Growth is hard to achieve in the current economic climate, but once achieved growth businesses typically show the following characteristics:
- Rapid sales growth
- Increasing amounts of cash tied up in debtors and stocks
- Credit limits with suppliers exceeded
- Cash flow pressures
- Requirement for increasing levels of funding
- Need for rapid recruitment of quality staff
- Need for more “rules” to run the business
What People Say About Us
Portfolio Manager, Barclays Ventures
Some of our Solutions
- Regular re-forecasting and business planning reviews identify cash flow requirements
- Activity based costing to identify true profitability of different sales streams
- Customer profitability focus to increase margins and aid cash flow
- Introduction of lean manufacturing initiatives
- Introduction of more sophisticated supply chain management
- Development of partnerships with key suppliers
- Increased communication and management of finance stakeholders
- Recruitment of high calibre personnel to take the company to the next level
- Acquisition of bolt on businesses “buy and build”
Growth Can Kill You!
Growing companies can suffer some of the symptoms of distressed business. Fast growth can cause major cash issues as debtors and stocks rise whilst creditors become reluctant to grant increasing levels of debt. These companies need careful management in order to survive and prosper.
Buy and Build
Acquiring bolt on companies can be a quick way of achieving growth.
Via our network we ave access to many off market opportunities to acquire such businesses at significant market discounts.