Founded in 1993, All World Machinery Supply, Inc. (All World) is a highly successful mechanical parts provider in the global industrial marketplace. The company’s headquarters are located in Roscoe, Illinois, with branch facilities in Georgia, Ohio and Mexico. All World operates as a subsidiary of Daikin group and supplies a wide range of mechanical systems, parts and services rarely found from a single source.
As a new subsidiary of Daikin group in 2008, All World considered joining the ranks of the Japanese company’s other subsidiaries in using the same financial statement audit provider. However, after meeting with that provider, All World declined the opportunity. Not only were the provider’s fees significantly higher than what the company considered fair, more importantly, the business fit simply was not there.
All World found a better fit with Wipfli. Wipfli’s fees were reasonable and fair, and the firm exhibited shared business values as well as manufacturing and distribution industry expertise. In 2008, Wipfli began completing the company’s financial statement audits. In 2010, Wipfli transitioned All World to March 31 year-end financials to mirror Daikin’s year-end.
Today, All World continues to rely on Wipfli for audits and receives them in record time because audits are due within two weeks from year-end. In addition, a strong relationship was built. Recognizing the value of Wipfli’s strategic mindset and recommendations that would benefit them, All World began using the firm for a variety of additional engagements as well as assistance and guidance in a variety of other capacities. Among some of them:
- Research and development (R&D) tax credits
- Cost segregation study
- Tax planning and preparation
- Cash flow analysis
- Operational advice
- Quarterly financial reporting and income tax estimates
- State and local tax assistance
- 401(k) third-party administrator fees assessment
All World believes it has an accounting and tax partner who looks out for its best interest. Beyond service, All World has benefitted from its partnership with Wipfli in some very distinct and measurable ways:
- By using Wipfli for its financial statement audits instead of the provider used by other Daikin subsidiaries, All World estimates a yearly savings of $70,000 to $100,000.
- R&D tax credits are approaching nearly $1 million over five years, with additional credits and benefits going forward as All World evolves toward more R&D opportunities.
- The cost segregation study performed by Wipfli netted All World a savings of $210,000.
- In addition to annual tax preparation, All World receives quarterly projections of its tax liability to reduce overpayments at year-end and increase cash flows.