With over 30 years of experience in providing solutions for businesses from Micro to listed entities, the team at Biz Dr can provide solutions for business owners, stakeholders and government agencies whenever there is an obstacle in the way.
During the life cycle of any business there will be hurdles that need to be dealt with. Business owners, lenders, suppliers, customers, financiers and shareholders all can be involved or at risk when these issues arise.
The team at Biz Dr help all of these interested parties face those obstacles and provide an in-depth analysis and assessment of the obstacle and the impact it has on their interest.
Then, Biz Dr can provide a solution to the problem and either directly assist in providing that solution or provide a strong connection to a specialist service provider. Either way, Biz Dr guides and assists the client overcome the issue so that their interests are protected, preserved and their pathway to recovery is clear.
XYZ Pty Ltd has a business which operates in the hospitality & leisure sector. At the beginning of Covid-19 XYZ identified that the impending government shutdowns could impact them to the point where they may need to dramatically make changes.
The owners of XYZ had recently purchased a separate restaurant on top of their existing café. Biz Dr was able to undertake a comprehensive business health check initially and then conduct a strategy meeting with their existing advisory team including their external accountants, bookkeepers, lawyers and all of their business owners (silent and active).
As a result of this strategy meeting, a business recovery plan was established and was immediately enacted. As a result, negotiations with the landlords of both premises were successfully held and the principal lenders were able to be provided with accurate information to enable a medium term extension of their facilities (until March 2021).
The core business was prepared well to deal with the onset of Covid-19 restrictions and was able to maintain sufficient business cash-flow to maintain employment of 50% of the staff and increase their gross profit during the period.
Since the easing of the restrictions has commenced, Biz Dr has been able to assist the business identify growth opportunities and implement that element of the overall business recovery plan. Co-incidentally, the resulting cash position is strong and the prospects for the business for the remaining part of the pandemic and beyond are high.
As a result of the Covid-19 restrictions, a lender who is based outside of New South Wales needed to have a quick assessment undertaken as part of a pre-lending review. Biz Dr was able to be engaged and on site with short notice so as to allow the lender to make a decision much quicker than first anticipated.
Biz Dr’s thorough health check process identified that the prospective lend was sound with the risk grading no greater than expected however, the client (borrower) felt that they were benefiting from some insights into their business which could not have happened without the engagement by the prospective lender. As a result, the borrower has implemented some change within their business which has assisted in not only reducing the risk grading but the lender has agreed to reduce the interest rate accordingly without the business owners expecting them to do so.
The prospect of the borrower sticking with the lender is now quite strong and the lender has been referred a number of potential other businesses for consideration for new loans. Therefore, the experience enjoyed by both the lender and the borrower from the services provided by Biz Dr has been far beyond expectations.
In July 2020, ABC Pty Ltd engaged Biz Dr to provide advice around a transaction which they were keen to enter into. They were already negotiating a value on the business which they were keen to purchase but were unsure as to how to articulate their argument that the business was not worth the price which was being asked.
Biz Dr was able to undertake an external assessment of the business by using the business health check process and provide a report to the board of ABC Pty Ltd as to the various factors that could assist in their negotiations.
The evidence gained through the assessment process was strong and enabled the board of ABC Pty Ltd to strongly argue that the price being asked was profoundly overstated. Further, the entity being purchased was actually potentially unstable as a result of evidence illustrating that an employee was in fact competing with their business which was eroding their value.
As a result, the transaction was successfully completed with the value of the transaction being far more than eventually expected. The rogue employee was terminated during the process and is now subject to litigation albeit the insurances held will provide compensation for the economic loss sustained.
We had concerns for a while but Biz Dr was able to pin-point them for us and we could then get a resolution.
We couldn’t get to the business to see it live due to Covid-19 border restrictions. Biz Dr was able to conduct our quick assessment for us and we felt more comfortable.
We didn’t understand how much our employee was taking out of the business but Biz Dr was able to investigate and provide us with a report. We sacked her and reported her to the Police.
We knew that the industry was at risk but getting Biz Dr to do a mid-term review helped us encourage the customer to find alternative funding long before they couldn’t.