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Creative Company Turn Around

Companies can get into financial trouble because they no longer have sufficient cash flow to meet their ongoing obligations; their debts and/or expenses become unmanageable. Businesses may start cutting certain costs such as staff and advertising without understanding the ramifications of their actions which can create even larger unintended problems for the company. Farias-Jett can analyze the different aspects and components of company expenses, make recommendations on changing the structure, how the product is delivered and provide tools to increase revenues as opposed to cutting costs.

Also, a business may believe they are not making enough money on certain sales because the profit on those sales is only 20% while their operating expenses are 60% of the total sales. So the company stops filling those particular orders thinking they are losing 40%. The reality is if they were filling 50 orders a day making $10 on each, they have taken $500 a day out of their profit to pay for those operating expenses because they thought they were losing money. But by doing this they have potentially cost themselves $100,000 a year in losses thus having an adverse effect on the bottom line for the company.

We have also taken extraordinary measures to rescue financially troubled organizations on the brink of ruin. Example: Farias-Jett resuscitated Adhesive Software in Austin, Texas by trimming operating expenses to less than half, stabilizing customer loss rate and employee attrition, negotiating and restructuring ownership with investors and shareholders, raising millions in venture funds and attracting top-notch talent to the organization in product and business development, marketing, sales and technical services. The rejuvenated company soon became valued at $60,000,000.

For more information on our Company Turn-Around successes please click here.