Insights & Thought Leadership

Perspectives on Finance Transformation

Research, analysis, and practical guidance for PE sponsors, CFOs, and business leaders navigating financial complexity.

Latest Research

Insight Paper February 2026

Challenges in Financial Data and Cash Flow Forecasting for Mid-Market PE Firms

Why portfolio managers struggle to get accurate financials — and what it costs them. An examination of recurring pain points from poor visibility over cash burn to underdeveloped finance functions.

92%
of CFOs find forecasting difficult
37%
use unreliable forecasts
14
cash shortages per year avg
£600K
annual cost per firm
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What the Research Shows

Critical challenges facing mid-market PE-backed businesses and their finance functions.

01

Poor Visibility into Cash Burn

Portfolio managers frequently struggle to obtain timely, accurate financial reports. Fragmented data systems and manual processes yield disconnected financial data, forcing management into a reactionary mode and hindering proactive decision-making.

02

Lack of Forecasting Discipline

Robust forecasting such as 13-week rolling cash flows with weekly variance analysis is often not in place despite being a standard PE expectation. Many companies rely on basic or ad-hoc forecasting that fails to illuminate true cash drivers.

03

Underdeveloped Finance Functions

Mid-market firms frequently underinvest in accounting infrastructure and experienced finance talent. Over a quarter still consolidate cash flows manually in Excel, with accuracy dropping as business complexity grows.

04

Material Operational Risks

These deficiencies create surprise liquidity crises, missed growth opportunities (estimated £600K annually), higher cost of capital through unplanned borrowing, and erosion of stakeholder trust between management and PE sponsors.

"You spend a lot of time worrying about what you don't know."

— Brick Thompson, CEO of a PE-backed roll-up, on consolidating performance data without proper instrumentation

Topics We Write About

Finance Transformation

Building a Fit-for-Purpose Finance Function Post-Acquisition

Why PE sponsors must invest in upgrading financial systems, processes, and teams from day one of ownership — and the cost of waiting.

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Cash Management

The 13-Week Cash Forecast: A Practical Implementation Guide

How to implement rolling cash flow forecasts with weekly variance analysis — the gold standard for PE-backed businesses.

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Technology

ERP Selection for the Mid-Market: A CFO's Decision Framework

Vendor-agnostic guidance on choosing between SAP, Oracle, NetSuite, and Dynamics for mid-market businesses at different stages of growth.

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Want to Discuss These Challenges?

If any of these topics resonate with the challenges facing your portfolio companies or your own finance function, we'd welcome a conversation.

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