Esperanza’s Tortilleria is a manufacturer of tortillas, tostadas and corn chips. The family business started in 1962 and since then, the founders successfully created a thriving business that has served their local community, raised their families and supported their children’s college educations. The company also operates a Mexican food deli/retail store adjacent to the manufacturing building.
The founders of Esperanza’s Tortilleria are in transition to retirement and are passing responsibility for the business to their three sons. During this transition, the company continues to face a lot of local competition, low margins, high labor costs, and an increase in minimum wage. The founders have always handled the finances and believed that it was now time for their sons, as the next generation of owners, to better understand the company’s financials. The company also needed a plan to decrease waste and bring in automation, but the management team lacked backgrounds in accounting, finance or lean operating practices. They realized that they needed assistance with calculating job costing, manufacturing labor burden rate, costing/profit analysis and business financials to make better decisions leading to increased operational performance.
—Hugo Martinez, Vice President
California Manufacturing Technology Consulting (CMTC), part of the MEP National NetworkTM, started work with Esperanza’s Tortilleria in December of 2018 to provide financial consulting services to address the organization’s current situation. This consisted of the following: financial consulting; business coaching in accounting and business operations to enhance the efficiency and profitability of the business; providing office administration staff with best practices to improve performance; providing chief financial officer advisory assistance in the areas of budgeting, forecasting and financial controls; and providing owners and management team with clarity on business performance
Could your company benefit from assistance with financial consulting? Connect with your local MEP Center for more information.
California Manufacturing Technology Consulting (CMTC) is the official representative of the MEP National Network in California. The MEP National Network is a unique public-private partnership that helps small and medium-sized manufacturers generate business results and thrive in today’s technology-driven economy. The MEP National Network comprises the National Institute of Standards and Technology’s Manufacturing Extension Partnership (NIST MEP), the 51 MEP Centers located in all 50 states and Puerto Rico.