The Cookshack, a fast-growing restaurant group specializing in hot chicken and comfort food, faced challenges maintaining financial accuracy and efficiency. After struggling with two previously outsourced accounting providers, Cookshack turned to Tablespoon for a solution that finally delivered results.
Challenges
Cookshack's growth brought complexity to its financial operations, requiring precise reporting, streamlined processes, and industry expertise. However, Cookshack's first two accounting firms failed to meet expectations.
Cookshack's Accounting Challenges:
- Outdated P&Ls: Cookshack was three to four months behind in financial reporting.
- Multi-Entity Consolidation Issues in Xero: Each restaurant needed to be its own entity, which led to consolidation issues and missing intercompany journal entries.
- AP Problems: Cookshack didn't have AP workflows and processes. It also needed help implementing MarginEdge.
- Tracking in POS: Cookshack needed to ensure the accuracy of its sales data from its POS and ME systems to the RMS.
Solution
Tablespoon stepped in with a comprehensive outsourced accounting solution grounded in deep restaurant expertise and powered by Sage Intacct, the leading cloud-based accounting software.
Tablespoon's team:
- Assessed the gaps left by previous providers and developed tailored accounting processes.
- Implemented Sage Intacct accounting software to provide real-time reporting and seamless integration with several systems in Cookshack's tech stack, including MarginEdge.
- Provided unmatched restaurant-specific expertise compared to other outsourced accounting firms Cookshack used before Tablespoon.
"The Tablespoon team demonstrated a strong willingness to learn and integrate with our other systems, including the MarginEdge back-office software. They showed flexibility and enthusiasm to become proficient with these tools, rather than simply adhering to their own processes."
Results
"Tablespoon effectively addressed our significant accounting issues, including being several periods behind on financial reporting. They were able to get the financials back on track promptly."
After partnering with Tablespoon, Cookshack saw immediate improvements:
- On-time, Accurate Financial Reporting: Monthly close processes were streamlined, and Cookshack gained visibility into profitability by location. From being three to four months behind, Cookshack closed the books within seven to ten days.
- Reporting for LLCs: Due to licensing, there is a separate LLC for Liquor, Beer, and wine sales. This LLC needed to be reported separately and combined with each restaurant entity. Tablespoon solved this issue for Cookshack, ensuring his reporting requirements adhered to the management agreements.
- Improved Financial Analysis: Sage Intacct, the accounting software used by Tablespoon, has improved reporting capabilities, allowing Cookshack to generate comprehensive board packages and custom reports easily. "I now have time to focus on higher-value analysis rather than just reviewing the financials."
- Confidence in Expertise: Tablespoon's team became a trusted partner and advisor, providing strategic advice tailored to the restaurant industry. "Tablespoon's team would provide preliminary reviews of the financials, highlighting areas that needed attention, which have saved time and helped catch potential issues early."
- Clear Communication: Tablespoon's team provided regular communication calls and email check-ins. "Early on in the onboarding process, we talked to Tablespoon several times a week. Now that we've gotten into a good groove, we talk weekly."
Conclusion
Tablespoon's combination of restaurant expertise, cutting-edge technology, and hands-on support provided Cookshack with the accounting solutions it needed to grow. With Tablespoon, it finally gained the clarity and control it had been searching for.
"After two failed attempts, we finally found the right accounting partner in Tablespoon. They understand the restaurant industry inside and out, and their technology and expertise have helped us and our board with the timely, accurate, and comprehensive reports they need to manage our business effectively. We only wish we had found them sooner!" – Controller, The Cookshack.