Situation and Objectives:
- Bill is 53 years old, the President and sole shareholder of a testing laboratory with $7 million in sales, with a healthy 25% historic EBIT.
- Although the business is successful by all financial measures, Bill is bored with the company and tired of running it.
- He has been restless, looking for other opportunities in and out of the business.
- He thinks the time has come to sell the company and move on to other interests.
- Bill was transformed back into a happy motivated owner...
- Bill and his team worked through a collaborative process to develop a clear vision for the company and a process to manage the company strategically. All key people (not just Bill) are now engaged and invested in the future of the company.
- A new incentive compensation program was created for managers to share the future value, reduce turnover and sharpen their focus on achieving the strategic goals of the company. This includes reducing Bill's day-to-day role.
- Contingency plans were also put in place to reduce the risk that the value of the business would be diminished upon the death or disability of Bill.
- Bill is once again enjoying the business, building long-term value and rethinking his retirement.