Business Case Study - Water Restoration

Know what we can do for your business

Overview

This established water damage restoration company provided a stable income for the owner.

The owner was nearing retirement age and contemplated selling the company.

The value of the company was much less than needed for retirement, so they decided to engage EYW Advisors to help grow the company value prior to the sale.

Situation

The owner was not consistently building relationships that would generate business.
 
The business was highly dependent on the owner for daily operations.
 
The owner did not have adequate staffing to grow the business.
 
The business was not sellable due to owner involvement.
 
The sales were not high enough to generate the value they needed to retire or excess cash for investment.

Business Description:

Water Restoration Company

Objectives:

Grow the business to meet exit value for the owner

Timeline:

4 years

EYW advisors identified three main points that the company needed to address. They were:
  1. Business Development – Digital review to make sure people could find good content and favorable ratings. Determining the best contacts for the company to get more water restoration clients.
  2. Sales – Scheduling regular times for sale activities and communicating with potential referral partners and industry influencers. Coaching to make sales a consistent part of the business even when the workload was extremely high.
  3. Resource Development – The company had relied on the owner and a limited staff to complete the work. The owner needed to develop competent staff with additional crews to handle the fieldwork.
  4. Management – Measuring weekly performance to ensure profitable operations and happy customers. Process redesign to remain competitive with a drastically changing business. Delegating the workload and schedule coverage to team members. Coaching to enhance the employee development and get key employee to take more ownership in their work.

Result

Sales increased to 3X+ previous annual sales
 
The owner used excess cash to invest in other opportunities.
 
The company value increase by nearly 10X.
The business and sales work development created a significant increase in the workload. The business sales increased to 3x+ as the word spread about the company performance. The owner hired additional full-time staff and was able to promote staff to job management roles. The revenue and profitability increases were 3X and 5X respectively compared to initial. The business owner is now able to meet their retirement goals easily with the outside investment and proceeds from the sale
of the business.
The owner received a 150X+ return on his investment with EYW to grow his business value.
 
 

Check out other case studies

Read how this owner received an ROI of over 16X on the work in only 9 months.

Find out how this company managed to exit its business for over 5X the original business value.

Read how this company experienced a 50%+ increase in profitability in a single year.