As many of you know, I have merged Genesis Turnaround with Crestmark Bank. Crestmark is an Asset-Based Lender. Many of their clients have significant challenges and need help. My job as Vice President of Client Services is to help these clients in any way I can. This will involve cash management and operational assessments. This is not traditional turnaround, but is instead more of a helping hand.
If you or any of your colleagues need debt restructuring of accounts receivables, machinery and equipment, inventory or real estate please feel free to contact me. I am sure we can help you meet your financial lending objectives. If Crestmark cannot provide the funding you need we have many relationships who will be able to help.
Genesis Turnaround will continue to exist for the purposes of commercial real estate brokerage.
My new contact information is as follows:
Scot R. Lund Vice President Crestmark Bank email@example.com Direct: 248.267.1628 Cell : 248.701.4581
Last year I was the guest on a business talk show on Fox News business WAAM radio 1600AM in Ann Arbor, Michigan. The name of the show is "It's Your Business, Make It Happen." In the show we discuss the challenges of troubled companies, as well as important advice for healthy businesses. The show ran around 45 minutes. We discussed common problems within troubled companies and how they can help themselves. We also discussed several other tools that would help any company become more stable and profitable. You can listen to the show at this link: soundcloud.com/genesis-turnaround/its- your-business-show
If your business requires services from another business, then it is important to make sure both companies fully understand what they're getting involved in. There needs to be an agreement or "meeting of the minds." This "meeting of the minds" should then be transformed into a "meeting of the pens" or a written contract. The contract should clearly call out what both parties are responsible to complete, what both parties will not do, and have a detailed cancellation clause. This clause should be crystal clear. If a deal falls apart, and they will from time to time, you need to have a way to close out the relationship while avoiding costly legal fighting. These steps could save your company. Take the time to have your corporate attorney review your standard agreement that you use with clients. This can be a delicate balancing act. If the document sounds or looks like a giant legal document you may never get the order. You must work with your attorney to come up with a reasonable document. One that is easy to understand, and is as short as possible.
The last two years have been very hard on almost every segment of our economy. While we are seeing modest increases in production, problems seem to be far from over. Many economists believe we are going to see doubled digit inflation in the near future. With this in mind take this short quiz:
Have you reduced your debt over the last two years?
Do you have a plan to further reduce your debt?
What is your Debt Service Coverage Ratio?
Can your business afford 20% interest rates?
Can your company sustain another 25% decline in business?
Do you have a 12 month cash flow model?
Do you have a three year projected performance of your company?
If you are stumbling with the answers to these questions, you should start researching the answers. Do not make the mistake of burying your head in the sand. If you do not have a plan, it is time to formulate one. Tools like the ones listed above are excellent preparation. Regardless of economic outcomes, your company will come out healthier than most. If conditions do worsen, a well thought out plan can go a long way towards helping your company survive the next ten years.
A mentor once told me the secret to solving a company's problems lies in letting the staff help solve the problems. There is a new management book on the shelves, Traction. The book is written by an old friend of mine Mr. Gino Wickman. In the book Gino clearly breaks down a business into six areas. These areas are Vision, People, Data, Issues, Process and finally Traction. Each of these areas are vital to the growth of any company. In a turnaround situation, companies generally do not have any of these areas under control. In my opinion, the most important of these areas is Data. Without proper data you cannot begin the turnaround process. Without data it is hard to have a vision, to know what your issues are, and to know how your people are performing. Obviously, without these key components you will not be successful in a turnaround situation or in growing your company. Gino's book is well written with clear and simple guidelines. While the processes are simple they are far from easy to accomplish. Traction is a book well deserving of your time.