Fix, Close, Sell or Retain

Michael Fingland

Executive Director and CEO

Fix, close, sell or retain is a concept commonly used in business turnarounds. It involves assessing the performance of a company and its various business units and determining whether it/they should be fixed, closed, sold or retained.

The first step is to identify the underperforming business units, which may be dragging down the overall performance of the company. These units need to be fixed, either by improving their operations, reducing costs or increasing revenue. The goal is to make them profitable again.

If the business unit cannot be fixed, the next option is to close it down. This may involve selling off assets, laying off employees or simply shutting down the entire unit. This can be a difficult decision to make, but it is necessary if the unit is not contributing to the overall success of the company.

Alternatively, if the business unit is not strategic or does not align with the company’s long-term goals, it may be sold. This can provide much-needed cash flow for the company and allow it to focus on its core business units.

Finally, if the business unit is performing well and aligns with the company’s strategic goals, it should be retained. This may involve investing further in the unit to help it grow and achieve even greater success.

Overall, the fix, close, sell or retain concept is a useful tool for companies looking to turn around their performance and achieve greater success. It allows them to focus on their strengths and make difficult decisions when necessary. Once the business has been returned to stability the board and shareholders can take the decision to retain and grow or sell the business.

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