Political strategies

“Better strategies exist than the formal business rescue currently used in South Africa”

Bruce Whitfield interviews Marco Visser of Mars Hill Capital, a British turnaround company setting up shop in South Africa.

Could Comair have been saved before having to go from bailout to company liquidation?

British company Mars Hill Capital (MHC) is setting up in South Africa to help struggling businesses recover before they reach the stage of no return.

© nexusplexus/123rf.com

Bruce Whitfield interviews Marco Visser, founding member of MHC where he is Turnaround Director.

Visser highlights an important distinction in the state of decline of a business.

We typically work with companies that we would characterize as fundamentally struggling, but ultimately they have to be a pre-commercial rescue.

Marco Visser, Turnaround Director – Mars Hill Capital

If real and lasting recovery is to be achieved, we believe that an informal rescue process is more appropriate than the formal business rescue process that currently exists in the country.

Marco Visser, Turnaround Director – Mars Hill Capital

Would the MHC actually take over the management or would it rather play an advisory role?

According to Visser, the informal rescue process takes its specific form depending on the given situation.

In the event that we are appointed by shareholders…we often take on certain senior management roles…It is not unusual for us to take on roles of CEO, CFO or Chief interim operation…

Marco Visser, Turnaround Director – Mars Hill Capital

If we’re brought in by senior management, it’s a more nuanced approach where you’re a bit more like a “turnaround whisperer”, helping management try to make the most effective decisions possible to implement recovery as successfully as possible.

Marco Visser, Turnaround Director – Mars Hill Capital

You get good steady-state leaders who just aren’t good flow leaders, notes Visser.

“The presence of an objective third party who comes to support management teams, either as a counterpart or as a replacement, is often invaluable in increasing shareholder value.”

In South Africa, job preservation is critically as important as job creation and MHC is committed to building the economy, says Visser.

If we can get into an organization and save as many jobs as possible, that’s really what we want. To do that, we’re trying to move away from a typical consulting model or business rescue process model where you get paid and basically sell hours.

Marco Visser, Turnaround Director – Mars Hill Capital

Click on the link below to learn more about MHC’s strategy to turn businesses around:

More Company

More reviews