Business Turnaround Consulting
Diagnosing the Situation
Many business owners face a strategic crisis at some point in their careers due to financial stress or cash flow. It can be a stressful time, but you don’t have to face it alone. A turnaround is a period of transition, renewal, and pivoting towards growth. The earlier a business realizes that it needs help, the more options you have in dealing with the crisis.
Exit Consulting Group® is a full-service consulting firm specializing in developing roadmaps for companies that need a turnaround solution. Our turnaround consultants work hand-in-hand with our clients, helping to define what their win success looks like and then establishing a plan of action to achieve those results.
No matter the size of your company, our Exit Engineers® can guide you down the path of recovery and progress. We can also help you plan an exit strategy if you choose to transition or sell your business.
The Goal of Turnaround
Simply put, the goal of a turnaround consulting service is to determine the severity of the situation and get your business moving in the right direction. As a business turnaround consultant, we will analyze your business from multiple viewpoints such as Financing, Operations, Strategy, Marketing, and Pricing.
It is a comprehensive review that will look at what went wrong, what can go wrong, and risk management strategy execution that can be put into place to prevent any risk recurrence. In addition, we will work to help you better understand cash usage and stabilize your cash flow which will help to recalibrate your creditors and lender relationships.
What Services are Typically offered in a Business Turnaround?
Turnaround consulting services are typically concerned with correcting cash flow management issues or other operational crises affecting liquidity. Any number of factors can contribute to a liquidity crisis, and turnaround services may address the particular financial issues burdening a business or seek to improve business operations holistically. Really, there isn’t any panacea solution that applies to all businesses, but rather, business turnaround services are usually tailored to the specific needs of the company in crisis.
Services typically offered in a business turnaround include selling assets, reducing workforce, restructuring debt, or repositioning the business in its market. Current company structure and long-term business goals may also be analyzed in order to provide recommendations to improve performance for lasting success.
Why Choose A Business Turnaround Consultant?
Choosing a business turnaround consultant can make the difference between moving past endless cash flow distress and finding newfound profitability. Even the best business owners face financial difficulties in their careers and business turnarounds may become necessary. If you’ve been struggling to make payroll, find your business debts piling up, or are experiencing difficulty coming up with enough cash to satisfy personal guarantees, it might be time to consider turnaround services.
The right consultant can precisely identify the causes of your financial challenges and provide actionable measures to correct them. But perhaps most importantly, a business turnaround plan offers an objective perspective on your finances and operations that you might not recognize. After all, it can be difficult to properly assess business problems from a top-down, comprehensive view when you yourself are embedded deep within the current hurdles of daily operations.
What Kind of Business would benefit from a Turnaround Consultant?
Any distressed business suffering from serious financial challenges would benefit from hiring a turnaround consultant. If your cash flow forecast is grim and revenue issues are putting daily operations and long-term business growth in peril, implementing a strategic business turnaround program is advisable.
Businesses operating in virtually every industry can introduce a turnaround plan to their current processes, though services are most appropriate for those experiencing some form of operational crisis and not necessarily those simply interested in business transformation or growth. As long as the company is receptive to changing its processes, dramatic improvements can be made with the help of a turnaround specialist to drive cost reduction and increase profitability.
Developing a Plan
Exit Consulting Group will also perform a critical assessment of the company’s business plan, financing arrangements, and management team. Once complete, we will work with you to formulate an action plan to fix the situation. Since every business is unique, some crisis management strategies and services we recommend may include:
- Setting specific goals and objectives that align with the goals of investors and other stakeholders
- Restructuring debt
- Analyzing margins and pricing strategies
- Selling assets
- Closing unprofitable lines of business to favor the cash-generating parts of the business
- Negotiating with suppliers and vendors
- Competitive Repositioning
Analysis and Action
Our analyses come from an in-depth look at your business combined with our years of experience as business turnaround consultants. We are not a certified public accounting firm but have a wealth of business finance experience to support your efforts. Our goal is to help you gain control over the situation and move your business in a positive direction. Before we implement a crisis management plan, we walk you through our findings and explain the opportunities and risks with each strategy.