Client Overview
A client of Johnson Consulting Group (JCG) sought to enhance profitability and the value of their business. With JCG’s guidance, the client implemented strategic operational and financial tools that significantly boosted their business value.
Challenges
Initially, the client’s business EBITDA was $2.6 million. However, the client recognized the opportunities for substantial growth and sustainability in their financial metrics to increase the business’s long-term value.
Solutions Implemented
The JCG team took a tailored approach, deploying internal tools and consulting methodologies to drive measurable improvements. Key steps included:
- Financial Analysis and Benchmarking: Conducted an in-depth business assessment and identified key areas to drive up profitability.
- Strategic Planning: Formulated a strategic plan focused on optimizing the workplace, reducing unnecessary costs, and enhancing revenue streams.
- Performance Tracking and Adjustment (JCG’s Survey and Sales Analysis Software): Implemented consistent performance tracking to ensure that every adjustment contributed positively to the client’s business profitability.
Results
The outcomes were notable:
- Enhanced EBITDA: The annual EBITDA improved from $2.6 million to $3.0 million, a 15.38% increase as a result of the solutions implemented.
- Increase in Business Value: Within this first phase of implementation, the client’s business value rose $3 million based on a conservative industry EBITDA multiple.
Conclusion
Through Johnson Consulting’s expertise and the deployment of targeted tools, the client achieved measurable growth and value. This case study exemplifies Johnson Consulting Group’s ability to deliver significant return on investment when compared to JCG’s costs to implement.