Following are a few representative case studies of the work that The Stephen-Russell Group has done for our clients and the results that have been achieved.
Client Profile
The minority owner (and his legal counsel) of a major, privately held West Coast technology staffing company with more than $48 million in annual sales.
Client Challenge
This client was faced with the challenge of understanding and coping with the financial and career implications of an impending sale of the company, which was being pursued in a hostile and secretive manner by the majority owner.
SRG Solution
Stephen Grant was engaged to conduct a thorough assessment of the firm's operations and the practical application of the provisions of a buy-sell agreement that had been created at the time the owners purchased the company several years before.
Results · It was discovered that the buy-sell agreement gave the minority owner first right of refusal on any arrangement involving the sale of the company. · After negotiation and due process, the client received in excess of $6.1 million for his portion of the company. This exceeded by approximately $4.5 million the amount the majority owner had initially led him to believe he would receive as a result of the sale. __________________________________________________________________________________ Client Profile Client Challenge SRG Solution Results __________________________________________________________________________________ Client Challenge SRG Solution Results __________________________________________________________________________________
Williams & Connolly, LLP, a major
The client was retained by another major law firm, to represent them in the defense of a $74 million dollar legal malpractice suit brought by a staffing company. Williams & Connolly legal staff needed to acquire an in-depth understanding of staffing company operations in order to assess the case and prepare a suitable defense for their client.
Stephen Grant was engaged as an expert advisor and witness to conduct a thorough assessment of documentation and deposition testimony related to the plaintiff company's operations history and conduct of the business. After extensive study and review, deposition testimony was rendered and an expert opinion paper was prepared.
· The matter was settled in favor of the firm represented by Williams & Connolly.
Client Profile
A privately held
This client was faced with the challenge of increasing their marginal bottom line profits on operations which generated better than industry-average gross profit. They needed to understand where they could optimize their operations and gain better control of their indirect expenses in order to increase short-term profitability, along with positioning their company for eventual sale.
Stephen Grant was engaged to conduct a thorough assessment of the firm's operations. Because the owners devoted much of their time to selling and business development, the internal employee base had become overly large and inefficient. A plan was developed whereby reassignment of internal personnel and the addition of an Operations Manager would result in a significant reduction of overhead labor cost and increased operational efficiency. Additionally, several recurring indirect expense items were identified which could be reduced or eliminated entirely. A business development professional was hired to support the owners in client development activities.
· In the first 6 months after operational changes were introduced, profitability increased from less than 2% of sales to over 9%.
· An operational structure was created that fully supports the owners' business development activities and which will ensure the perpetuation of the business when the present owners decide to sell the company.
