Selected Cases

Computer Reseller – Assisted management in harnessing rapid growth (developed strong management system). Helped formulate strategy to restructure a series of trusts and corporations to align them with the new strategic intent. Worked with attorneys and CPA’s to craft all supporting documents. Re-positioned pension and profit-sharing plans with new financial planner. The overall objective was to develop and install a comprehensive growth and succession plan for the owner and his family that would enable them to sell the business at a pre-determined price within the next 5-8 years.

Packaging Equipment Manufacturer – Assisted owners in developing several strategies designed to enhance the value of the business (buyout of a third shareholder, tightened management processes, revamped compensation programs and assisted owners in updating and clarifying their financial plans) and prepare it for sale. Identified prospective buyers and negotiated the eventual sale. There were two final suitors, a public company and a private partnership established by two entrepreneurs to affect the sale. Despite a strong offer by the public company and the opportunity for a tax -free transaction, the owners accepted the offer of the entrepreneurial group. The purchase was successfully completed.

Fine Jewelry Company – Engaged to assist the owner and his two sons in developing strategic alternatives to future growth and family succession. Ultimate plan, taking family requirements into consideration, took two years to implement and resulted in one son taking over the business and one son being hired as a long-term consultant as a means of transitioning equity or its equivalent.

Consulting Engineering Firm -- Assisted the owner in the sale and key managers in the their succession to ownership of the company; structured deal; interfaced with accountants and attorneys to insure deal integrity. Mid-way through the buyout period, the new owners escalated the payoff with a higher return to the seller than anticipated.

Professional Services Firm – Represented owner in negotiating and structuring the sale of company shares to several key executives. As part of the owner’s personal succession plan, developed a structure that is scalable for future sales, including the establishment of a valuation formula, key executive perks and benefits. Headed up team consisting of the owner, his personal attorney, CPA and corporate attorney to develop documentation in support of this initiative.

Records Management Sales and Service Company – Worked with management to effect a transition from two owners to one; advised company on growth strategies; installed a telemarketing program to diversify company that exceeded first year targets within 5 months; secured asset-based lender for firm.

Natural Resources Subsidiary of “FORTUNE 500” Company – Advised management and implemented strategies and controls to maximize return on more than 100 recently acquired entrepreneurial subsidiaries. A key element of this program was to arrest the flight of key executives from the acquired companies when their initial employment contracts came up for renewal. Streamlined procedures and this retention of key management talent resulted in record profits in the year following the program’s completion.

Advertising Agency – Assisted the (2) owners in an exploration of their personal goals and business goals, resulting in the buy-out of one owner. Worked with them to draft and implement a succession plan, including all documentation relating to the transaction. Later, assisted the owner in the acquisition of a related business. Today, the firm continues to be successful and the original shareholder who was bought out is an important outsourcing contractor for the firm.

Machinery & Industrial Supply Distributor - Established planning procedures and company controls; advised on acquisition of joint venture, negotiated and structured the deal; secured more flexible financing for the company geared to maximize growth potential. As part of the company’s long-term strategic intent, work actively to evaluate possible acquisitions, combinations and or potential strategic sale as part of the owner’s succession plan.

Industrial Distributor – Worked with two of three owners of the business when it was discovered that the other shareholder was mismanaging the pension and profit-sharing plans. Engaged a team consisting of a corporate attorney, an accounting firm (qualified to conduct a forensic audit) and a financial planning organization. The audit uncovered irregularities and the other shareholder was removed as Administrator of the Plan and eventually his employment was terminated. In the ensuing litigation, the actions of the two owners in removing the third shareholder were vindicated and most of the losses were recovered.

Plastics Coatings Company – Devised program to identify "successful" hourly workers and increase likelihood of their long-term employment; conducted trading area salary survey; advised on compensation strategies; advised owner on succession strategies.

Ocean Freight Logistics Company – Worked with owner to develop a growth plan for the company with the intent of having the company acquired within a certain period. Continued to advise the company after a partial (49%) divestiture was achieved (with the buyer intending to use the company as its vehicle for growth in the US, and with long-term acquisition in mind). Industry and foreign currency changes resulted in the long-term plan being abandoned by the acquiring entity. Assisted the owner in structuring a valuation and redemption of the original investment and in planning for the sale of additional operations of the company.

For more information about Advent’s Succession Services, call 1.800.726.7985.