Company: Manufacturing business
Industry: Food
When: March 2015
Why did you seek intervention?
The business was not making the projected levels of revenue, due to the distributor's focus on other priorities. As a result we decided to remove the exclusivity clause in the distribution agreement and open the distribution to other distributors, to which the original distributor reacted with a winding up order. We engaged BMIM Cash flow to help us save the business and enable it to continue operating.
What was the outcome of the engagement of BMIM Cash flow?
increased the gross profit margin from 45% to 55% (22% immediate uplift) by outsourcing the manufacturing process
changed the business priorities - introduced new products, upgraded the existing ones
focused our limited resources on business development - 60% revenue increase in 12 months period
Recommendations
Without BMIM Cash flow we would carried on borrowing as we were not making enough money to meet our commitments. BMIM Cash flow were able to provide solutions on the spot and help us implement them successfully. Their ability to drive transformation gave us the confidence we needed to turn the business around.
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