Acquisition and Mergers
We offer acquisition and merger support and walk you through the entire deal-making continuum, from strategy through to post-deal integration, steadily delivering innovative solutions that help add real value to the transaction.
Our situational expertise is complemented by industry and functional experts.
Buy side support
Our vast network allows us to access and utilise all the available resources.
Vendor support
Our supply chain management experience enables us to analyse and negotiate favourable outcomes
Execution of transaction
We provide a turnkey service from inception to successful closure of the transformation.
Business Rescue
Chapter 6 of the new Companies Act 71 of 2008 stipulates the formal requirements afforded to distressed companies in South Africa. This chapter of the act allows businesses in "financial distress" to file for business rescue and, with the assistance of a business rescue practitioner, reorganise and restructure the company with the aim of returning it to a more stable and profitable entity.
Pre-assessment
It is in the interest of all parties to perform a pre-assessment and to confirm that there is a reasonable prospect of success. With the increased rate of success of business rescue, the industry itself will also benefit in that only businesses that actually have a reasonable prospect of success will enter the process.
Practitioner Level
BusinessWorx retains a senior business recue practitioner status and therefore can undertake the rescue of companies ranging from any size.
Business Restructuring and Turnaround
A successful approach requires constructive engagement with all affected parties. Analysis and evaluation is of critical importance when determining the strategic intervention required and refocus the key fundamentals. A well researched, and practical restructuring plan is key to the successful design and implementation of the turnaround strategy. Our experienced and professional team offers unlimited support.
Turnaround
Taking the informal approach requires contact with the major creditors whose support will be required if the business is to move forward. A detailed explanation of the cash flow with a realistic time scale for the repayment of the debt will assist in obtaining the support of the creditor.
Key points:
- Plan the cash flow and monitor performance
- Keep major creditors informed of the situation to maintain support
- Review and adapt the plan as circumstances arise
- If the position does not improve consider other options
- Operational analysis
- Assessment of management skills
- Internal and external analysis
- Strategy
Pre-Packs
In pre-pack rescue, a contract of sale and purchase is drawn up, and the practitioners sell the business and its assets to the new owners. What this means is that the Business Rescue protects the company during the transaction and it is allowed to continue trading. The result is that there is no reduction in value through trading interruption. This normally low cost way of transferring a business in difficulty is often an attractive option.
Legal Debt Compromises
Debt compromises are synonymous with business restructuring. As a last resort to secure sustainability and or survival, entering into legal compromises may be unavoidable. Structured compromises are normally dividend based or may include a “claw back” settlement. All agreements are professionally drafted and legally binding to protect the interests of the affected parties.
Section 155
This section applies to a company, irrespective of whether or not it is financially distressed, unless it is engaged in business rescue proceedings. Note: this means that during the period of a s155 compromise being negotiated with all stakeholders, any creditor could apply either for BRP or the liquidation of the company. A compromise in terms of this section could not occur if business rescue proceedings are in force.
Capital Funding
Funding is the catalyst to entrepreneurial activity. There are various securitized funding models available to assist where needed. To obtain capital funding a comprehensive plan must be presented with supporting detail to the satisfaction of the lender. We provide the necessary expertise in preparing detailed funding requests and payback plans.
Patent Funding
Many innovative individuals have transformed ideas into functional realities, which may never attract the recognition it deserves. We offer our services and assistance to unlock the value of such inventions on a partnership or equity basis