Staying on Top of Finances and Cash Flow, with Finaloop’s Lioran Pinchevski

In Ecommerce, we all need much more than a bookkeeper to make sound financial decisions. We need instant information on cash flow, inventory, projections, and other KPIs. It’s not easy, but Lio Pinchevski, CEO of Finaloop, has a solution.

This episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.

Transcript

Lio Pinchevski – 00:00:05:

 

When you have the data in real time and it’s not just a rough idea of what I’m spending, all of a sudden you see a lot of opportunities. Finaloop is responsible for getting the info and then giving you reconciled books. So we are responsible both for the process and for the result.

 

Izach Porter – 00:00:40:

 

You’re listening to The Deal Closers Podcast brought to you by WebsiteClosers.com, a show about how to grow your ecommerce business to be profitable, scalable, and one day even sellable. I’m Izach Porter, and on the show today, we’re talking about accounting and how most of us in ecommerce need much more than just bookkeeping to make real financial decisions. And joining us today is Lio Pinchevski, CEO of Finaloop, which provides hands off, real time accounting tailored for ecommerce. Hey, Lio, how are you doing? Great to see you again, man.

 

Lio – 00:01:17:

 

I’m doing great. Thank you. Thank you for having me. Really appreciate that.

 

Izach – 00:01:22:

 

Yeah, I’m excited to talk with you. You and I met a couple of months ago through a referral from a mutual friend, and I’ve gotten to know your product and really see the output that Finaloop is helping your clients to achieve. I want to talk about that, and I want to talk about why I’m excited about it relative to ecommerce sellers who want to sell their business and make it easy for a buyer to acquire their business. But I also wanted to just talk with you a little bit more about your background and some of those aspects. So your bio on Finaloop’s website says as a direct to consumer brand founder, you learned that you needed more than just bookkeeping to manage your business, make decisions, get funding, optimize tax deductions, and beat the competition. Can you just tell us about Finaloop and what that journey has been like for you coming up with the idea and what problems you’re kind of solving for your clients at this point?

 

Lio – 00:02:24:

 

Yeah, for sure. The idea behind Finaloop came after I had my own experience as an ecommerce seller. I had a DTC. I still have a DTC brand that is basically selling online with a back end service. So it’s a sperm crowd preservation company. So it allows people to send sample through an overnight mailing service with the sample in chain of custody so people can get tested and store the sample for the long round. So it’s kind of a front end of a DTC store with a back end of a service. And the model is a bit unique, but not crazily unique. So I would expect that finance would be pretty much streamlined, that I’ll find the right providers to help me understand the finances of my business, to find the right providers that would help me file the tax returns to be compliant and basically to just take it off my plate. I discovered that not only the bread and butter are not easy to get meaning just the bookkeeping. Just being able to have reconciled accurate books that I can use for decision making even on the traditional front like having the books every few months, being able to review them and rely on the information that is in there and then comply. Meaning file whatever I need to file with the IRS and then make simple decisions. Not super complex, not deep analysis, not even preparing for a sale with all the KPIs and the breakdowns that you typically need. And I just couldn’t find one. I moved from one bookkeeper to another bookkeeper to another bookkeeper and I just realized that most of the bookkeepers just don’t get ecommerce because it’s a very specialized space. I’d say they didn’t get my business model, which again is unique, but not exceptionally unique. I started to look around and speak with other sellers and brand owners and I found out that it’s kind of a common problem. So it’s a pen that everybody has, which is managing bookkeeping and accounting in a way that actually keeps up with the pace of an ecommerce business. And then when I tried to analyze the problem, I understood that the approach traditionally was to take generic software that is not necessarily meant to cover ecommerce because it also covers hospitals and dental offices and nonprofits and many, many different business verticals. And then on top of the generic software, the generic accounting software, you then add patches. You’re going to add the bridge that brings stuff from Amazon, you’re going to add the bridge that brings stuff from shopify. And then the last piece would be just a bookkeeper that needs to make an order out of all of this. I realized that these different patches won’t work. And you need a more holistic solution. You need the more holistic solution just to do the bookkeeping, like just to have books that you can trust and actual books that you can use when you get loans, when you want to sell the business, when you want to get an investment. And also books that can be actually used to make business decisions to save money, to understand your net revenue, to understand your profits. So you don’t have the bread and butter, let alone you don’t have a way to really understand your business and understand what the business does and understand the cash flow. And just at that point I said there’s this huge opportunity in a market that is likely ready for it because most of the ecommerce sellers are tech savvy, they’re young, they’re open to adopt new technologies. And then in ecommerce, it’s probably the only place that even today the information is available to access in secure ways. So then we created Finaloop, and what basically Finaloop does is creating the perfect books, meaning books and accounting that is always correct and then available in real time. So I would say this would be my dream as a seller to just have the information to just not have to worry about anything bookkeeping or compliance. And then an extra dream would be to have this information in real time so I can really understand my business and not just high level understand it or understand the direction of it or pretty much understand, but really understand it and really be able to understand my cash flow today and yesterday and in the past 30 seconds. So this would be the high level idea behind Finaloop.

