How Mayday Transformed Intercompany Management at The CAPS Clinic

Mark Murray, CFO at The CAPS Clinic told us, “I'd see something like Mayday as being a critical enabler of being able to run a complex business whilst sticking with a tool that's as cheap and easy to use as Xero”.

About The CAPS Clinic

The CAPS Clinic is a leading cosmetic and plastic surgery clinic located in Canberra, Australia, specialising in a wide range of surgical and non-surgical procedures, providing tailored treatment plans and compassionate care. 

Managing 8 entities in the group comes with a significant volume of intercompany work, limiting the finance team’s capacity to carry out intercompany processes as regularly as desired.

Quarterly Recharges and Reconciliations Pre-Mayday

Mark, Chief Financial Officer at the CAPS Clinic, was stuck in a painful cycle of reconciling, recharging and managing intercompany loans across eight separate Xero orgs, one for each entity in the group. He found himself spending days every quarter manually sorting through intercompanies to provide accurate data for consolidated reporting. 

He sought a solution to ramp up the regularity of intercompany processes, transforming their reporting cycle from quarterly to monthly. 

The Turning Point 

Mark was no novice when it came to navigating the Xero ecosystem. Calxa has been a ‘go to tool’ for Mark for the last 13 years. After coming across Mayday through Calxa's blog, he identified a solution to finally supercharging monthly closes. 

“I saw a post on one of their blogs, where they were talking about Mayday, and it immediately struck me as something that I needed”.

As a dual-addition to Calxa’s consolidated reporting software, Mark decided to try out Mayday. In December he signed up for a full plan with our three products: Recharger, Balancer and BRAG, and since Mark expressed he’s “been into it with a vengeance this quarter”.

Transforming Month-End

Mayday has transformed Mark’s operational capacity to restructure their intercompany management. 

Recharger has significantly helped with the volume of reallocations that need to be made. “Previously I did not have the time to carry out recharges monthly, but that time is now being created.”

“The reconciliation feature is really, really helpful. I could spend half a day, or a day even, just finding a single transaction. And that's gone, A: because the tool is good, and B: because we're using the BRAG feature, we don't get the mismatches in the first place”.

Since Mayday, Mark has greater access to timely information about the business as a whole:

“I can look at each business that we've got on its own two feet once a month rather than once a quarter”.

The Power of Integrating with other Xero Apps

Mark emphasises the value of harnessing multiple tools on Xero: “It fills a gap in the suite of tools that we have, in being able to essentially allow those standalone files in Xero to work together and deliver value”.

“So between Mayday and consolidated reporting with Calxa, it really allows us to function as a single business rather than just eight separate ones. Mayday is a really significant enabler for us to be able to do our consolidated reporting”

Is an ERP worth it? 

Mark recommends using Mayday “if you’re managing a multi-site business, and are intending to stick with a tool like Xero, rather than an ERP”.

“My experience with the ERPs is they don't generally always deliver the value that you expect them to”.

“I'd see something like Mayday as being a critical enabler of being able to run a complex business whilst sticking with a tool that's as cheap and easy to use as Xero”.

If you’re a multi-entity business using Xero, and resonate with Mark’s experience dealing with the pain of intercompanies, see for yourself how Mayday can help by signing up to our 30 day free trial today!