Company Restructuring
We specialize in creating company restructuring strategies and its implementation. Our support is based on a holistic approach, where we determine the reasons why a company is underperforming and define the measures possible given the context to turn the situation around. We support you with updating business strategies, followed by downsizing their business operations, reducing operational costs, enhancing production and supply chain processes, remodeling operations with the purpose to increasing profit margins and ensuring business viability and sustainability.
The main area of focus for turnaround and restructuring support includes optimizing organizational structures and operational processes, enhancing overall efficiency and effectiveness of the organization.
Operational Restructuring
- Company relocation within the same tax district, to a different tax district, or across cities/ provinces
- Company, factory and warehouse closures
- Internal process improvement, enhancing strategic, operational or financial turnarounds
- Asset sales, divesting non-core or underperforming assets to generate capital
- Inventory reduction, optimizing stock levels to minimize holding costs and improve cash flow
- Product line renewals and overhauls, implementing revamping or discontinuing product lines to better meet market demands
Corporate Compliance
- Business scope adjustments, processing changes or additions to the company’s authorized business activities
- Registered capital changes, increases or decreases in registered capital, including fund repatriation
- Capital injections, infusing new equity into the company to strengthen its financial position
- Facilitating direct or indirect transfers of shares within the Chinese subsidiary
- Shareholder Information Updates, processing changes in shareholder names or signatories
Transformation and restructuring support is highly tailored based on specific requirements, and influences from the internal and external environment. As a result, emphasis per individual element of our support differs per situation.
Organizational Assessment
Business Process Re-engineering
Financial Simulation & Scenario Planning
- Assessment of the organizational design and operating model for corporate restructuring
- Identification and analysis of processes
- Re-engineering of critical business processes and business remodeling for post restructuring and downsizing
- Design process improvements
- Train relevant personnel and implementation of changes
- Monitor results and refine processes
- Preparation of multiple scenarios simulating Profit & Loss and cashflow impact for the China based entity and group level
- Determining of liquidity required for execution of the restructuring, and post restructuring stabilization period
- Inventory of means to efficiently transfer cash into China to fund the restructuring
Human Resources
Management of External Relations
Post Restructuring Personnel Care
- Preparation and training of the human resources department for the executing arrangements pre, during and post restructuring
- Liaison with legal service provider executing the termination of employment
- Preparation of payroll, commission, and p-file information to be considered in termination of employment
- Preparation of information to be shared with external relations including key customers, suppliers and contacts
- Preparatory support for customer and supplier representation for personal meetings with external relations
- Organization of townhall meetings to be held directly post restructuring
- Stabilizing impact restructuring by providing after care support and being available for remaining personnel
- Support department managers with the organizational and functional design of their department functions post restructuring