Project Description
TAC Worldwide
Issue
- Inherited a money losing $800M staffing company with mission to sell the company within 3-4 years
- U.K. company was technically in default
- U.S. company had numerous money losing customer accounts and weak product lines
- Management was long-time entrenched and in disarray
- Founder/owner wanted to sell company and retire
Solution
- Quickly achieve cash flow stability and refinance UK subsidiary
- Rebuild business model by dramatically reducing overhead (over 40% headcount reduction) and eliminating unprofitable customers
- Refinance US company and create funding capacity for restructuring and new growth
- Develop new product and marketing strategy
- Reposition brand
- Rebuild balance sheet to facilitate acquisitions and organic growth
- Acquired 26 companies (“bolt-ons”) and integrated without any overhead increase
Result — Business Restructuring and Transformation
- Positioned the original company for sale after 3 years
- Successfully completed sale at 15X EBITDA
- Gary DeCamillo was recruited to run the successor company by new owner
- Grew successor company by 13% compounded over the next 3 years
- EBITDA grew 300% from $12M to $45M
- Company was successfully sold again by parent