Work with Distressed or Failing Businesses
By: Robin J. Elliott
When I was approached by the frantic owner of a failing business in 1995, we stood back and rationally analyzed the situation. By leveraging the Hidden Assets in the business, getting rid of unproductive staff and refocusing, we turned the corner and the business is still flourishing today.
You know that, when a business is in trouble, logic often flies out of the nearest cracked window and emotional choices rule the day. Yet this is could be an opportunity for you and the owners to benefit. Instead of simply closing the doors and selling off the inventory and equipment on a fire sale, look for the Hidden Assets in the business a sales team, intellectual property, customer database, unfulfilled orders, access to residual sales of consumable products and services, relationships, inventory, equipment, distribution and goodwill. These could be converted, with little or no upfront costs, to windfall profits and ongoing income for both you and the owners of the distressed business. You could possibly establish a lucrative, win/win Joint Venture that leverages these Hidden Assets by adding your own distribution, inventory piggy-back or other resources.
The key is finding an open-minded business owner who realizes that he needs help and is mature enough to get his ego under control. Make sure you have adequate contractual protection and be prepared to negotiate. After all, youre in a position of strength and you can often turn a seemingly bad situation around.
Smart business owners know that its wise to talk with objective experts when theyre panicking about cash flow. I know I have had occasion to regain my perspective and regroup when I did so in the past. Together, we can do amazing things.
About Robin J. Elliott
For more than 19 years, Robin J. Elliott has worked with thousands of businesses in over 49 industries across the United States, Canada, and Africa. He specializes in helping small business entrepreneurs build wealth and gain access to new markets and profit centers through Joint Ventures. Through his Joint venture Seminars across North America he has thought thousands how to create increasing, multiple streams of income without cost or risk and very little time.
Get Robin J. Elliott's FREE: "How To Grow Serious Wealth Using Joint Ventures" Mini-Course, and The Prophet of Profit e-Zine along with video blogs, world class articles, free video, and access to top Joint Venture Partners at http://www.jvwisdom.com
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