123 Testing Company was established over 25 years ago by two shareholders, making it one of the oldest testing companies in the country. One of the co-founders had sold his shares 10 years ago, while the other co-founder had continued to run the business until he had to return to his home country for personal reasons. He asked his team to manage the business on his behalf, but in his absence the revenue declined year by year and the company hardly managed to break even.
Background
Issues Identified
The owner had tried but failed to sell his business for obvious reasons.
RSP found a buyer who wanted to create a foothold in that country. The key strengths of the company, such as talent, customer references and unique accreditation and approvals were identified and validated. A tailormade deal structure was completed in eight months. The owner received his money in full while the buyer has managed to grow the company to be recognized again as one of the main players in the country.
Issues Resolved
Conclusion
The skill in identifying a very specific buyer that was a good fit for the business was key, which was supported by identifying 123 Testing Company’s key underlying strengths. RSP's expertise in deal structuring and negotiation helped to ensure that both the buyer and seller were satisfied with the outcome.
From Struggling Legacy Business to Thriving Industry Leader