 

Izach – 00:08:02:

 

Yeah. That’s awesome. All right, I want to unpack a couple of those ideas there. So you had a brand, you recognized that you couldn’t get good quality accounting services in an easy, automated way, for sure. And you came up with this idea to solve that problem through some software. But before you started your DTC brand, you were an accountant, if I remember correctly. Right. So you have an accounting background yourself. Is that right? And kind of what was kind of the early part of your career?

 

Lio – 00:08:31:

 

So before Final Loop, and mostly before starting the DTC brand, I practiced accounting and specifically international tax for many years. In my last role, I was a partner with PWC, and I was focusing mainly on, I’d say, the more complex stuff, very complex MNA deals, international tax, aspects of combination transactions. So my clients were very large enterprises, specifically on the tech and pharmaceutical industries. So I had the accounting background. In general, I understood accounting very well. I didn’t quite understand accounting for small businesses other than the experience with my business. But then combining my accounting knowledge, my expertise in US Tax compliance, and then my experience as a brand owner, I think all the pieces come together totally, and it was the perfect storm.

 

Izach – 00:09:57:

 

That’s why I thought that experience was so cool, because you can kind of see, when we first talked, I could see how you took all your career experiences and put them together into this new business, which really does solve a lot of problems. So I’m not afraid to say publicly that we have referred a number of our clients over to Finaloop, because one of the things that your software does, in my opinion, better than any other product out there that we’ve seen. I’ll give you an example. So we’ll talk to a new seller, and they don’t have a bookkeeper, right? Maybe they’ve got QuickBooks. Maybe they’re not using any accounting software. One of the first things that we need in order to work on valuation, listing, price recommendation, and in particular to take a company to market is we need a good quality profit and loss statement and often a balance sheet. And so what we were seeing is that it was taking our clients maybe one to three months to get to get someone to put together a PNL on the balance sheet if they hadn’t already had that person engaged in doing it on a regular basis. If they didn’t have a bookkeeper, who was doing on a regular basis, and often if they weren’t working with a CPA or someone who had specific experience in ecommerce, then the receivables were kind of not understood well. The tax for different states wasn’t kind of reflected correctly. So there was varying degrees of quality in the statements as well. With what we’ve seen with Finaloop is that we’ve referred some clients over to just check it out. And I know you guys do like a two week free trial and within a day they’ve got at least a year to date. PNL. That’s real time and exactly reconciles to all the source data, which is usually Amazon, Shopify their bank accounts, credit cards, things like that. It’s decreased the amount of time it takes for people to get this information prepared and it’s really good quality. And then as we’ve been kind of going through some transactions with our clients who are using Finaloop, it’s really nice for a buyer that they already have this software in place that the buyer can just continue to use. They don’t necessarily have to find the bookkeeper and it’s much more cost effective, I think. So, pretty good plug for Finaloop, but I think we’ve been really enjoying using it and I wanted to dig in a little bit more with you today on kind of how it works. So I mentioned some of those integrations like you do integrate with Amazon and Shopify, but what are the other type of data that Finaloop is pulling in to incorporate into financial statements and then how does the software know where to place that stuff?

