How to turn around? Many of our clients ask us for our restructuring methods. Let me give you the basic procedures on how to turn around your firm.
1. Assess the situation. This is the key how to turn around issue. You need to get a firm grasp on your firm’s cash, cost and competitive positions. Work closely with your accountants to understand why your firm is spending at its current level. Get into your operations and discover where there are inefficiencies. Ask you customers and ex-customers why they buy from your firm or why they stopped buying.
2. Develop a comprehensive restructuring plan. From your assessment, you should see clearly what it takes to fix your firm. Find the core business on which to rebuild your firm. This is the most difficult part of a company restructuring.
3. Sell your plan. After you have created your plan,
then you must get buy-in from your board, investors, bankers, creditors,
management team and your employees.
Our practice follows closely the best how to turn around training book in the industry, The Insider Secrets to Saving Your Business. You can easily read this comprehensive self-study course over a weekend. We use the course so much we have almost worn out our copy.
We like our clients to read this material before engaging us. When you have this knowledge, we will not surprise you when we make drastic and necessary moves to save your firm.