Multi-Unit Franchisee Magazine Issue III, 2012 | Page 85
consuming, but also an overlooked opportunity to save money. In many cases,
once these services are put into place,
they often continue without audit or
renegotiation. The time constraints of
running the business on a day-to-day
basis often prohibit management from
looking into these situations.
Today, however, there are third-party
firms that can perform this task with no
up-front financial obligation to the business owner—just a sharing in the financial
A wellconceived exit
strategy starts
with thoughtful
planning.
savings generated from their activities.
They will research past invoices for errors
and pursue any recovery, and also competitively bid new services agreements.
Typical areas of focus include waste, insurance, utilities, worker opportunity tax
credits, workers’ compensation charges,
property tax and CAM charges, and telecom, to name just a few. The results can
be staggering. With some effort on the
part of management, a company can enjoy the financial benefits of a lower cost
structure and a significantly enhanced
valuation of the company.
A well-conceived exit strategy starts
with thoughtful planning, and requires
consistent and diligent execution of that
plan. Outsourcing of certain cost centers,
G&A management, and quantifying events
that have temporarily affected a business
are just a few ways a business owner can
position their company for maximum
value at exit.
Dean Zuccarello, CEO
and founder of The Cypress
Group, has more than 30
years of financial and transactional experience in mergers, acquisitions, divestitures, strategic planning, and financing in the restaurant
industry. The Cypress Group is a privately
owned investment bank and advisory services firm focused exclusively on the multiunit and franchise business for more than 22
years. Contact him at 303-680-4141 or
[email protected].
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