 

Lio – 00:12:53:

 

Thank you so much for the compliments. I appreciate that. What we are really good at, is reconciling in real time a lot of data sources. So if I try to pinpoint what’s special about Finaloop is just the ability to access a lot of data and find the links in real time. So if you think about what a bookkeeper would do, right, they’re going to somehow plug in all the data sources, they would put it on a ledger and then they’re going to start match, transfer, reconcile the information. What we basically do, we both make sure we get the information in and then when we get the information in, we reconcile it before it gets to the ledger. So if you think about how a traditional software would work, right, a traditional software would have integrations, all the data would come to the accounting software and then a person would reconcile the data, right? Since we are a vertical product and we work only with ecommerce, we don’t work with any business outside of the ecommerce space, we are able to create a proactive ledger, which means that we send our hands and get the information, the exact information from the different sources. And then before it hits the ledger, our ledger, it gets reconciled. So whenever it gets to the ledger, all the links are already made between the order and the payment gateway and the payout in the bank transaction and then everything is done real time. So in terms of the sources, we need to connect to all the sources that contain financial information in the lifecycle of an Ecommerce brand, which would be the different stores, whether it’s a branded store or a marketplace, it would be the payment processors, it would be the bank and credit cards, it would be the loan providers. Whether it would be a traditional loan taking from a bank or the more I would say ecommerce loans from the different startups that offer lending, then it would be the payroll system. Whether you have the option of issuing bills and invoices within Finaloop. But we also integrate with Stripe and Bill.com and PayPal if you use them for invoicing and billing. So our job is to make sure that if you get in our door, we’re going to cover all the different sources that you have for financial information and you get perfect set of books. So it’s not that you dump everything in and then you are responsible or somebody on your behalf is responsible for reconciling the information. Finaloop is responsible for getting the info and then giving you reconciled books. So we are responsible both for the process and for the result.

 

Izach – 00:16:18:

 

Yeah, that’s pretty cool. Practical Question so somebody signs up for your service today. Is there historical information that’s available from these source systems? Like if I signed a brand up today, can I get a PNL going back to January 1st or how far back can it go or do I have to start today and then just go forward?

 

Lio – 00:16:40:

 

I would split it into two. If you use Amazon, we are limited to two years back. So we can go back two years, but we do have a service that would add another year, especially for brands that are preparing for a sale. Typically the buyer would want three reconciled years of financial information. So we do have a process that would support the extra year, but it would be more of a service than a real ability to do it within 24 hours. But if you look on what we can provide within 24 hours, we can provide for Amazon sellers or people who use Amazon alongside Shopify WooCommerce, for example, we can provide two full years of reconciled information and then if you don’t use Amazon, we can go back three or four years depending on some other apps.

 

Izach – 00:17:38:

 

So, full disclosure, I knew the answer to that question. But what I think is so amazing is that we’ve waited six months many, many times to get, to get two years of historical financial statements prepared when, when a seller didn’t have their bookkeeping well-organized previously. Right? And so with this product you can, you can sign up and get two years of financial statements reconciled to the source in a day.

 

Lio – 00:18:09:

 

Yes.

 

Izach – 00:18:10:

 

That’s incredible. That’s incredible. And I have looked at the output and I want to talk a little bit more about this with you. And the statements are really good quality, super easy to read, formatting is great. The breakdowns of the details is very meaningful for ecommerce sellers specifically, we can break out the stuff we need to see what are the other outputs, like somebody who’s using your software. I mentioned profit loss statement, but what else is Finaloop producing?

 

Lio – 00:18:44:

 

I think the last time we touched base, we had the PNL broken down to 600 different accounts, fully tailored to ecommerce, reconciled to the penny. Then we had the balance sheet for which we import the opening balances and then build the balance sheet. And once we build it, it becomes real time as well. About three weeks ago we added also cash flow statement which 

 

Izach – 00:19:16:

 

Wow, that’s great. 

