Turnaround Management

Business Rescue, Turnaround and Restructuring

When you are under pressure from aggressive creditors, battling to find the cash to pay wages on a Friday to save jobs, trying to keep your overdraft within its limits, and standing alone in your efforts to save your company from disaster, it is very easy to take the wrong turn and walk over the edge. This is the time when you need to have an experienced professional team to come to your rescue. The threat of bankruptcy is overwhelming and stressful, and few have been taught how to deal with the multitude of problems with which it is associated.

You need to have a calm, objective and professional team who works for you to bring about the best possible outcome for you and your business.  At Unleash we achieve this through a Business Rescue Plan.

"Saving a business is like a mountain rescue – it needs experience and an awareness of the legal, financial and commercial dangers that can undermine the rescue attempt."
K2 Business Rescue Partners Ltd – UK

Approach

We have a tried and tested approach that starts by looking at the underlying causes of your problems and working our way through to developing a Business Rescue Plan that will provide a survival strategy. Speed is of the essence and our Unleash team is well drilled and experienced.

No matter how experienced or careful you are, in the blink of an eye you can find yourself in need of rescue – your life in the hands of a rescue team. And, should you be unfortunate enough to need our help, you'll receive a professional, world-class service – from a group of highly trained, highly motivated individuals.
Mountain Rescue Club of England and Wales

The Survival Strategy

Stabilise the Cash Flow

After the initial interview, the first priority is to review and stabilise the cash flow situation. We would then identify and agree on the emergency objectives and priorities to improve cash flow.

The immediate actions to be taken would include: managing bank and creditor communication and negotiating extended payment terms, carrying out a liquidation valuation, establishing a cash flow forecast for the next four weeks, identify non-core assets, cancelling all unnecessary contracts and debit orders, retrenching staff if necessary and taking control of the bank account. 

Analyse

At the same time the Unleash team will be collating and analysing the relevant financial and operational information, with a view to identifying the key problem areas, and identifying underperforming assets. This will be formalised into a viability review of the business.

Prioritise

Together with management, we will then prioritise the next actions to be taken to save the business. Having stabilised the business and dealt with all your immediate concerns, the emphasis moves to sustainability.

Business Rescue Plan

As a result of our investigations and discussions with management, we will draft the preferred option as a Business Rescue Plan for your acceptance. We will also provide hands–on help to implement the plan.

The plan will set out a number of clearly defined objectives:

  • Creditor management
  • Cash flow improvement
  • Operational reorganisation and improvement
  • Balance Sheet restructuring
  • Asset protection
  • Shareholders and directors guide to the business rescue process
  • Preparation of financial forecasts and the Business Rescue Plan
  • Implementation of the Business Rescue Plan

The success of the turnaround strategy depends on swift implementation and the Unleash Team will play an active and critical role in ensuring that the objectives of the plan are achieved. During the emergency phase where the focus is on cash flow and short term survival, our meetings often take place outside working hours including evenings and weekends. We will also monitor progress and take corrective action where necessary.

We will support you throughout the Business Rescue process and will help you understand your own situation in terms of personal guarantees given and your responsibilities and liabilities as a director.

Once the business has been stabilised, we will undertake a post implementation review to assist in getting longer term objectives to ensure the ongoing survival of your business. Once that has been completed, the Unleash Team will depart and hand over the running of the business.

Summary

By the end of the Business Rescue assignment you can expect to have:

  • stabilised the cash flow crisis
  • disciplined cash flow management programs in place
  • identified underperforming assets and loss leaders
  • improved the operational and financial controls of the business
  • improved control over Capex and overheads
  • better relationship and communications with your  banker
  • personal control of the direction of the business
  • Improved operational performance

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