Negotiated end to personal guarantees
- A multi-generation family-owned manufacturing company, a union shop, had experienced significant, increasing losses for three consecutive years.
- The Company’s lender was threatening to shut them down.
- Operations were almost totally out of control.
- The elderly majority shareholders were afraid that the lender would pursue their personal guarantees.
- Family members were at each other’s throats.
- The Board of Directors hired Renee based on the recommendation of a family friend, an experienced bank executive.
- Within 12 months, profits improved from -27% to +4.4%.
- Gross margin improved 300%.
- Operations were significantly improved.
- The company obtained new funding at favorable rates.
- Renee successfully negotiated removal of the personal guarantees.
- Cordial family relationships were restored.