Musical Instrument Retailer
Service:Chief Restructuring Officer
Company:$180 Million Musical Instrument Retailer
A regional musical instrument retailer was in financial trouble due to underperforming regional locations and unorganized leadership.
Focus Management Group was hired as Chief Restructuring Office by the Company to overhaul its operations and lead a turnaround.
The Focus team undertook a comprehensive “top-to-bottom” restructuring, which included:
- Redesigning incentive compensation programs
- Strengthening leadership at both the corporate and store levels
- The closure of unprofitable locations
- Marginally profitable stores were returned to profitability via a new merchandising strategy
- Mail order distribution costs were significantly lowered
- As a consequence of Focus’ actions, positive EBITDA was restored and the Company was successfully sold to a national music retail chain