Case Study 4
Phoenix resurrection of a specialist IT business
A well respected technology company provided support and programming for an emerging technology platform, and had established a customer base in Banking and with specialised information suppliers. The company was on-track to break even within a year, with a positive future in view.
As the recession bit harder, the supplier of the technology platform withdrew from the market, leaving the company without a product, and with an investment in a now redundant technology. The company went into liquidation with little in the way of tangible assets and still considerable debts.
We re-examined the strengths and weaknesses of the business, including the experience of its technical staff. We identified an overlooked capability that had supported their earlier work; management of complex IT networks, and recognised that this activity could become a viable stand alone business. With an investment partner, it was possible to acquire the business and assets with key staff, and resurrect it as a phoenix business with the resources to grow. It went on to supply networking services to some of the earlier customer base and an increasing number of new customers.See Turnaround case study Back to Recession & Turnaround