CGF adds business rescue services with new appointment (2014-08-04)
March 17,
2015 6113 6113 
We are pleased to announce that Jenè Palmer has been appointed as a Lead Independent Consultant within CGF Research Institute (Pty) Ltd, and where the company is now able to offer professional Business Rescue and Turnaround services to its growing list of clients.
Palmer has practical experience in implementing business rescue and turnarounds and attributes her success in this area to her keen appreciation for strategy, as well as open and honest communication with all stakeholders involved in the process.
Palmer is a Chartered Accountant (SA) who has garnered a wealth of experience over the last two decades in the corporate environment, including leading a JSE-listed ICT company as its CEO and returning the company to profitability. Palmer geared the company for an acquisition in order to achieve the goal of turning it into a Billion Rand organisation.
Palmer’s areas of additional expertise include board and executive leadership, strategy development, financial management and business optimisation. Her passion lies in assisting companies to reach their full potential and overcome the challenges posed by an economic downturn, weak strategic direction, operational inefficiencies or financial distress. In the current economic climate, there are many businesses that suffer as a result of varied and unexpected factors and which may be caused by, inter alia; unsuitable financial structures, sudden regulatory changes or poor product/service performance in the marketplace. At this point, many business owners may realise that they are in need of a business rescue or turnaround strategy, but do not always know where to begin. Most often the aspects that make the process intimidating are closely linked with the areas that need the most work. These include strategic intent, legal and regulatory concerns, debtors and creditors, asset assessments, diminishing or non-existent capital, waning profits, inappropriate cost structures and poor governance and operational systems.
Professional assistance
Through CGF’s newly acquired specialist Business Rescue and Turnaround services, companies may now also benefit by:
- obtaining an unbiased, external review of the company's business plans in order to determine whether or not the organisation's future strategic and funding requirements are aligned in respect of the current market and operational conditions (as well as historical business performance).
- developing alternative business plans and highlighting options available to shareholders and executive management required to reclaim and re-build the business (while maintaining sensitivity towards the company’s existing staff and the skills, assets and resources).
- assisting the company with the implementation of revised business plans including the establishment of growth drivers, negotiating with creditors, facilitating the possible sale of assets or discontinuance of a division and/or product line.
It is important to recognise the need for early intervention and a possible business restructure when the first warning signals emerge. This is because most companies will still be economically viable in the early stages of ‘stress’ detection and there is a higher probability of successfully turning the company around. In terms of the Companies Act 71 of 2008, Boards are required to monitor and manage risk. This includes evaluating whether or not the company is a “going concern” and that it is able to meet its obligations as and when they fall due. If questions arise around the company’s liquidity, which includes any uncertainty as to whether or not the company will be able to pay its debts as they fall due within the next six months; the Board is obliged to consider placing the company into business rescue.
