We observe instances of Private Equity firms and large conglomerates acquiring small to medium-sized businesses known for their excellent products and expanding their reach to major retailers. 

Whilst this is great for the new owner sometimes it was not a happy transaction for the original owners and founders. Companies can hit cash flow and profitability issues as they grow to a size beyond the control of a few individuals.

The root of most problems lies in having underqualified personnel, making it apparent how the company has landed in trouble.

The pursuit of growth injects more volume and intricacy into a company. Employees initially tasked with minor administrative duties find themselves handling financial matters, and warehouse workers find themselves promoted to warehouse management roles.

This progression is not inherently negative, as these individuals likely possess a deep understanding of the business.

Nonetheless, ongoing development is crucial.

Recognizing the right moment to enhance your team's skills versus bringing in new expertise through recruitment is invaluable.

Indications that necessitate a reassessment of your structure, skills, or development include:

• Consistent late deliveries
• Regular delays in debtor and creditor payments
• Stock shortages
• Excessive spending on couriers
• Overburdened staff
• Frequent use of calculators (particularly outside the finance department)
• High overhead costs relative to Cost of Goods Sold (COGS)

Don't hesitate to reach out to us today to address any concerns you may have about your team. We are here to provide assistance.