Growth Markets
About Reznick Group Reznick Group is a top 20 national CPA firm providing accounting, tax and business advisory services to clients nationwide. The firm’s industry experience includes technology, life sciences, government contracting, entertainment, hospitality, manufacturing and distribution, banking and financial services, renewable energy and real estate.
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This publication contains only general information and is not intended by Reznick Group to be a rendering of accounting, business, financial, investment, legal, tax, or any other professional advice or services. This publication is not a substitute for any professional advice or services.
Reaching your goal. Achieving your vision.
For entrepreneurial companies, speed and clarity of action often spell the difference between success and failure. Reznick Group’s Growth Markets Practice provides accounting, tax and business advisory services to help growing companies move forward.
Growth Markets
Case Study: Growth Markets
Entrepreneurial companies need business advisors who
Client
can keep pace with them while helping them build a
A fast-growing software as a service (SaaS) company
foundation for future financial growth. Reznick Group’s Growth Markets Practice provides these companies
Situation
with accounting, tax and business advisory services
The company was approaching $1 million in annual
that draw upon the full resources of a Top 20 CPA
revenue and had obtained several marquee customers.
firm. The practice offers a deep understanding of key
The founders wanted to capitalize on this momentum
industries and the financial needs of growth-focused
and position the enterprise to raise the venture capital
businesses—from early-stage startups to venture and
required to further scale the business.
private equity-backed businesses to later-stage privately
Challenge
held and publicly traded companies.
The company’s finance and accounting practices needed a thorough assessment to ensure that they
The Right Financial Advice—At Every Stage of Growth
would successfully meet the expectations of potential
The Growth Markets Practice can serve as strategic
The Industry Experience You Need
Services
advisors to a company’s decision makers at each stage
The challenges and opportunities faced by high-growth
in a company’s life cycle.
Assurance and Accounting
companies vary greatly by industry. For this reason,
•
Financial statement audits and reviews
Early stage and startup: Companies planting their stake
Reznick Group’s Growth Markets Practice maintains
•
Examinations and agreed-upon procedures
in the ground need a reliable source of guidance on a
specific focus in a number of industries, Including:
•
Audit readiness and transaction
range of business-building issues. Our practice team helps early-stage company founders, CEOs and CFOs connect with local business leaders, work through key business issues, and resolve critical tax and finance matters. Expansion stage: Businesses achieving solid revenue traction or investor funding have a new set of require-
•
Technology and new media
•
Life sciences
•
Government contracting
•
Entertainment and hospitality
•
Manufacturing and distribution
support services •
Technical accounting support, including revenue recognition and complex equity structures
Tax Compliance and Consulting
investors. Reznick Group’s Growth Markets Practice identified several areas that required immediate attention, including the company’s revenue recognition policies, employee incentive agreements, internal resource constraints and complex issues within its capital structure. In addition, the company needed access and introductions to local technology business leaders and venture capitalists to obtain the needed funding. Reznick Group Solution Reznick Group worked with the company founders and
•
Preparation of income tax provisions
CFO, and provided detailed recommendations and insight
•
Tax compliance, planning and strategy
that brought the company’s finance and accounting
implementation
procedures in line with best practices. Reznick Group
ments which may necessitate financial audits, multistate tax compliance and reporting of results to investors and
•
State nexus studies
also leveraged its relationships within the technology
lenders. The Growth Markets Practice can draw upon the
•
Section 382 analysis
community to introduce the company to venture
full resources of Reznick Group—its valuation, state and local tax and other practice teams—for integrated support.
Business Advisory and Valuation
capitalists, bankers, membership organizations and CXOs at peer companies.
•
Due diligence services
Later stage: As the enterprise becomes fully established,
•
Contract compliance
Results
managing cash flow is critical. The company faces
•
Internal audit services, including compliance
By working with Reznick Group, the company increased
with Sarbanes-Oxley (SOX)
its appeal to potential investors by presenting clear
decisions on acquisitions, debt or equity financing, and a pending IPO may require a review of internal controls and processes. The Growth Markets Practice can leverage Reznick Group’s extensive experience working with large companies to help later stage companies follow investor relations communication best practices while laying the foundation for continued growth.
•
Stock and option valuation and purchase price allocation
Learn More: For more information on how you can benefit from our services, visit: www.reznickgroup.com/growthmarkets
and straightforward financial information, addressing resource needs and building a network of mentors, business partners and contacts that significantly strengthened its prospects of scaling and growing its business. The firm is currently meeting with several investors and evaluating term sheets.