 

Lio – 00:1919:

 

Yeah, so we added the cash flow statement with all the reconciliation. So you see the different streams, but you also see the reconciliation against the banks and the credit cards and the balances that you have in the apps. Everything in real time. You see nice graphs of the development of the cash flow in the past year, past two years. You can see it on a weekly basis. The great thing here is that you actually can monitor your cash flow in real time, which means 30 seconds, seconds ago, a day, a week, a month, what have you. I’ve never seen anywhere an ability to track cash flow every second for the business. I think this year is extremely important in terms of understanding your cash flow, understanding what’s the difference between cash flow and profit loss. That could be different. You can be profitable on a PNL basis, but you can be cash flow negative and vice versa. So this is another important aspect that we introduced.

 

Izach – 00:20:40:

 

Yeah, that’s so critically important. Ecommerce businesses are inherently cash flow businesses and as they scale, one thing I see quite a bit are businesses that are growing quickly are cash flow negative because they’re buying inventory to support the growth and they’ve got to cover that front cost of the inventory. Anybody who’s got a D2C brand and tried to scale it has felt that pain and there is debt out there. But part of understanding how much financing you need is really to understand what your cash flow situation is going to be and to be able to use that information to then plan for your inventory purchases usually. So that’s a great add on.

 

Lio – 00:21:20:

 

Yeah, and then you can monitor the cycles. Right. Because whenever you have a big inventory purchase, you would see a big drop in the cash flow and then you can see the cycles in which you have the significant negative cash flow and both monitor it retrospectively, but also plan for the future. Better financing with an ability to see the results and the cash conversion cycle and better prepare for the next time. So this would be another report and then another feature that we introduced and we hope to deepen in the next few months, is the inventory piece. So, so far, the main barrier for us in reconciling books very fast and go back and deliver everything very quickly was the inventory. Because traditionally in Finaloop, you would need to input the cogs as a single number. We got a lot of feedback from our brands that this is something, this is a big and significant pain. So gradually we add more and more inventory pieces to ensure that the cogs part of the business and the contribution margin calculation are done in real time as well as not as an input. At the beginning, we had this notion that people would either have their spreadsheets or processes or even like a well-maintained IMS system that we can plug in and get the cogs in real time. But we saw that many brands are struggling with that. So about a week ago, we introduced Real Time COGS for Shopify. I hope that in the next week and a half, we’re going to add Amazon as well, and then we’re going to try to go full circle from purchases into the sales cycle per SKU. So brands would have a very simple way or simplified way to track inventory full cycle and then also understand the profit and loss per SKU and not just the profit and loss in general for the business or per line of business or per channel, but really to the SKU. I think this would be a game changer.

 

Izach – 00:23:51:

 

I think so too. Yeah, because it’s really hard for when we look at businesses that have sometimes hero products, it’s really hard to understand the profitability of kind of the top selling products versus maybe some of the lesser selling products at the ASIN or SKU level because that data doesn’t get tracked or broken out on. You know, if you’re using kind of QuickBooks data or anything like that, you’re not you’re not going to have that level of detail.

 

Lio – 00:24:24:

 

Yeah. So you’re going to have the level of detail for what you put in, right?

 

Izach – 00:24:30:

 

Yeah.

 

Lio – 00:24:31:

 

Since it’s not realistic to track the inventory every little second, it’s usually not maintained. And when it’s not maintained, you usually don’t understand your profitability per SKU. Not at the bottom line, but also not on the gross level or the contribution margin level, which makes it really hard to spot on cross financing between profit making SKUs and loss making SKUs. Yeah, you can run your business for a year with having SKUs. That just loss making. You didn’t know that they’re loss making. You thought that you are either breaking even or making a small profit and then at some point you just discover that it doesn’t work. And then we saw people that improve results just by carving out some skills that were never profitable and they just learned about that a few years in, which is very surprising.

