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Turnaround Services
EMG uses a 5-step process to address and help distressed companies turnaround their businesses. These five steps are:
- Understand and assess the company’s historical and current business strategy, focusing on the how it spent cash and deployed its capital in support of the strategy.
- Reduce costs immediately, facilitating the often painful decisions and operating changes that will cut back on cash outflow NOW.
- Focus on customers, markets, and/or products with positive profit margins or which contribute substantially to covering fixed overhead, eliminating as soon as possible those that take away from positive cash flow.
- Control cash, ensuring that cash is used wisely to maintain operations and to support the turnaround effort, keeping in mind all financing covenants.
- Lead the Change Effort for management, who generally find it difficult if not impossible to overcome the fear of the unknown and the fear of loss, helping management to recognize that the consequences of losing the business are worse than the fear.
Wind Down Services
Once a company has decided to cease operating, EMG Consulting can help with the wind down process. There are still generally collections to be made, debts to pay, assets to be disposed of, and banking and lease arrangements to be closed out. EMG Consulting can help facilitate all of these necessary items, as well as others, to ensure that the company is wound down properly, while maximizing return on collections and asset sales, while being the middle man to help facilitate debts and banking issues.
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