TURNAROUND

Team Mix: CFO + Analyst

Bank Referral

Cash Critical & Stakeholder Conflict

We were referred to a client by their banker to solve accounting inconsistencies and within three months we had shifted to full CFO advisory service. The client was spending cash hand-over-fist, had non-performing business units, and a disparate ownership and stakeholder group.

 

Our Solution

We highlighted, targeted, direct cash management, non-performing products and business units. We led the charge to close and sell these non-performing components. In addition to profit focused activities, we led efforts with key vendors establishing mutually beneficial pay structures tied to revised proforma projections. We overhauled lending relationships dependent on the client’s financial position and renegotiated and restructured ownership and stakeholder agreements. 

 

Highlights

Balance Sheet: Working Capital improved by 700%

Return on Assets: 300% improvement

Income Statement: Gross Margin increase from 11% to 25%

Sales Backlog: Grew from 2.5 to 6 months