
Improvement to Existing Businesses
I. Turnaround and restructuring
Turning around and restructuring a business so that it may go forward calls for a range of services, experiences and skills. An effective plan must be directed toward reaching the strategic goals of the organization. Turnaround and restructuring of an overseas business most likely will focus on the operations and financial parts of the deteriorating business. We will evaluate your business plans, asses the current situation, and then advise the viability of a plan that will put the operations on a successful path forward while combined with a plan to allocate capital and investment necessary for success of the company. Working Capital management, as part of the turnaround and restructuring, focuses on three areas: receivables, payables and inventories. Focus is on cash generation and process improvement. The objective here is to improve liquidity and improve the credit lines. In addition, part of the plan should involve examination of covenants, since they have likely been broken, and further steps would probably include discussion and negotiation with stakeholders and other primary parties.
II. Interim and Permanent management
Companies sometimes know when a change in management is in their best interest or unfortunately various business scenarios force change by circumstance. Management changes can be immediate and therefore call for competent Interim management as a bridge to eventual hiring of more Permanent management. Minimizing business disruption is key to success during the interim period.
III. Performance Improvement in Financial and Operational matters
IV. Assistance to investors seeking to Accelerate Performance
The difference of Performance Improvement in Financial and Operational matters vs. Assistance to Investors seeking to Accelerate Performance can be the difference between companies and organizations managing their overseas businesses for growth and development over a relatively long term perspective, usually in excess of five years on, and Private Equity situations where the time frame for improvement can be in the 3-5 year time frame, or less.
In either time frame, a number of factors are examined and acted upon. The principal opportunity is to achieve returns that are often better than what is found in “home markets” but which represent new sales and income streams. A focus on sales growth, market penetration and process improvement are essential objectives toward improved performance of existing overseas operations, particularly in the current economy.