Case Study:
Specialty Furniture Importer
Restructured and implemented cash flow efficiencies for specialty furniture importer
Harney Partners was engaged to improve the reporting of the cash available to an established specialty furniture importer that supplied furniture to big box retailers. In 2021, following the COVID-19 pandemic, the company’s suppliers in China and far east Asia were unable to meet supply demands. These orders arrived late in early 2022 causing the company to have decreased demands and a significant operating loss in 2022. The lender, a large national bank, notified the company of covenant defaults and restricted the funding available to the company.
The Solution
Assessed organization's finance and overall operations
Created and implemented 13-Week cash forecast tools and methodology
Improved the lender and Company’s visibility to their cash situation and identified areas to cut cost and better realize working capital efficiencies
The Results
Increased visibility into accurate and predictable financials
Improved company's cash flow performance and the lender has renewed its line of credit with the company
Services & Roles
Turnaround and Restructuring
Financial Advisory
Restructuring
Workout
*Some engagements may have been performed by team prior to joining Harney Partners.
