and develop a financial strategy to support their expansion plans while maintaining operational efficiency.
Our Solution
We implemented a comprehensive financial strategy that included:
- Detailed R&D tax credit analysis for their process improvement initiatives
- Cost segregation study for their recently purchased manufacturing facility
- Implementation of a job costing system to identify profitability by product line
- Working capital optimization strategy to improve cash flow
- Equipment financing structure that preserved capital for operations
The Results
Within the first year of working with Schapira CPA, Precision Metal Products achieved:
- $175,000 in tax savings through R&D credits and accelerated depreciation
- 22% reduction in working capital requirements through improved inventory management
- 15% increase in profit margins by identifying and addressing unprofitable product lines
- Secured $2.3M in equipment financing with favorable terms
- Implemented financial dashboards that provided real-time visibility into key metrics
Client Testimonial
"The team at Schapira CPA transformed our financial operations. Their manufacturing expertise made all the difference - they understood our processes and recognized opportunities our previous accountants had missed. The tax savings alone paid for their services many times over."
