Crunch response: Supporting senior management through tough times

This time it affects everyone

Almost every business is now facing tough times – extremely tough times. Trading is difficult, cash may be tight against the available facilities, and it is almost impossible to forecast with anything like the degree of accuracy that management were previously dependent on. Most boards are therefore focusing on doing the right things with a heavy emphasis on managing the short term very tightly – a focus on the profitable core, costs are being cut to fit the top line and cash has become the king once more.

Everymind specialises in helping Finance to succeed. In these extraordinary times, what we are finding is that the finance function is under more pressure than ever before. There is an increasing thirst for financial information as shareholders, lending banks and senior management try to understand and then manage the impact of the current economic circumstances on their business.

Unfortunately, many finance functions are showing signs of collapsing under the strain at a time when their services are most needed. The ever increasing demand for financial support is exposing those departments with weak systems, poor processes and inexperienced people who find it difficult to relate to and respond to the current dynamic environment.

Businesses may also be suffering simply through to too few people in the finance area. In recent years, there has been a great emphasis on maintaining lean back offices. So, rigged for perfection they may have been but also totally unsuited to massive spikes in demand for information.

We are here to jump in and help

Everymind is here to help management and their finance teams work this problem – however long it might take. We are experienced finance professionals who have worked at the highest levels – we have done this in an executive capacity. We have managed cash through crisis, we have been part of leadership teams who have taken significant costs out and we have built and critically appraised literally hundreds of business plans and financial models.

We work exclusively for the company and are ready to help.

What we do

As always, every situation is different. The following highlights where our support is most in demand at the moment:

Immediate operational help

Implementing 13 week rolling cash management reporting systems.
Working with senior management to ensure cost cutting programmes result in real and measurable savings.
Working with senior management to implement working capital reduction initatives.

Build credible plans

Running planning sessions to generate and prioritise the options available – including restructuring, disposals, investing in core activities etc.
Providing constructive challenge to management’s thinking based on market conditions, an understanding of business valuation and likely matters arising from an Independent Business Review (IBR). This would include ensuring plans join strategy to credible action.
Building robust, integrated financial models with the flexibility to support scenario analysis and meet the needs of shareholders and lending banks.

Succeed – right capital structure, incentivised management

Manage the company’s relationship and response to lending banks should the situation demand. This would include supporting the business through an IBR commissioned by the lending bank.
Negotiate directly with the lending banks to re-set covenants or, if necessary, the capital structure of the business liaising with all funders to set the best capital structure for the business as it goes forward.
Prepare the business plan presentation advising and coaching management on its delivery (e.g. to lending banks) so that the chance of success are maximised.

A typical 'crunch response - click here

Find out more

For an initial conversation, call or email:

Simon Hill

m: 07808938213

e. simon.hill@everymind.co.uk