In2Corporate Ltd Case Studies

Case Study 1

Wholesale/Manufacturing Electrical Distributor

BACKGROUND

In2Corporate Ltd (In2C Ltd)was instructed by a bank to review and assist with the disposal of dated, slow moving and obsolete stock with a value in excess of £1.5m. The client had been offered £15k but declined

The client had 6 months to consolidate the storage and warehouse facilities from 2 warehouses to 1. The stock holding needed to be converted into cash and in doing so obtain an acceptable rate of return.

Constraints:

The client did not want to release this stock in a bulk sale into the market as this could indicate that the business was in so financial difficulty. In2A Ltd was provided with an extensive list of customers that it must not approach.

Methodology and Resolution:

In2C Ltd developed a multi channel approach to market with a structured approach

  • Uplifted stock from client
  • Internal sales office promotion
  • Local activity – Marquee erected at the redundant warehouse and promoted in the local press
  • Approached potential bulk buyer not on the exclusion list
  • Developed successfully a overseas customer base
  • Promoted aggressively via In2C Ltd online In2Corporate  on-line partner
  • Outcome:
  • Met the deadline to facilitate the consolidation of the warehouse’s
  • Cleared the stock
  • Provided an income in excess of £870k net after costs
  • No political impact on the client

Client delighted with outcome project concluded successfully and recommended In2C Ltd to another client who did engage In2C Ltd.

 

 

 

Case Study 2

Overseas manufacturer of Kitchens for major UK Retailer in administration:

BACKGOUND:

Following the demise of a leading national Kitchen/Furniture retailer In2C Ltd approached the overseas supplier of kitchens understanding that they would have been left with a significant level of made goods and an equal amount of work in progress. The product was UK specific and would not sell easily in other European countries.

Constraints:

Client wanted to obtain a financial return that was as close to the cost price they were selling to the retailer

Methodology and Resolution:

In2C Ltd visited clients in Italy to scope the project and to fully understand to issues and opportunities that the client was experiencing.

  • Full stock profile assessment with costing and specification prepared
  • Set up a planned stock movement overland from Italy to UK
  • Selected the appropriate channel to sell through the goods – online auction site and eBay
  • Call off stock in planned and orderly manner to meet the sales demand for the products
  • Provide the client with weekly status reports which reflect the units sold and the income received
  • Payment to client made every 10 days following the close of the auction

Outcome:

  • Stock clearing through above expectations
  • Return meeting and exceeding clients expectations
  • Additional being offered by client to In2C Ltd
  • Recommendation to other Italian suppliers to assist with stock issues

Client is pleased with performance on return and the rate of sale and this project has now expanded into other product sectors and other manufacturers

 

Case Study 3

UK Retailer with 57 stores and two distribution warehouses:

BACKGROUND:

Ernst Young (EY) were the appointed Administrators and a strategic partner who bought the debt which was secured against the stock – The partner need to dispose of the stock to recover the cost of the debt – EYand the Strategic  instructed In2Corporate Ltd to clear the stores  and warehouses including all stock, FFF and IT/EPOS equipment.

Constraints:

Other than a time constraint the goods were to be collected and cleared from all sites within 10 working days.

Methodology and Resolution:

In2Corporate Ltd instructed its strategic partner to arrange the clearance of all sites and to document stock, FFF and IT/EPOS equipment

  • All stock was collected and recorded and located in a nominated warehouse within 10 days
  •  The stock was then sorted into ‘lots’ and photographed
  • Information was loaded onto the on-line auction site.
  •  Initial value at cost was £1.45m

 

Outcome:

  • Cleared stock was sold through over a period of 4 months
  • Return meeting and exceeding clients expectations returning £957,880
  • The strategic partner has now listed In2Corporate Ltd on their business partners list and we are currently working on two other projects
  • EY have already given In2Corporate Ltd a further additional project

Client is pleased with performance on return and the rate of sale and this project has now expanded into other product sectors and other manufacturers

 

Other Clients:

In2C Ltd has at present a further 34 clients (4 in continental Europe)  and is continuing to expand its base across other disciplines such as the preparation of businesses for sale (pre-packs) & finding suitable partners, Non-Executive roles and business process support and change.

Case Study 4

Major UK Electrical Retailer – Comet Plc

BACKGROUND:

In2Corporate were instructed by GAE to work with Deloitte’s on the closure of Comet PLC. Ged Dempsey was appointed as the lead on Commercial and Jeremy was responsible for the closure of the two warehouses and  disposal of stock and fixtures and fittings.

Constraints:

There was a defined timeline of 6 weeks to buy in £45m of  augmented stock and the timeline had to be met

Methodology and Resolution:

Ged Dempsey was based at Head Office in Watford and Jeremy Issaac was working in the field at the both warehouses. Suppliers were identified to buy the augmented stock across a diverse range of product areas not just electrical at discounted prices and stock was managed into both warehouses.

Warehouse stock such as returns and dated stock were identified and disposed of for revenue to appropriate channels.

Outcome:

  • The augmented stock was successfully purchased and sold through
  • The two warehouses were cleared and goods disposed of at good return
  • The timeline was met on  both elements of the project