Company active in gardencentres

Issue:

The Company, which has grown into a chain of garden centres over the past decades, was facing significant losses caused by a combination of internal and external factors. In addition, the Company had made substantial investments in expanding its business activities and developing its online sales channel. Both initiatives turned out to be structurally loss-making, putting further pressure on profitability and liquidity.

Solution:

Based on a thorough market and benchmark analysis, it became clear that the Company had been unable to keep pace with market growth in recent years, and that its cost structure was significantly higher than that of its competitors. The analyses conducted by Beaufort confirmed the lack of perspective and, consequently, the need to restructure these loss-making investments. Based on this, restructuring scenarios were developed with the aim of restoring structural profitability. Based on the analysis and advice provided by Beaufort, the Company has implemented measures to safeguard its continuity.