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TURNAROUND MANAGEMENT OF COMPANIES IN CRISIS

Going from systems and rigidity back to creativity and flexibility - Tore Hartelius

Turnaround management of companies in crisis is not just for large multinational companies. We help different types of owner-managed businesses with growth potential to reverse their negative development.

We offer help with:

  • Reorganisation of the management and organisation

  • Restructuring of assets

  • Product and market strategy

  • Growth strategy

  • Cost management and optimisation of liquidity and cash flow

We conduct a detailed analysis of the company’s opportunities for future earnings and financing.

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© Ichak Adizes - Corporate Lifecycles 

Specialists in turning around troubled businesses

In cooperation with the owner or owners, we often step in with an ownership interest and a team to facilitate the turnaround of companies in crisis.

We contact and negotiate with banks and investors and help raise the necessary capital for use during and after a turnaround.

When the business is on the right track, we find candidates for future management or hand back the management responsibilities to the existing managers and enhance their qualifications. We continue our commitment to the company from the board.

Businesses with growth potential

Companies in crisis often have growth potential which for various reasons is not being exploited. The company’s crisis may be due to lack of revenue and cash flow, an inadequate capital and financial structure, or other reasons that we will uncover.

The crisis may also be caused by a lack of professional management, as we often see with successful entrepreneurial companies with rapid growth and lack of control of liquidity and cash flow.

What is the criterion for our intervention?

The criterion for us to enter into a company with an ownership interest is that the company must be expected to be able to make a profitable operating income. We therefore only involve ourselves in companies which in our assessment qualify as sustainable businesses.

Sustainable businesses are characterized by proactive optics, structure and management focused on growth and innovation based on calculated risks.

 

Troubled or crisis-stricken businesses

We distinguish between companies that are heading toward a crisis and those that are already in crisis. For companies that are heading toward a crisis, we offer business therapy in which we train the owner, management and employees.

For companies in crisis, we offer business “surgery”, where we carry out “bypass surgery” to install a temporary management team that can steer the company out of the crisis or to a soft landing.

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