CMR Business Lifeline - Company Turnaround
Plan your future before others plan it for you...

There is nothing inevitable about the fate of a company.  Many companies fall into the trap of being too busy to plan their future, as it is easier to “just carry on”.  Sometimes, no matter how effectively a company is run, it can never compensate for a lack of critical mass, and needs to completely change its structure in order to survive and prosper.   Most businesses that go into liquidation, or that are sold in a forced sale, could have avoided this fate by analysing their current situation, and deciding what they want or need that situation to be tomorrow.

If you are too busy to recognise the fact that your company’s financial health is deteriorating, you risk losing not only a valuable asset, but also your future income. Do any of the following seem familiar?

Have sales been static for the last two years or possibly even longer?

Have margins & profits declined at the same time?

Are existing funding / borrowing facilities under pressure?

Has it been necessary to extend credit periods from suppliers?

Is debt collection a permanent headache?

Do you find yourself working longer for a diminishing return, and spend most of that time fighting fires?

Has your company suffered a bad debt, or a significant contractual loss?

If your business is suffering from any of the symptoms above, then you need to urgently review where you are today so that there can be a tomorrow to look forward to.

ABOUT LIFELINE

CMR Business Lifeline is a division of CMR Management Resources, which has been developed specifically to help owners and directors of companies who are experiencing trading difficulties, or who need to reverse a trend, which may lead to such difficulties.  Its management team has immense experience in corporate restructuring, and have developed a unique strategy for helping companies in difficulty.

A company that does not improve performance year on year, is so often, ultimately destined to failure – usually with devastating personal costs to the owners, directors and workforce.  Why make a Catastrophe out of a Crisis? - If action is taken in time, it is often possible to reverse these trends.

The process begins with an initial consultation between the owner / major shareholder, and a CMR Senior Executive. This will normally take place ‘off premises’, and will be totally confidential.  Each Senior Executive has held CEO or MD level positions in a relevant industrial sector with “hands on” experience and not just a textbook understanding of how a business works.

This initial meeting will help establish your personal liabilities and priorities, and will also develop an overview of the current situation within the company.  There will be a nominal charge for this consultation and associated work.  A comprehensive proposal including costs for the next phase will then be presented. Only once this proposal is agreed, do we move on. 

LIFELINE PROGRAMME

If recovery of the business as it stands looks possible, CMR working with the owners will take the following action:

Secure the immediate current position, giving time to implement the full recovery action plan, including bringing in an insolvency practitioner to secure the legal position of the directors.

Implement the development plan, possibly utilising the wider resources of CMR, including Cost-Reduction / Profit Improvement, and Private Investors.  If direct recovery of the business looks unlikely, then we will usually move to the restructuring option.

RESTRUCTURING
 

If direct recovery of the business looks unlikely, then we will usually move to the restructuring option.

This will often involve the merging of the business (sales and gross profit, plus any stock and equipment needed), into a suitable external business. The company being merged with will be selected in conjunction with the owners, and is likely to be in a similar or complimentary line of business, and capable of ‘absorbing’ the business without a significant increase in fixed costs.

This restructuring can be a very beneficial route to follow, giving the owners a negotiated percentage and involvement in the ‘merged’ company.  We call this our Catalyst Group Programme.

  To show its commitment to the ongoing success of the new company, CMR will often take a minority interest as part of its fee structure.  Timing in either of these circumstances can be critical, and it is important that enough time is given to allow the necessary plans and actions to be completed. The earlier you contact CMR, the more favourable an outcome can be achieved.
 

Timing in either of these circumstances can be critical, and it is important that enough time is given to allow the necessary plans and actions to be completed. The earlier you contact CMR, the more favourable an outcome can be achieved.

STEPS TO SUCCESS

The CMR Business Lifeline Programme - we will work with you to establish the steps to your success:

Re-define your personal and business goals

Review the current business status

Define the business risk

Define the personal risk

Develop a practical business plan

Implement the business change

Protect the owner’s investment

ACCESSING THE CMR PROGRAMME

Simply send an email to cmr@cmruk.com or phone 0207-636-1744 for a confidential discussion with CMR's Business Lifeline Division.