Case Study: No Thanks, Dad” to Thriving Family Enterprise
Industry and Description: Manufacturer, 25+ years, $80M revenue, Specialty Packaging.
Owner Challenge: The founder was nearing 70, had built a respected, profitable business, and knew he needed to step back. His three children respected the “family business” their dad had built, but had other passions in life. The family didn’t want to sell, but thought they were stuck.
Noted issues: No succession plan. No operating system for running the family enterprise. The business was operating on legacy systems, no real vision or family strategy, and no vehicle for investing future capital together. Family relationships were being strained by unclear expectations, financial inequality, and lack of purpose.
Solution: We transformed the operating company into a true family enterprise. Created a formal Family Office structure to support the family’s shared goals and to serve as a hub for wealth, education, and new investments. We created a plan to grow the business with professional leadership while empowering the kids to pursue their interests. Built out a strategy for acquiring minority positions in operating companies that the family could support passively. The sons later pursued careers in investment banking while using the family’s structure to co-invest in tuned-up operating companies.
End Result: Within 5 years, the legacy business increased EBITDA by 42% through operational tuning and organic growth. The family office acquired two new companies which we tuned-up, each now generating >20% IRR. The next gen now sits on investment committee and portfolio company boards. The family is aligned, excited, and positioned for long-term enterprise growth without forcing succession.
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!