The Challenge

A new wholesale distribution company approached HHL Group, Inc. The firm was growing rapidly, and the two partners in the firm were falling behind in their bookkeeping and accounting functions. They also felt that their existing accounting system was setup incorrectly because the inventory amounts on the balance sheet were significantly overstated during their last inventory count.

The Solution

HHL Group, Inc. conducted a review of the books and delivered a list of areas to be addressed. Of major concern was the fact that a bank reconciliation had never been completed since the company was founded. Upon completion of past reconciliations, HHL Group, Inc. discovered multiple errors with expense and liability classifications. We also reviewed the item listing within the current accounting system and determined that the revenue and expense accounts were setup incorrectly resulting in an inaccurate inventory value.

The Results

The partners now have complete faith in their financial statements, which they receive and review monthly. All bank, credit card and loan accounts are reconciled and adjusted to ensure the accuracy of the financial statements. HHL Group, Inc. also assisted the partners by working with them and their loan officer to obtain a commercial loan to further expand their operations.