TURNAROUND PLAN TO KEEP BUSINESSES ON FRONT FOOT
WHAT does Business Turnaround mean for ReGroup Solutions?
What it means to us is the implementation of strategies for the purpose of achieving the sustainable recovery of an underperforming business model.
The overarching principle is to preserve, to the greatest extent possible, a company’s enterprise value whilst maximising returns to creditors and minimising risks to other stakeholders.
For many business owners facing financial crisis, they have a number of options available to them — all with varying degrees of risk and potential outcome and varying levels of merit.
What is needed is someone to work through all the various options with a business owner, and based on the particular circumstances and desired outcomes and implement the Turnaround Plan.
Then it’s vital to hold the business owner to account throughout the implementation of the agreed course of action.
We urge business owners to avoid dealing with issues on a reactionary basis, as this can cause unnecessary stress and potentially poor outcomes.
Early engagement with stakeholders is a crucial element to delivering a turnaround plan.
The two things creditors want is their money and clear, timely communication.
When borrowers fail to communicate with their creditors in an appropriate manner, then the potential for relationships and trust breaks down.
Unfortunately, when that happens, creditors are left with few options but to use the levers available to them.
We consider the evolving landscape of innovation, risk and rescue to be providing new tools and solutions to business owners and stakeholders alike.