Soil and Bark Bagging Operations

An $18,000,000 soil and bark bagging operation with 4 plants in 3 states, selling to big box retailers and through independent sales reps. Initially A&JC was engaged by the secured lender to review the debtor’s request for a $1,500,000 seasonal over advance of funds and to assess management’s capabilities. After quantifying cash requirement to be in excess of $2,000,000, elected to participate in a modified plan with reduced operations under the supervision of a Receiver. Due to expertise A&JC had gained as a result of our forecasting and business review, A&JC was engaged by the Receiver through the busy season to manage the day to day operations of the company and to market the company for sale.

As a result of our management of the Receivership assets, the company was able to improve profitability through price increases, reduced operating costs and stricter controls over purchasing. During this period A&JC identified several interested parties and strategic partners to successfully market the company for sale. The result was new ownership for the company and the lender was able to retain the banking relationship with a financially stronger ownership group.