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Finance 101 – Compare the ROI of having a direct report to engaging CroninCo

Brian is the Controller of a New Jersey based technology manufacturer.  Every quarter he breaks the bad news that the Canadian business is not as profitable as his USA branch offices.  There are higher salaries, expensive benefit programs (as the staff are not part of the USA benefit plan), the cellular phone bill is outrageous (business cell phone bills are on average 33% higher than in the USA), and the airfare is unbelievably high (Canada has only 2 national airlines).

Brian has compared his current costs of having a Canadian office to outsourcing the Canadian sales efforts to CroninCo.   The savings quickly put his company’s expenses back in line. CroninCo covers the costs of travel, offices, cell phones, customer entertainment, etc.  Brian knows exactly what his overheads will be each month.

Have you compared the ROI of your Canadian office to outsourcing to CroninCo?

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