How Urban Sports quickly achieved consolidated financial statements
USC – these three magical letters stand for pure fitness Urban Sports Club offers flexible fitness flat rates for fitness fans. The enterprise’s mission: To actively help people achieve a healthier lifestyle. USC members can choose from more than 50 types of sports: From classic fitness workouts over swimming, yoga, or boulder climbing to team sports and wellness. There is something for everyone! And all this can be flexibly used in 10,000 partner cities in Germany, France, Spain, Portugal, and Belgium.
The enterprise has undergone an impressive development in the last couple of years: USC was founded in 2012 in Berlin by Moritz Kreppel and Benjamin Roth. In 2015 they got a early-stage financing and took over four German fitness competitors with Somuchmore in 2016. Starting in January 2018, more providers joined, including FITrate, INTERFIT, and OneFit.
Challenges in accounting
The challenges the finance department of the rapidly growing enterprise has to face in the area of financial consolidation, planning, and reporting are just as divers and wide-ranging as their offer. Ina Wetzel, CFO of Urban Sports, reports on her experience and explains why the LucaNet software is the key to successful consolidated financial statements and reporting.
The problem of Excel spreadsheets
Before LucaNet was implemented, the enterprise used to work with Excel tables, which turned out to be impractical in many ways. “Before LucaNet there were only Excel spreadsheets. And the problem with Excel spreadsheets is that they have to be painstakingly merged. If there is an error in the formulas, the pages can no longer be opened” says Ina Wetzel. This causes the whole reporting process to not be informative and uncoordinated. Especially with many different companies, a reconciled reporting is important, so that the balance sheet and cash flow data are available in time for the consolidation. This is nearly impossible without a professional tool in the Financial Performance Management area.
Reliably financial data in times of crisis
Especially in times of crisis, like the Covid-19 pandemic, companies depend on reliable and accurate financial data to deliver the latest results. This way the finance department has a clear overview of the liquidity of the individual national subsidiaries and are able to take control by intervening on time, when necessary. LucaNet was available to provide help for exactly this pain point since the sports and fitness sector was especially affected by the worldwide pandemic.
The reasons for LucaNet
Why did USC choose the LucaNet tool? Ina Wetzel’s answer to this question was very clear: “I have already consolidated in other systems. But if you work with LucaNet once, you never want to work with another system again. Why? It is a technically brilliant solution. Many steps are taken off your hands. A lot of checks are integrated, making reconciliation processes afterwards unnecessary.”
Consolidation tool plus consulting equals the perfect solution
With the LucaNet software, USC has a reliable partner, who offers extensive support in the preparation of consolidated financial statements. Not only concerning the tool itself but also the extensive support as part of the LucaNet Consolidation Advisory. In this context, real financial experts, who know LucaNet’s FPM software in detail and have a deep understanding of everything concerning financial consolidation, are at your service. “The LucaNet consultants – no matter who I worked with in the context of other projects – are excellent without exceptions. They practice early-stage financing and point out specific issues beforehand, making preliminary work possible”, says Ina Wetzel.
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How is Urban Sports Club going to use LucaNet in the future?
Prospectively USC does not want to use the LucaNet software exclusively for the preparation of consolidated financial statements. The FPM solution is supposed to form a financial data hub, which is made available to all national subsidiaries. This way the subsidiaries always have a transparent overview over their financial data – in real-time. LucaNet also makes controllers happy. They now only need to use one tool for both cost center reporting and forecasting.
Do you want to get to know the comprehensive opportunities of the LucaNet software? See for yourself how you can use the tool for successful Financial Performance Management: