Enpower

"Bringing in a part time FD from Secantor was one of the best business decisions we made. Our FD brought a real focus on the key financial issues facing the business as well as a sound strategic input into our decision making. Our Secantor FD rapidly became an invaluable member of our senior team. "

Background

The business is one of the UK's leading providers of vocational training programmes within the power generation and supply industry.

Prior to Secantor's involvement, key features of the business were:

  • The business had achieved rapid turnover growth over a six year period, following an MBO, but had lost focus on its cost base
  • The business lacked high level financial advice & support
  • The board & management team structure was top heavy with an inefficient decision making process in place
  • There was little accountability within the management team for business performance

Issues

Following the departure of their Finance Director, who was one of the original MBO team, Secantor was asked to take a part time Finance Director role in the business to help the owner/directors refocus the business for the future. The key issues facing the business included:

  • Over ambitious sales and income forecasts, resulting in missed profit targets
  • A lack of understanding of the true costs associated with running the various types of courses offered
  • A lack of quality management information to support the company's decision making processes
  • A lack of focus on cash flow

Actions

A Secantor FD joined the team on a part-time basis and introduced the following changes:

  • More accurate sales and income forecasts
  • A slimmer, more focussed management team was established with clearer accountabilities
  • Quality, timely management information
  • Management was provided with clarity to allow an understanding of costs associated with running the business
  • Financial coaching & mentoring was introduced to help all levels of management and staff obtain a greater level of understanding of the financial issues facing the business

Outcome

  • The business, having previously experienced a profits dip, achieved a major turnaround in its performance
  • Confidence in the business's future was re-established with the company's bankers
  • The business was successfully sold to a large plc

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