Many successful businesses operate for years under the same management structure and with little change. The past success of the business may have given the owners a sense of “comfort” with the status quo, so they may not ask the questions, “how can we grow?”, “how can we do things better?”, “how can we be more profitable?”, “how can we make sure the business will be strong and successful for future generations?”, etc. At some point in the life of the business, when these questions begin to surface, many owners realize that they need additional skills, experience, and knowledge to help answer them adequately.
Collision Solutions, an automotive collision repair business located in Indianapolis, Indiana, is a company that went through this process. Collision Solutions, now with four locations in the Indianapolis area, had made great strides since brothers Brian and Aaron Clark took over the business in 2001 after the passing of their mother. At that time, according to owner Brian Clark “the business was profitable, but it wasn’t structured to go to the next level.” Starting and developing a successful business is hard work, and it requires unique individuals that are willing to make sacrifices, work long hours and take risks. But once a business attains a certain level of success, it suddenly requires a completely different set of skills and a different type of business growth experience to move the company to a higher level.
Business magazines and business schools are filled with case studies that tell stories of what companies had to do to grow beyond their initial level of success. Some form of outside assistance is often the answer, with the level of assistance dependant on the size of the business. Larger companies will sometimes hire a new senior manager or even a whole management team to help run the business. In smaller companies, that outside assistance typically comes in the form of an experienced advisor. In the case of Collision Solutions, Brian Clark recognized what the company needed and hired Milestone Advisors to help them change and grow their business.
Initially, Milestone was hired to serve as a financial advisor to management. According to Mr. Clark, Milestone was hired because they needed a group with small business growth experience. As he stated, “we needed individuals who had been there before and knew exactly what to do.” Milestone’s process allows the owners of Collision Solutions to learn much more about their own business than they had ever realized. What were their true strengths and weaknesses? What was their differential advantage? What were their opportunities? How much and how fast could they grow? These types of questions and many more were answered. Also, by developing different financial models for the business and by providing new analysis tools, the owners were able to get a better understanding of the exact condition of their business and chart a course for the future - a future that included plans for growth and continued success.
This course of action eventually resulted in Collision Solutions’ decision to merge with another business, add a third partner (Dick Cobb) and secure a bank loan to finance the deal. Milestone was instrumental in coordinating the capital needs of this transaction. Although merging with another business and taking on new debt is a brave move for any company, the owners of Collision Solutions were confident in their decision, due in part to the thorough analysis and consultation that Milestone Advisors had provided. Brian Clark stated, “working with the partners at Milestone helped make us more confident - by using their financial models and detailed plans, they allowed us to see the big picture and to be comfortable in making decisions that otherwise may have seemed risky and intimidating.”
Looking back on the decision to work with Milestone and to merge with another business, Brian Clark commented, “we couldn’t be happier - Milestone’s insight was perfectly on target, and the merger was exactly the right move for us to make at this point in the business.” He went on to say that, “everything has gone according to plan - even the challenges we have faced were identified in the plan, and that’s the difference in working with a firm like Milestone, because they approach things from a real-world business perspective... not just an accounting or financial perspective.”
To learn more about Milestone Advisor’s services and ways that Milestone can help you grow your business, contact Donna Dwyer Pitz at 317-581-1820 x704.