This is a sad story about the decline of a small town manufacturer. When the economy went into recession, the company contracted from $6MM to $4MM and became unprofitable.
The owner hired a broker to sell the plant. A year passed without any offers from any qualified buyers. Another broker was hired. Of course, by now, the ‘for sale’ issue was universally known throughout the town and morale plunged. Know what else plunged? Business. Being ‘for sale’ is not a great position to have when trying to land new clients. Their revenue contracted further to $3.5MM. They became more unprofitable.
That year also passed with no offers from qualified buyers.
So the owner hired a third broker. And lo and behold….
…nothing happened. Well, morale got worse.
Now things were desperate. The owner cast about for any ideas that could be tried before they fell into bankruptcy. Someone in her network told her to call Mike at the Packard Group.
This is a happy story about last minute heroics.
The Packard Group uses a propriety process to research, find, contact, and draw into conversation … candidates that perceive high value in a piece (or pieces) of the puzzle.
In this case, Packard brought in multiple offers from qualified buyers that resulted in a transaction within 6 months of engagement. The buyer was another manufacturer that could benefit from the workforce and capacity for expansion. This kept the facility open, the employees working, and the business paying local taxes that benefited the entire community.
Morale rebounded. The company was, and now still is, a primary employer in town.
The moral of this story? Hiring brokers just made the owner broker. Hiring Packard made the owner better.