Wholesale & Distribution
You buy before you sell and collect after you pay. Managing cash flow and margins across thousands of SKUs requires financial visibility most distributors don't have.
The Cash Flow Puzzle
Distribution businesses operate in a constant cash flow squeeze. You pay suppliers on their terms, hold inventory until it sells, then wait for customers to pay on your terms. A profitable month on paper can still leave you scrambling to cover payroll because the timing never lines up.
The financial picture gets complicated fast. You might have 2,000 SKUs across three warehouses, 50 suppliers with different payment terms, and 200 customers expecting net 30 or net 45. Without tight financial controls, profitable businesses still run out of cash.
Who This Covers
Who This Covers
Wholesalers, distributors, importers, supply chain businesses, and any company that buys product in bulk and sells to retailers or other businesses. From specialty food distributors to industrial parts suppliers across South Florida.
The Financial Complexity
The Financial Complexity
Inventory valuation and costing methods. Supplier terms and early payment discounts. Customer credit and collection timing. Freight costs that need allocation. Multi-state sales tax obligations. Rebates and volume incentives from suppliers that need proper accounting treatment.
Financial Oversight That Fits
Controller-level oversight for a distribution business means tracking what matters. Margin by product line, not just overall gross profit. Aging on both sides of the balance sheet so you know who owes you and who you owe. Inventory accuracy so your financial statements reflect reality.
We work with your internal team to ensure the books close cleanly each month. That means reconciled accounts, proper accruals for inventory in transit, and financial statements that give you a real picture of where the business stands.
Margin Visibility
Margin Visibility
You know the overall gross margin but can you identify which product categories are driving it and which are dragging it down? We structure your financials to show profitability by product line, customer segment, or whatever breakdown helps you make better decisions.
AR and AP Management
AR and AP Management
Aging reports on both receivables and payables tell you where cash is stuck. We review these monthly and flag customers sliding past terms or suppliers where early payment discounts are being missed. This visibility prevents cash crunches before they happen.
Where Things Go Wrong
Distribution companies often grow faster than their financial systems can handle. The inventory management software talks to QuickBooks but the data doesn’t match. Physical counts don’t reconcile to the books. Nobody can explain the discrepancy between the inventory value on the balance sheet and what’s actually sitting in the warehouse.
Margin erosion happens gradually. A customer negotiates better terms. Freight costs increase. A supplier raises prices but nobody updates the selling price. Each change is small but they compound. A year later, you’re working twice as hard on half the margin and wondering what happened.
Inventory Discrepancies
Inventory Discrepancies
Your warehouse says you have $800,000 in inventory. The balance sheet says $950,000. That gap represents either accounting errors, shrinkage, or obsolete product that should have been written down. Without monthly reconciliation, you’re making decisions on bad numbers.
Hidden Unprofitable Customers
Hidden Unprofitable Customers
Your biggest customer by volume might be your worst customer by profitability. They get the best pricing, take the longest to pay, and require the most support. Without customer-level margin analysis, you keep chasing volume that doesn’t contribute to the bottom line.
What Changes
Monthly financial statements become useful instead of a compliance exercise. You see which product lines to expand and which to phase out. You know which customers deserve better terms and which need to be repriced. Cash flow forecasting becomes possible because you have reliable data on collection patterns and payment cycles.
Growth decisions get easier. You can model what happens if you add a product line or expand into a new territory. Banking relationships improve because you can provide clean financials that lenders actually trust. The business stops running on instinct and starts running on numbers you can rely on.
Data-Driven Decisions
Data-Driven Decisions
Product line expansion based on actual margin performance. Customer pricing that reflects true cost to serve. Inventory levels set by turnover data instead of gut feel. You stop guessing and start knowing where the money goes.
Confidence in Your Numbers
Confidence in Your Numbers
Financial statements that match reality. Inventory that reconciles. AR aging that gets collected. When you sit down with your banker or consider an acquisition, you have numbers that hold up to scrutiny.
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Let's Talk About Your Business
Tell us about your business and your goals. We'll discuss how Jargo can support your financial operations and growth.