| Equiteq launches Profit Growth Accelerator
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| | Mergers and acquisitions (M&A) advisory firm Equiteq has launched a new strategic planning tool for business owners in the consulting industry.
The Growth Accelerator provides owners with an achievable profit and cash growth plan and, if they are looking to sell their firm, an equity valuation and market risk assessment to ensure a successful M&A transaction.
Equiteq managing partner Paul Collins(pictured) said that, with the economic market tightening, canny consulting owners were looking for tried and tested ways to optimise | |
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So, how does it work? He added: "The Profit Growth Accelerator is an online knowledge tool built on our years of experience growing consulting firms. The first stage ascertains the financial objectives of the owner or management team so that we can make the outcome relevant; we then collect a lot of company data and information to feed into the Profit Growth Accelerator and benchmark the company against best practice before analysing the output to produce a financially quantified growth plan.
"We benchmark every firm across eight key drivers of value, and 80 | |
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| | operating metrics and key performance indicators (KPIs). Owners will find out exactly where their biggest opportunities lie to increase cash and equity value over the next year, normally in the range of 10% to 40%. Also, if they're looking to sell their firm, it helps ensure a successful transaction and higher deal value."
The science behind the Profit Growth Accelerator is tried and tested in the industry. "We grew our former firm WCI Group from £4m to £63m using this system,” said Collins, “and since then we've deployed it successfully in many other consulting firms. | |
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| | Plus, because we work with M&A buyers all the time, the system is always up to date with what they tell us they want in a consulting business with assured future profits."
Equiteq client Gerrie Aldag from specialist SAP consultancy Innogence said: "We already have a successful and growing firm, but wanted to understand what best practice was. The Profit Growth Accelerator was brilliant at building a roadmap of management priorities for the next year and pinpointing the precise KPIs that would make the most difference to our profit growth. It was really worthwhile and | |
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| | their firms' profit and cash flow performance.
Collins said: "The Profit Growth Accelerator can help owners and partners anywhere in the world to achieve three very important outcomes: more cash for them, more profits for the business AND greater equity value when they exit."
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