Case Study: Transforming a Creative & Tech Firm

Area	Outcome
Revenue	+21.2% growth
Cost of Goods Sold	Dropped from 45% to 19%
Operating Margin	Grew from 12% to 38%
Owner Compensation	+150% guaranteed salary; distributions up 250%
Bookkeeping Overhead	Reduced by 40%
Team	+50% headcount; lower stress, higher satisfaction

→ 01

The Situation

The founders of a creative services business had decent contracts and money in the bank — but no solid understanding of the financial picture of their business. They were hesitant to give employees raises. They knew their own salaries were below market. They had no accurate budget, and were making decisions based on gut feel and cash in the bank account.

The business had a strong reputation in tech-driven creative services and a loyal client base. But it was constrained by outdated systems, a 12% profit margin, and 60% of revenue tied to a single client. Financial data lacked clarity, and there was no clear path forward.

Kathleen Riessen partnered with the founders on a comprehensive transformation — streamlining operations, boosting profitability, and building the financial infrastructure the business needed to make confident decisions.

→ 02

The Financial Assessment

Kathleen reviewed the firm's financial infrastructure and identified the gap between what they had and what the business needed. Working alongside the existing accounting team — not replacing them — she examined reporting systems, cost structure, margin by service type, revenue concentration, and how financial information was (or was not) being used to make decisions.

What the assessment found was a business performing reasonably well on the surface, but with no clear view of why. Financial reports existed but were often delayed due to manual processes and didn't tell the owners anything useful. Decisions about hiring, compensation, and pricing were being made on instinct. The numbers couldn't tell them what their margin was.

The goal of the Financial Assessment isn't a report that gets filed and forgotten. It's a working view of the business the owners can actually use — built in the first 30 days.

What was delivered:

Live Dashboard

A single weekly view of the KPIs that matter — replacing fragmented, outdated reports.

Action Plan

A prioritized list of changes, sequenced by impact, with clear ownership and timelines.

Gap Analysis

A plain-language view of where the current financial infrastructure falls short and why.

Team Integration

Built alongside the existing accounting team — no replacement, no disruption.

→ 03

What Changed

With a clear picture of the business and a prioritized plan in place, the work shifted from diagnosis to action. The changes fell into three areas.

The Financial Foundation

The biggest immediate gap was that the owners had no reliable way to see how the business was performing. Reporting was manual, slow, and fragmented. The accounting infrastructure was rebuilt on a modern cloud platform, the chart of accounts was simplified, and bookkeeping overhead dropped by 40%. Within weeks, the owners had a single weekly dashboard showing margin by service, cash position, client revenue concentration, and key cost drivers.

Revenue and Client Health

Sixty percent of revenue from one client was both a financial risk and a ceiling on growth. The team was coached on how to expand existing relationships strategically.

→ The second-largest client tripled its budget within six months
→ The largest client was secured on a three-year renewal, restructured to include an upfront payment that stabilized cash flow

The business went from fragile concentration to a diversified, more predictable revenue base.

Profitability and Operations

The assessment revealed that not all of the firm's services were equally profitable — and that the business was undercharging for some of its highest-value work.

→ Resources were reallocated toward higher-margin offerings
→ The firm began billing for strategy and concepting, not just production
→ Operational systems were updated to match the firm's actual size and workflow
→ The team grew by 50%, with clearer roles and a functioning performance review process

Results

What changed in the first 12 months

+21.2%

Revenue growth

12% → 38%

Operating margin

45% → 19%

Cost of goods sold

+150%

Owner guaranteed compensation

+250%

Owner distributions

−40%

Bookkeeping overhead

→ Team headcount grew by 50% with improved morale and clearer roles
→ Second-largest client tripled its budget; largest client renewed for three years
→ Single weekly dashboard replaced 30+ fragmented reports

→ 04

Why It Worked

Owners who start with a clear financial picture make better decisions — on hiring, pricing, compensation, and growth. These results came from acting on a plan built from accurate numbers, not gut feel.

The owners in this case didn't have a dramatically different business after the assessment. They had the same business — but a new view from which to operate it. From there, the decisions on costs, clients, and compensation became straightforward.

Most agency owners are making consequential decisions without an accurate financial picture. The Financial Assessment is designed to change that in 30 days.

Why Founders Choose Canoan Strategy

Financial clarity you can actually use

Most agency owners make critical decisions without a reliable financial picture. Kathleen builds the systems and dashboards to change that, so you're working from real numbers instead of gut feel.

A partner who already knows your industry

Generic financial advisors don't understand how creative and tech firms work. Kathleen does — how revenue is recognized, how margins shift by service type, how to read project profitability. That means faster diagnosis and more relevant advice from day one.

Focus on outcomes, not just advice

We don't hand you a report and disappear. We roll up our sleeves and work with you to drive real changes in financial performance, team readiness, and margin — month after month.

The value compounds

The longer we work together, the more the financial infrastructure becomes a tool your team uses to make decisions — rather than something you have to interpret on your own. Clients in ongoing advisory consistently outperform those that go it alone.

Transforming a Creative & Tech Firm