A Few Success Stories where Business Value was Protected and Grown
Unfortunately too many owners and (well intentioned) advisors believe the solution for a troubled business is to borrow more money, chase more sales and cut costs. Typically there will be deeper problems that require broader experience to solve.
The TMA Survey* showed the main causes of business distress are primarily internal...
56% have 'Management Issues'.
51% have 'Unsustainable Debt'
46% have 'Inadequate Financial Control'.
Debtor related problems, market shifts, major acquisitions and too high cost structure are triggering issues.
Most often "Survival" is the key measure of a successful turnaround.
Our team recognise the keys to success are having a sound strategy, applied through the focused people, with adequate funding in place.
Aggressive expansion took business beyond management & funding capacity
Primary funder supports a ‘turnaround’ strategy, with interim CRO.
Operational restructure, debtor funding and recapitalisation.
Market and product review shifted business focus. Growth restored.
GFC, changing market conditions & technology caught up
Short term finance funded operations for 3 months
Business split into two groups, one sold to trade, with staff & fixed assets and operating liabilities. Merged business OK.
Retained part is smaller, low cost and profitable operation.
Major client fails in period of tough trading conditions. Founder dies
Risk analysis reveals far more trouble deeper in business operations.
Major creditor negotiation (inc. ATO). Contracted major customer support.
Underutilised assets refinanced to generate short term funds.
Interim CEO appointed. New accounting & IT staff. Sales team refocused.
GM redeployed on new sales. Performance improving.
Business now stable and able to invest in new technology for new growth.
Creditor pressure arising from one division killing the rest of business
Resolved and rationalised creditors arrangement with overall business.
Restructured business and management.
Business revitalised, performance optimised and now growing dramatically.
Directors Penalty Notice + Winding Up Hearing in action
Sold business to management & staff. Everyone kept their jobs & full entitlements.
Business now trading profitably and growing.
No disappointed customers.
Major trading losses. Flawed business model. Haphazard supply chain
. Product 'leakage'.
Secured short term funding. Interim CFO in control of cash.
Trading losses turnaround to operating cash positive.
Identified employees associated with 'leakage' and exit . Culture changed.
Reworked the manufacturing process and planning to improve productivity / reduce unit costs.
Renegotiated supply chain.
Profitable business sold to customer.
We specialise in successful turnarounds, workouts, strategic planning and operational restructuring to revitalise business performance and grow value.