 

Izach – 00:25:43:

 

Yeah, that’s interesting. That kind of data can be so important for making decisions about how to grow your business and having it at your fingertips and then being able to rely on it is critically important. So, speaking about the data, when you log into Finaloop, there’s a dashboard, what are kind of the key performance indicators that Finaloop thinks are important for ecommerce brand owners? What can I see on that dashboard?

 

Lio – 00:26:08:

 

So there are a few things, I think first of all, the base of the base would be just to understand whether you are profitable or not, which you would be surprised or very surprised that a lot of brands just don’t have this data. So I wouldn’t get fancy. Just focus on the bread and butter, right? Are you profitable? Are you profitable? Not in general, not in notion, not in dreams like in reality. And in the last month, whether you are profitable, then what’s your burn rate? Are you going to die this year or you’re doing well? So really understand how your cash flow looks like. So, cash flow, profit and loss as general concepts and then the breakdowns of the profit and loss and the cash flow, right? So in the profit and loss you’d have the net profit. But what would mostly drive the profit in an ecommerce brand would be the contribution margin, which is how much money you make on a SKU, right? So it would include all the variable costs that require to sell a SKU, whether it’s the cost of the product, the shipping in, the shipping out. Some brands also include the marketing budget within the contribution margin. So this would be a very important figure and there are multiple ways to measure it depending how granular you want to get. So this would be another factor, important factor that we are tracking then in terms of the cash flow, I think one of the most important things is to bifurcate one time cash flow events. For example, buying an inventory or getting a loan, right? Getting a loan would have positive cash flow effect because money is getting in inventory would have negative impact. In perfect word, you want to be able to segregate one time events from the operating cash flow. So operating cash flow is another thing that we are tracking versus one time events. And then we have many different other breakdowns like net revenue, which in terms of the revenue, this is what potential sellers, investors, lenders would look at and not the gross sales, right? So if you have very high gross sales but then you have very high discounts, the net revenue would reflect the difference and might not be as high as the gross sales. So net revenue, it’s a metric that every lender, investor, potential buyer would look at and not the gross sales. So this is another thing that we are tracking. So we basically bring in all the different sales pieces that you have and we track the net revenues in real time. We would also track the more traditional stuff like AOV and LTV and stuff like that. This would not be unique to Finaloop because you can find it in many other apps. But this would be, I’d say, a side benefit of using us. The main KPIs would be on the financial side.

 

Izach – 00:29:59:

 

Okay, that’s great. Those are all, I think, really important. I think one of the most interesting things to me there is kind of the marketing adjusted contribution margin because that marketing expense is highly variable across these different brands. I see brands that have 4% of sales being spent on marketing where they’ve got predominantly all organic traffic that’s driving them and things like that. And then we’ve got brands that are spending 40% on 40% of sales on paid traffic and marketing. So I think thinking about that contribution margin net of the marketing expense probably makes a lot of sense from my perspective. Okay, so one of the questions I’ve gotten as I’ve introduced a few of my clients to Finaloop is do I still need QuickBooks, do I still need my CPA? Can I get rid of Zero? Things like that. So can you just kind of explain that part of the process?

 

Lio – 00:31:04:

 

So let’s just break down, I would say the accounting process, right? And who is playing a role in the accounting process in general? You would have the accounting software, which is your ledger. So this would be QuickBooks or Zero or NetSuite for the larger brands. Then you have the different integrations, right? This would be the bridges, I call them the bridges that would bring information from your store, from your payroll, from payroll system, from different places into the accounting system. Then you have the Bookkeeper. The Bookkeeper would be the human being that would arrange, match, reconcile the information within the accounting system, which I call the ledger. On top of that, you have two other players. You’re going to have the Tax Accountant, which would be all the Tax Preparer, which would be the person that would help you with the compliance. And you’d have the CFO or the fractional CFO, who is the person that would use the information in the books in order to help you be better in what you do better financially. So within this cycle, Finaloop would replace the most tedious repeatable work of managing the books and hive up all the financial data that the other stakeholders holders need. Namely we would offer a ledger, we would offer the different integrations and we’re going to replace all the reconciliation process that the Bookkeeper would do. Some of the brands would still use a bookkeeper just to issue bills and issue invoices and help them with certain tasks. But I would say if you think about the work of a Bookkeeper. We’re going to offload probably 95% of the work of the Bookkeeper. Everything that is not, I would say, a business process like issuing invoices. Then in terms of the software, you have two options. You can use us as a ledger, as the only ledger, or you can sync the information you can use us and sync the information into QuickBooks. For example, some people prefer to sync the information into QuickBooks because it works well with the tax filing software, and some of the professionals in the market would be used to work with QuickBooks. So we offer that as well, but it’s not a must.

 

Izach – 00:33:54:

 

Okay, but you have an integration with QuickBooks?

 

Lio – 00:33:56:

 

Yes, we do.

 

Izach – 00:33:57:

 

Yeah. Very cool. So what about for taxes? As we talked about tax prep., you still need your tax accountant to prepare tax returns? Or can Finaloop kind of help with that process, too?

 

Lio – 00:34:13:

 

We offer both options. Many of our brands would have tax accountants, and we work well with tax accountants. I think just this year, we’re going to file our brands that are going to file around 600 tax returns. So we work with, I’ll say, hundreds of tax accountants that basically use the books in order to file the tax returns. We do have a service that help also with the tax filing because some of the brands would want to keep both the bookkeeping and the taxpayers under the same roof. And then we’re going to use partners within our network to help with the tax filing. So we have a vetted network of tax accountants and CFOs and fractional CFOs that are fluent with the Finaloop system. And then if somebody wants to keep everything in house or under one roof, we’re going to take care to both sides using the help of our partners.

 

Izach – 00:35:26:

 

Okay, great. Yeah, that makes a lot of sense, I think. What are some deductions or potential deductions that you see tax accountants miss in the ecommerce space? Specifically? Anything like low hanging fruit? There some tips.

 

Lio – 00:35:48:

 

Probably 60, 70% of the cases are just things that if you ask any tax accountant, they will for sure know it’s a deduction. They basic stuff. You don’t have to get too fancy about that. And you just miss it because you’re so engaged with getting the books right and get it in reconciled, and everything kind of boils to the tax season. And then at the tax season, they’re going to have hundred tax returns and 100 books to close. So I always say when you need to invest so much in the books just to get them reconciled and just this ping pong about, here are your books. Yes, but I see ten arrows. Okay, so let me take another look, reconcile, send it back to you. When you’re so buried with all the tedious work, you sometimes miss obvious deductions, which I would say it’s a pure loss. Then on top of that, you have opportunities that, again, they’re not fancy opportunities, they’re just opportunities that since you are so stressed in taxes and you just don’t have the time to take advantage of them just in the past three weeks, we saw three examples. One example is just a brand that made losses for a few years. They got profitable and when filing the tax returns, the carry forward losses were not taken.

 

Izach – 00:37:41:

 

Oh man. Yeah, they had to kind of invest in the business and go through an unprofitable time. And then when they finally made money, they didn’t get to discount that year’s profit by the losses they had from the prior year.

 

Lio – 00:37:56:

 

Right. This is just an example for the past three weeks. Another example is the ecommerce loan providers, specifically the providers of merchant cash advances. So it’s loans that you’re going to pay off with, payouts from the different stores, right, from Amazon, from Shopify, et cetera. People don’t understand how to book them and many times they just don’t take a deduction for the interest. So the way these different loans work, you basically get a loan today and then the lender would take a bite from every future payout. Within this instrument, you have a deductible interest. And we see consistently that this interest is not picked up. It’s not picked up. There are different accounting treatments, different players in the market would take different approaches, but in each approach the interest must be or should be deducted somewhere, whether it’s.. 

 

Izach – 00:39:04:

 

That’s a great point because a lot of these finance companies, the agreements are kind of not as simple as a normal kind of commercial banking loan agreement where you’ve got a statement that breaks out your total interest expense at the end of the year. They’re consolidating those costs as part of like a cost of services and it’s part of the payback. But I don’t think they’re giving you just a clean cut statement that says, okay, you had $100,000 of interest expense in 2022, but there certainly was interest expense. They’re not cheap loans, especially if you actually keep it for the better part of a year.

