If the results of the 20-Day Proactive AssessmentTM indicate a need for assistance in getting the company back on track, Newpoint Advisors offers the 100-Day Turnaround. During the more involved 100-Day Turnaround, Newpoint will uphold our policies of set timelines, fixed cost structures, and clear deliverables. We define all aspects of the engagement at the outset so there are no surprises to your staff or checkbook. The major components of the 100-Day Turnaround include:
Detailed Project Task List
Based on the appropriate strategic alternative as determined in the Assessment, Newpoint and the client collaborate to define a 100-Day Turnaround plan. The plan is segmented by functional area and includes project tasks, timeline for completion of each task, task assignments by title and individual, and deliverables. Progress toward goals is measured each week and updated in the master project file that is shared with everyone working on the project.
Financial Statement Review and Benchmarking
Newpoint will set targets based on the benchmarking conducted in the Assessment, and track performance vs. targets on a monthly basis during the 100-Day Turnaround phase. Using our proprietary Turnaround Action Matrix Evaluation (TAME)TM, we jointly build a budget and structure for reasonable financial and operational tracking on a long term basis. The infrastructure of a plan put into place, and we share best practices on how to manage it going forward.
The 13-Week Cash Flow Forecast
The forecasting model developed in the 20-Day Assessment is used as an operating budget during the 100-Day Turnaround. On a weekly basis, we compare budget to actual cash flow, and make adjustments to the forecast as necessary given changing circumstances. We train corporate staff on how to use and update the model. We have consistently proven a well functioning small- or lower-middle market business is strongest when it clearly understands its cash flow.
Strategic Alternative Implementation
Based on the strategic alternative chosen in the Assessment phase, Newpoint works with the client to integrate the method into the above monthly and weekly plans of execution and monitoring. Because of TAME, we are able to drive timely and cost-effective resolution towards the alternative that provides the best value for the company and its stakeholders.
During the 100-Day Turnaround period, we proactively communicate with select stakeholders on our progress. We present a clear picture of the company’s progress versus our goals, promoting clear communication and cooperation with the client and lenders. We also provide the client with new tools to continue to communicate with lenders when Newpoint’s work is done.