The company is a distributor of niche electronic cabling products based west of London. It was founded about 20 years ago, had 4 employees and although consistently profitable with a strong balance sheet, had not grown significantly in recent years.
The owner – in his 50’s – recognised some time ago that in order to realise his ambitions to exit in a few years’ time, he needed to increase the absolute level of profit, and therefore he needed to scale the business up.
He attended a one year growth programme at a well-known business school, and through that was introduced to EFM. He was concerned at his lack of management experience and dealing with the inevitable problems of fast growth.
Nick Harding was asked to mentor the owner, meeting him for a day most months. After a series of initial meetings, it was agreed that it was perfectly possible to triple the size of the business within three years. The company was a small player in a large market, with an excellent reputation for customer service.
Plans and budgets were therefore put in place to expand the sales and marketing operation, to bring production in-house and to develop a professional management team. In addition, the company recognised the need for improved management information and a proper quarterly forecasting model.
An experienced finance manager has also been employed to be hands on and help maintain the company’s profitability and support the business owner in achieving his vision of scaling up the business. This new addition to the team was sourced, interviewed and placed by EFM’s new recruitment partner.
The company is now at the implementation stage, has already beefed up the sales team, boosted its marketing programme and has an embryonic production facility. Sales have started to accelerate, and management are confident that the goal of tripling the size of the business, and its value, within three years will be met. Nick will continue his involvement on a monthly basis to advise on issues as they arise.