 

Lio – 00:39:36:

 

Yes, actually, in terms of deduction, you would have different components that can give rise to tax deduction. Right. You’re going to have, as you said, the service fee, I would say the implied interest that you have in the instrument. And you’re going to have at least different fees, like one time fees. So all of that is essentially deductible. But many people that don’t know how to handle these loans just leave that behind. We saw a lot of examples that we took over books from the past year and we saw that consistently this tax benefit is not utilized. So this would be another angle. Then you have things like home office, for example, people that work from home that can deduct different parts of the expenses in maintaining the home office. Now it’s a really nice expense, really nice deduction because it’s a deduction for the business, but there is no pickup for the person individually. So there the key is one, to be aware because it can get to a significant amount of money. Second, to have the time to calculate and pick that up right. If you are getting to the last minute and you have a deadline, you usually would say, okay, let’s just file the tax return and we’ll take it down the road. And you never take it. And then there are certain things, like in Scorpion, C Corps, in partnerships, you need to prepare in advance and make some kind of document that would allow you to do that, allow you to take the deduction at the level of the company. So this is another opportunity and then you have many different opportunities at the state level. So depending in which state you are operating, you’re going to have different opportunities in the state level that people are not necessarily aware of.

 

Izach – 00:41:52:

 

Well, I’m excited about it. Really have been enjoying kind of working with the clients that I have who are already using Finaloop and certainly want to let a lot more people out there know about your company and what you can do for them. What’s the best way for our listeners to connect with you or Finaloop?

 

Lio – 00:42:13:

 

I think what’s nice about interacting with the product is that you can start interacting with it and see if it’s a good fit for you without paying anything, without signing any agreement, without even entering credit card, so you can access 40 days of free trial. You can connect everything. You can get your PNL without committing to anything with our company. You just plug things in, get the result, you can compare it to what you have today, so you don’t even have to say goodbye to your current process. You can just plug everything in, see the result, take whatever the deliverables are in Finaloop and compare them to what you have today. Then if you find out that we gave you more benefit that you’re getting from your processes today, you can then sign up in terms of the cost. The cost would probably in every single tier we worked on, the pricing is tier-based. The more you sell, the higher the packages in terms of the subscription fee. But for every package you would pay around or at least 50% off what you pay today for your similar processes.

 

Izach – 00:43:49:

 

Yeah, and I’ve actually seen it being a much bigger discount with a lot of my clients who are paying for kind of monthly bookkeeping service compared to your software subscription pricing. So I think it could be really good cost savings there. You’re saying 50% is kind of industry average across the board, what you’ll save if you switch to Finaloop?

 

Lio – 00:44:07:

 

Yeah, I would say it’s at least 50%. And this putting aside all the saving, the natural saving that you can get both on the expense level, right? Because when you have the data in real time and it’s not just a rough idea of what I’m spending, all of a sudden you see a lot of opportunities. Whether it’s your shipping costs, you say, oh, my God, I pay so much to FedEx or UPS, let’s renegotiate, whether it’s SaaS services that you don’t even use. So you’re going to have a lot of cost saving opportunities just by accessing your PNL in real time. And then you also have savings on the tax side by just accessing deduction that you would otherwise just give up on. So I would say at least 50% on the immediate cost of the subscription fee. And then on top of that much saving around cutting costs and taking opportunities.

 

Izach – 00:45:19:

 

That was Lio Pincheski, who you can find @finaloop.com that’s finaloop.com. Thanks, everyone, for listening to this episode of The Deal Closers Podcast, brought to you by WebsiteClosers.com. If you like the show, be sure to rate us, write a review, press the follow button and share it with your network. Of course, if you’re looking for help selling your ecommerce business, be sure to visit websiteclosers.com. This episode was edited and produced by Earfluence. I’m Izach Porter. Follow me on LinkedIn and we’ll see you next time on The Deal Closers Podcast.