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Merchandising Services Company

Spin-Off & Strategic Planning

The challenge permalink

Our client was a division of a larger business that received limited management attention. Despite its strong financial performance, the division was considered a non-core part of the larger enterprise—and when overall business began to struggle, cash flows were siphoned away from the division.

The Virtuoso approach permalink

We valued the entire enterprise on a sum-of-the-parts basis and discovered the division had been financing the entire business. Its higher profit margins provided an opportunity to spin off and operate as a standalone company.

In response to this analysis, we worked with the division to restructure its management team and developed a new go-to-market strategy. We also helped them add bench strength to their sales team and instituted incentives to mitigate concentration risk.

The results permalink

  • The division thrived as a standalone company
  • It now has a powerful position as a diversified player in its vertical
  • Put a management team in place that can see the business through to an exit

Now is the Time permalink

Virtuoso Strategic Group is a boutique consulting firm formed to deliver extraordinary value to its clients. We pride ourselves on alignment with the fortunes of our clients and an unwavering commitment to their success. We welcome you to start the conversation today.