Focus Management Group

Agriculture Industry Experience

Tree, Ornamental Plant, and Fruit Crop Producer

Company:

Situation:

A Company that raised trees and ornamental plants, as well as growing fruit crops, was comprised of over 100 growing and nursery locations spread over several states.

Focus Scope:

Focus was engaged to develop a weekly cash flow, a business plan by location, and a restructure strategy.

Tasks Performed:

  • Focus worked with the Company’s internal staff and outside accounting firm to complete a location based forecasting model which could be used to drive a weekly cash flow, and a budget to actual comparison using the established general ledger of the Company.
  • Focus also worked with management to develop a restructuring strategy involving a combination of sale of certain assets, conversion of specifically identified assets to other crops, a working capital line of credit, and additional borrowings – all to close the projected cash flow shortfall.

Results:

  • Focus has worked with the Company and its lenders to complete a global restructure of all debt. This case is ongoing, with final structures currently in negotiation. The Company has re-established credibility with its lenders by providing a detailed cash flow and business plan, and is able to use that plan to further the negotiating strategies.
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