Case Studies

Multiple locations in one Company

Bluebrook Pty Ltd trading as
Red Mo Barber Shack, Colourado, ME2 ME2

A chain of hair dressing salons required EBS’s services in bookkeeping to improve their current systems. All nine stores are under the same ABN and they have twelve different bank accounts. This chain has achieved great success in buying salons building them up and then selling them.

Problem

• All the salons’ income and expenses were mixed together and staff would work across different salons
• Expenses were paid from multiple bank accounts for single and multiple stores
• This made it impossible to properly audit or show profit and loss statements for each shop separately
• As a result, selling shops separately became expensive due to high accounting bills

Solution

EBS was able to create profit and loss statement for each shop thereby giving the company the ability to present accurate figures for each shop. To solve this problem:

• EBS used their extensive knowledge of job coding and reporting
• Job codes were created for each shop
• Job codes were allocated to each transaction (income and expenses)
• Job codes were allocated to employee wages and split between shops
• Job Profit and Loss Statements were then produced in order to sell shops separately

Bluebrook was able to sell four shops separately and are currently in the process of selling three more. They have also purchased five additional shops in the interim. The buying, improving then selling is now the main core of their business, giving them higher returns.