“For a successful turnaround of financially troubled businesses, there are usually two obstacles to overcome,” says the Seattle management consultant on his business portal, http://www.bizcoachinfo.com.
“The two obstacles include the ego of the business owner or CEO, and poor advice by the lawyers,” writes Mr. Corbell.
Mr. Corbell says it’s difficult for a business owner or CEO to accept the need for a turnaround specialist.
“Most often, they’re in denial about the company’s prospects or they don’t believe an outside participant can come to their rescue with restructuring services,” explains The Biz Coach.
As for attorneys, he says many have tunnel vision.
“Not to be gauche, but they only see what’s at the end of their noses,” he believes. “They’re more apt to insist on filing bankruptcy to protect assets because they don’t have the capacity to see the big picture when there’s hope for success.”
From his experience, Mr. Corbell says bankruptcy might appear to be a logical recourse to hold off creditors, that’s not always the appropriate course of action. He explains most attorneys may know the legal profession, but they’re not expert in management and marketing.
“A turnaround can succeed if it’s handled quickly and by giving the turnaround specialist complete autonomy,” asserts Mr. Corbell. “But that’s the hard part for turnaround consultants – dealing with the egos.”
Mr. Corbell says the easy part is knowing what to do.
“The advisor will need to improve the company’s cash position with 13 basic steps, which he explains at http://www.bizcoachinfo.com/
In a related column, he explains more management strategies for a successful turnaround at http://www.bizcoachinfo.com/
He details financial step-by-step solutions at http://www.bizcoachinfo.com/
His portal, The Biz Coach, provides countless business-coaching strategies: Planning, Operations, Marketing/Sales, Finance, Tech, Public Policy, HR, and Wall Street.
Plus, it has informative news videos: World, U.S. Business, Economy, Markets, Health and Sports.
All columns and videos are free.
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Seattle Biz Coach Terry Corbell is a business-performance consultant and profit professional. As a longtime media columnist, he publishes performance-