Business Turnaround Success

The following represent examples of our associates assisting Turnaround Clients:

Client Reference 1:  National Software Business Turnaround

After a few years of stellar growth with record breaking profits the previous year, a national software business started to encounter some serious difficulties.  Over the past few months, this Jacksonville Florida based company was losing as much as $1 million per month.   Needless to say, the planned IPO was put on hold and the board of directors and venture capital investors demanded that the company's finances be brought under control.

Our executive was specifically recruited by the board of directors and placed as Interim Chief Operating Officer, with the following tasks:  (1) Quickly devise and implement a plan to stop the negative cash flow and return the firm to profitability, (2) Assess whether the CEO and other senior leaders were part of the problem or part of the solution, and  ( 3) Identify new strategic and operational plans for the business going forward, including a new exit strategy since the planned IPO seemed unlikely.

In less than 6 months, our executive successfully addressed each of these objectives, leading to a successful business turnaround culminating with the profitable sale of the business at a favorable price to a large international corporation.  Our executive remained for a brief period to facilitate the integration of the business into the new parent corporation.

Client Reference 2:  USA Banking Crisis - The Ultimate Turnaround

In 1990, a total of 742 banks and S&L's in the United States with total assets of $402 billion were determined to be bankrupt.  However, if the U.S. government were to let these banks fail, it would likely cause a financial and economic catastrophe equal or greater than the Great Depression of the 1920's.

The federal government decided that the solution was to recruit highly regarded business leaders from the private sector to lead a massive turnaround effort.

Our executive was initially placed on the Executive Committee of the ten most problematic banks in the country, including Charles Keating's Lincoln S&L based in Phoenix Arizona, where he and the other leaders of this office were tasked with restructuring, collecting, or liquidating problematic loans totaling $19 billion, while simultaneously keeping these banks open to serve millions of loyal consumer and business customers. 

After helping to resolve the crisis in record time, leading to the closure of the Phoenix RTC government office 3 years ahead of schedule, he was then promoted to the Washington DC offices of the both the RTC and FDIC in order to lead national programs involving $60 billion in assets

Our executive served as the sole FDIC executive on an advisory board within the Executive Office of the President of the United States, and also was called upon by the U.S. Congress Banking Committee to offer expert testimony on proposed federal regulations aimed at avoiding a future banking crisis. 

While most bankruptcy liquidations typically realize a 20% to 40% recovery rate, the RTC and FDIC were able to recover approximately 88% from their loan restructurings, asset sales and innovative loan securitization programs.

Client Reference 3:  Expanding Internationally and Jump-Starting Sales

The CEO of a promising Singapore based startup seeking new business in several Asian countries had secured venture capital seed funding and support from a major international business.  Now it was time to take the new innovative Smart Card product to market to determine if the demand was really there.

Our executive was retained to help jump start international business development efforts.  He began by first reviewing and then improving the firm's message, its collateral sales materials, and identifying a clear and compelling value proposition for prospective clients.  Next, he leveraged his extensive network of international contacts and quickly arranged for sales presentations at several major corporations. 

In less than two weeks, the executive was able to obtain a written commitment and endorsement from the Thailand Stock Exchange, which paved the way for dozens of additional business development meetings in several Asian countries.  The CEO was very pleased and amazed at how quickly he was able to get an audience with the key decision makers of so many large, international corporations.

Go to Additional Client Success Stories:

Startup Case Studies and Client References #4-6

Transition Case Studies and Client References #7-9