The BPIF has "cleared the decks" financially and reported a loss of 1.2m for the year to 31 March.
Consultancy and redundancy payments relating to the federations radical restructuring cost 640,000, and fresh finance chief Mark Cooke has also taken a "hard view" of the federations balance sheet, and has written off 300,000-worth of stock.
"Prior year deficits would have been higher if a harder view had been taken," said Cooke. "Now, the BPIF is financially sound and our income and expenditure have been stabilised. We have achieved our objectives and made very substantial cost base cuts 600,000 in staff costs alone."
Turnover fell by 4.5% to 7m. The BPIF plans to reverse the decline in membership numbers by introducing a new member-friendly subscription package. "We dont plan to tinker with it, we plan to change it fundamentally and fairly," stated interim chief executive Roy Hill.
The Bedford Row HQ, which had a carrying value of just 142,000 in the accounts, was sold for more than 4m.
New director of regions and operations Ian Ainsworth said he planned to attract more members by providing "services with a visible payback", particularly in the areas of human resources, health and safety, training and commercial areas such as law and VAT.
A revamp of the BPIF website is also underway, and an announcement on a collaboration with one of the print dotcoms is expected within weeks.
Also due to begin this autumn is a major industry competitiveness study, funded by the DTI. "The DTI has criticised manufacturing for being uncompetitive. In this survey the industry will be set against international competition and alternative media," explained corporate affairs director Mike Hopkins.
Story by Jo Francis