The Challenge
Cerebelly, a five-year-old manufacturer, wholesaler, and internet retailer of organic baby food designed to support early brain development, had grown quickly under the leadership of CEO and CFO. Founded by a brain surgeon and mother of three, the company was positioned at the intersection of science and nutrition. But growth brought growing pains. Cerebelly was still using QuickBooks for accounting, a system that no longer met the demands of the growing company. Critical financial issues emerged: Unclear cost of goods made profitability difficult to assess. Accounts receivable was out of control, creating serious cash flow challenges. An upcoming quarterly compliance audit with their bank threatened to expose the lack of proper reporting. Leadership lacked confidence in the company’s 5-year financial projections, undermining readiness for the next capital raise.
The Solution
Chuck was brought in to stabilize and strengthen Cerebelly’s financial foundation:
- Implemented robust financial reporting systems beyond QuickBooks to match the complexity of their operations.
- Analyzed and clarified cost of goods sold to provide true visibility into margins and profitability.
- Designed cash flow management processes to bring accounts receivable under control.
- Created bank-compliant reporting for upcoming audits.
- Built a credible 5-year financial model, instilling investor confidence in the future growth story.
The Outcome
With Chuck’s financial expertise, Cerebelly was able to move from reactive to proactive financial management. The company not only satisfied its compliance requirements but also gained the clarity and confidence needed to raise its next round of growth capital.
