Medical Supply Company

Previous position- Business at loss of $200K.

Declining medical supply company acquired from retiring family owned business owner.

The Owners Story

Managing Director took over the business after it went through a Voluntary Administration. Sustainable Turnarounds helped find working capital of $200K which a government investment grant matched, to purchase critical computerized manufacturing equipment. The short term business plan identified the critical product and market segments. A strategy was developed to maximise the value of the business with a view to selling it within three years to a number of potential willing buyers who valued the strategic advantage the business was able to deliver.

Action

Invested $200K and refinanced through debtor finance, Government R& D grant provided $400K.

This turnaround involved the deployment of a wide range of strategic initiatives:

Result

Profit of $70K in first year rising to $600K in third year.

Sold business for close to $3M to a New Zealand corporation!

Site by The Code house