Auscool Services enlists Kennerlys to progress from managing the books to managing rapid growth and future planning
The company name is Auscool Services, yet the pace of growth has been red hot for this owner/operator business in Malaga, Western Australia.
Auscool Services provides refrigeration, air conditioning, electrical and building services in commercial and industrial markets across WA. Auscool’s range of services runs from the design level, through to supply, installation, service, maintenance and ongoing equipment monitoring.
The business was founded in 2007 by brothers, Adam and Grant Flanagan, who both have extensive electrical trade experience. Auscool soon built itself a reputation for providing high quality work from skilled and qualified tradesmen, backed with prompt and exceptional customer service.
Fast growth and new challenges
Auscool’s clientele list was rapidly expanding and included several large pubs, hotels and supermarkets. In just four years since its inception Auscool had gone from two founders to having 11 employees—while still seeking more staff—and proudly has Coles Supermarkets as its biggest client.
Such rapid growth came with some challenges for the Flanagan brothers. They wanted to add new clients in other market areas, while continuing to provide existing clients with the exceptional service they were known for. “The supermarkets were driving the company growth which was great,” said Adam Flanagan, owner and director. “However it was dragging our focus away from other parts of the business.”
Adam and Grant also required a clearer insight into what was happening within the business on a weekly and monthly basis. This way changes and improvements could be made quickly, or any potential problem areas could be addressed before they escalated.
“We were sort of dealing in the past with the business,” explained Adam. “We lodged our accounts at tax time, but that was too late to make any core changes to the business when we were already at the end of the financial year.”
Word-of-mouth leads to Enterprise Development Services
Auscool was using another firm for its bookkeeping and accounting requirements. However when Adam and Grant realised they needed transparency into the business and a strategic approach to growth, the brothers asked colleagues and clients for recommendations. Several people mentioned Kennerlys for accounting assistance and also for wider business services. The positive responses resulted in the directors meeting with Lejo Ouwendyk, Managing Partner with Kennerlys. Auscool soon signed up the Kennerlys team to take over its accounting and bookkeeping functions and also began implementing Kennerlys Enterprise Development Services.
Kennerlys developed a strategic business plan for Auscool, “ ... which among other things, gives us the ability to look at our figures for each month, check our budgets, and see how our projects are progressing,” explained Adam
The Kennerlys team also produce a comprehensive, 50-page, monthly report which provides the directors with information such as the company’s financial position at any given point, project updates, staffing and assets levels, cash flow and monthly comparisons. The directors meet each month with Lejo from Kennerlys and armed with the necessary information and the business advice from Lejo, the Flanagans can now plan on how to expand their business into other market areas in the short and longer term.
“It’s great when the boss of the firm meets with us for three hours each month to go over the report, discuss the highlights and any areas of concern, as well as providing advice and options on any adjustments to be made,” Adam said.
“Lejo has good ideas and we are already implementing some. He is professional and really understands our business. Kennerlys was already helping us on the tax side, and now we’ve hugely benefited already by having them help us in a broader and deeper business sense.”
There were some other surprising benefits that Adam and Grant derived after teaming up with Lejo and implementing the Enterprise Development Services. “One of the highlights of our work with Lejo is that he has also helped us develop our management and leadership skills and this benefits not only us, but the company, our clients and our employees.”
So while Auscool is not about to cool its growth, Adam explains that Kennerlys has enabled Grant and himself to better manage the business on its rapid forward trajectory. “We are still growing fast, but instead of chaotic growth, it’s controlled growth.”