Case Study: Turnaround to Succession
Industry and Description: Commercial Construction, 70yr old $200M+ light office/commercial building business.
Owner Challenge: 3rd generation brothers ran the company at a loss for 2yrs for reasons they couldn’t pinpoint and knew they needed help to change course.
Noted issues: The owners were afraid to change anything for fear of destroying their legacy business, the business was both financially and operationally inefficient – it lacked good systems/processes, business was cyclical, due to the financial and economic environment they had increased competition and talent was hard to find and retain.
Solution: 1st, to stop the bleeding we created partnerships as the business had the talent, equipment, and time. Phase 2. the owners wanted to set this business up for continued multi-generational success, eventually passing it onto one or more of their kids.
End Result: The partnerships quickly stopped the bleeding, improving revenue by a net 24%, while diversifying the business’s revenue streams, turning into a permanent offering.
For Phase 2, to set the business up for generational success, we analyzed and identified numerous areas of improvement. Establishing governance for both the family and business, systemized and streamlined the business reducing cost by 17%. Implemented a cash flow management process, created a Sales department, developed the next generation leadership team, and created a path for the owners to slowly start moving into their next passion in life making way for the next leadership team to eventually take over.
Contact iBridge Global Partners Today
Thank you for exploring how iBridge Global Partners can contribute to the success of your family business. For more detailed information or to discuss your specific needs, feel free to reach out to us at (502) 741-7852.
Alternatively, you can click here to set up an appointment with one of our experienced business consultants. We look forward to the opportunity to support and elevate your family business to new heights.
Let’s build a prosperous future together!