The Challenge

Mise en Place Vins is a wine import and distribution company with operations across multiple locations. The business thrives on managing complex supply chains, serving diverse customer bases, and balancing the unique demands of both importing and distributing premium wines.

However, the company's rapid growth had outpaced its financial infrastructure. Multiple systems—each with different data structures and update cycles—created a fragmented view of the business. Financial reports took days to compile. Numbers didn't align between locations. And worst of all, leadership couldn't confidently answer basic questions: What's our true profitability? Where is cash actually flowing? Which business units are performing?

"The way we were understanding the financial situation was a mess," one team member explained. "We had data scattered everywhere, and every time we changed systems, we lost consistency. We couldn't trust the numbers we were looking at."

The core issue wasn't complexity—it was visibility. With three operating entities and an import operation, the company needed a unified financial view. Instead, they had spreadsheets pulling from different sources, manual reconciliations that took hours, and constant questions about whether the data was accurate. This wasn't just inefficient. It was a barrier to growth. Leadership couldn't make strategic decisions without reliable information. Teams couldn't align on priorities. And the company was vulnerable to cash-flow surprises.

The Solution

The team recognized that fixing this required more than a quick patch. They needed a comprehensive financial transformation. The approach had several key components.

First: Unified Data and Accrual Reporting

The company moved from a cash-only view to a dual reporting system that tracked both cash flow and accrual-based profitability. This meant consolidating data from multiple locations into a single, standardized format. They created clear line items for every cost category—from freight and storage to samples and customer bonuses—so nothing fell through the cracks.

"We realized we were looking at purchases instead of actual cost of goods sold," explained a finance team member. "Once we fixed that, our margins made sense. We could see where we were really making money and where we were losing it."

Second: Intercompany Settlement and Governance

With three locations and an import operation, money was constantly moving between entities. But those transfers weren't tracked consistently. The team implemented a structured process to settle intercompany loans and receivables, achieving zero balances between entities. They also created clear governance rules: who approves spending, how costs get allocated, and how data flows between teams.

"We went from confusion about who owed what to everyone knowing exactly where they stood," one stakeholder noted. "That clarity changed how we made decisions."

Third: Granular Cost Classification

The company separated marketing spend, customer bonuses, samples, and other discretionary costs into distinct line items. This wasn't just accounting—it was strategic. Now they could see exactly how much they were spending on customer relationships versus operations. They could forecast more accurately. And they could make trade-offs consciously.

Fourth: Real-Time Visibility

They built dashboards and reporting cadences that gave leadership a clear, current view of performance. Weekly reviews. Monthly close processes. Liquidity monitoring. The goal was simple: no surprises, and fast response to problems.

From the moment the team committed to this transformation, there was 100% buy-in from leadership. "We knew we couldn't grow without fixing this," one executive said. "It wasn't optional. It was essential."

The Transformation

The results came quickly and were measurable.

Margin Accuracy Improved Dramatically

When the company recalculated margins using actual cost of goods sold instead of total purchases, they discovered they'd been overstating profitability. For one location, the reported margin dropped from over 62,000 to just over 34,000. That was a shock—but it was also the truth. Now they could make decisions based on reality, not illusion.

Intercompany Balances Cleared

The team achieved zero intercompany debt across all entities. No outstanding loans between locations. No confusion about who owed what. This simplified cash management and reduced financial complexity significantly.

Cost Visibility Enabled Better Decisions

By segregating bonuses, samples, and marketing spend, the company could now see exactly where discretionary dollars were going. They identified specific cost categories—like customer freight, which represented nearly 8% of revenue—and could make informed decisions about pricing and allocation.

Cash Flow Became Predictable

With dual reporting (cash and accrual), leadership could now forecast liquidity with confidence. They understood the timing of cash inflows and outflows. They could plan for seasonal variations. And they could spot problems before they became crises.

"We went from reactive to proactive," a team member explained. "Now we know what's coming, and we can plan accordingly."

Governance Strengthened

Clear approval processes, segregated access to financial systems, and defined roles meant that financial controls were no longer dependent on one person. The team could scale without creating bottlenecks or risks.

In the months following implementation, the company moved from a state of financial uncertainty to one of clarity and control. Leadership could now answer the questions that matter: Where are we profitable? Where are we losing money? What do we need to do to grow sustainably?

The transformation wasn't just about better numbers. It was about building a foundation for growth. With reliable financial data and clear governance, the company could pursue expansion with confidence. They could negotiate with suppliers and customers from a position of strength. They could invest in the right initiatives and cut costs where it mattered.

"This changed how we operate," one executive reflected. "We're not just managing cash anymore. We're managing the business strategically. And that's made all the difference."

The journey continues. The company is now exploring further optimizations—from freight cost governance to capital structure adjustments to support import growth. But the foundation is solid. The data is trustworthy. And the team is aligned.

For a company in the wine business, where margins matter and relationships are everything, that clarity is invaluable. It's the difference between surviving and thriving.