Results : Case Studies

Condition:

CEO of a growing company is nearing retirement. The management team is not deep or ready to take over. There are no family members active in the company, and there is talk of selling to an ESOP. We assessed the organization with a SWOT analysis and long term financial forecasts to position the management team for the buy-out. In addition, we assisted the organization with team building, process mapping, and value stream mapping systems. Additionally, the owner began to develop a board of directors, using the advisory board process to eventually convert to a governing board.

Condition:

CEO of family or privately held business is planning for retirement, but is concerned with how the business will be managed after he/she reduces time at the office. Management, which sometimes includes family members, are frustrated that the CEO hasn't given up "the steering wheel" and allow a smooth transition from one management generation to the next. Our approach is to develop systems to satisfy communication and strategic issues. In most cases an Advisory Board with outsiders is implemented. An ESOP or Employee Stock Ownership Plan, along with management development programs, can provide the current ownership with a very smooth process of ownership and management succession with highly favorable tax benefits.

Condition:

Inc Magazine 100 CEO wants to buy out minority shareholders, and attract additional long term and working capital financing. We developed a serices of financial models to provide the business valuation expert to arrive at a value for the buy out, and to present those models to funding sources. We closed the buyout and attracted over $1.5 million for the company.

Condition:

CEO wants to develop the next generation of management, but is concerned with how the process will work with issues of family or key managers affecting the decision. In some cases, the CEO wonders if his/her offspring are ready to take over, or is an outside manager a better fit until they are ready. The CEO may be concerned with keeping a certain or select group of managers, wanting to provide compensation programs to create incentives, and long term rewards. We are asked to work closely with the next generation to deal with several strategic projects. They learn how to work together, and the next generation develops skills to manage the business in the future.

Condition:

Management team or partnership is trying to figure out the direction of the company. There are so many opportunities, with limited cash, that determining the best approach is a challenge. They started the business "in a garage" and have grown it well. They know their customers, they know what they do well. Working long hours needs to change as their families want more of their time. They do not have a well written business plan, but they do know it in their head. They are close to making money or are doing very well. They want to know if they should fund the growth with a VC or go to a bank and borrow. Or should they grow gradually using the profits? We have worked with technology companies to develop action plans and business plans that have resulted in sales growth without the family sacrifices. In other industries, we have developed detailed business models for "what if" scenarios; providing insight to selected strategies and opportunities.

Condition:

The CEO/Partners have done their homework. Their startup is not really a startup anymore as they have tested the waters, done their research, and have identified several customers who have bought their products and services. The real test now is developing a plan that scales the business with high growth. They need someone who will guide them through the details, put their thoughts into income statements, balance sheets and cashflow models. We have helped raise millions of dollars for our clients in seed and debt financing using our trademarked templates called "Strategic Snapshot".

Condition:

Business has been growing rapidly. The CEO's short temper is caused by frustration with his management team, who are working very hard but not getting enough done. Profitability is lower than before, and there is disagreement on where to grow the company. Several key employees have resigned, there is anger among family and non-family members, and the morale within the company is lower than before. We help the management team work as a team, rebuild customer satisfaction, and encourage entrepreneurial spirit in the organization. In some cases, we mentor youthful future owners to achieve high levels of Entrepreneurial skills as well as a results oriented style.

Condition:

Costs are rising, margins are thinning, and there are disagreements with changing the way things are being done. One department is fighting with another. The amount of errors is causing a high amount of returns, rework, scrap, and bloated inventory. We have helped companies figure out their costs, develop profitability by customer or product, create action plans that improve cycle times, reduce mistakes, and reduce inter-departmental conflict.

Condition:

The Owners of an unprofitable business want to position the company for a Sale. They are concerned with how a high value can be attained while having family members in the management team. Usually, a strategic plan will enable long term non family managers to stay on as well as family members, as the company increases the Sale Value. In some client projects, the selection of a new non family GM take place, providing new leadership and direction. In others, the family members remain, but in different, more effective positions.

Condition:

A formerly profitable business has turned unprofitable due to competition and difficult market conditions. Margins are dropping, key employees have left, sales are down, and the vendors are wanting faster payment. The bank is concerned and wants more information faster. Some family and non family members are viewed as not bringing value to the firm anymore. Action is require immediately, to stem the losses and reinvigorate the management team. We are asked to help rebuild the company and management team, work through the banking issues, and reposition the company for profitability and growth. Our experience in various industries and market conditions have allowed us to achieve reasonable expectations without challenging the owners' ethical issues to change and restructuring.