Cost optimization
In many companies the costs of materials and services represent more than 70% of the selling price of the product or service. Therefore, the price- and quantities-control is the key importance for achieving business success.
For the successful control it is necessary:
- to establish a proper management of material business which includes appropriate structure of recording data in an information system;
- data structure should be as transparent and must allow access in both, prices and quantities of the elements used as specific items such as, number of covered kilometers, type of packaging, etc.;
- by finding the optimal level of costs, a number of strategies is possible, depending mainly on the situation of sector in which business operates.
Business plan
Do you have promising business idea, but not enough knowledge to realize it or write it down? Well-designed business plan shall provide information to different stakeholder groups:
- gives information about the possible repayment of loans borrowed to creditors
- allows cooperation with known customers and suppliers
- represent the key factors for ensuring the profitability of invested assets, etc.
Financial reorganization
For the purpose of compulsory composition we can make:
- a plan of financial reorganization (business evaluation)
- ranking of claims into the creditor classes,
- the allocation of voting rights
- amend the Capital
- future business forecast
Advice in incurring debts
Private companies as well as public legal entities are aware of the positive effects of using financial leverage but often do not give enough emphasis to the very process of obtaining financial resources.
It is essential to obtain competitive bids, which can significantly vary from one creditor to another. For illustration take a look at the credit with maturity of 5 years and 6-month moratorium, given the different levels of principal and interest rates.
| Interest rate in % | Loan Amount (v EUR) | |||
|---|---|---|---|---|
| 50.000 | 100.000 | 500.000 | 1.000.000 | |
| 3,50 | 5.304 | 0.609/td> | 53.044 | 106.088 |
| 4,00 | 6.083 | 12.166 | 60.829 | 121.658 |
| 4,50 | 6.867 | 13.733 | 68.666 | 137.331 |
| 5,00 | 7.655 | 15.311 | 76.554 | 153.107 |
| Interest gap | 2.351 | 4.702 | 23.510 | 47.019 |
Although the interest rate is a key factor, we can not neglect the other factors such as the terms of repayment, etc.
Depending on your needs we can create the optimal structure of financing sources, which includes selecting the most appropriate source (credit, financial or operational leasing, resources from EU funds), as well as obtain the most advantageous offer.
Financial Due Diligence
Due diligence enables the potential buyer to be aware of the key risks of the company.
Identified risks enable attaining optimum value for the investor, who may be a strategic buyer, seller, investor, lender or other interested parties. Customers are interested in items such as key business risks, obligations, which may render the transaction, elements associated with the determination of the contract price and terms, long-term liquidity, and similar.
Evaluation of companies
Assessment of the value of companies is gaining on importance in Slovenia. The reasons for this lies both in the establishment of legislative frameworks which allows transactions upon market principles, protection of small shareholders as well as the increase of activity in the area of acquisitions and mergers, managerial buy-outs and withdrawal of the State from the economy.
Our services include implementation of evaluation irrespective of the purpose of the transaction:
- sale of business share
- statutory transformations
- managerial buy-out (MBO)
- financially leveraged buy-outs (LBO)
- acquisitions and mergers, et al.