What is Turnaround
When businesses go bust, the economic fallout can be catastrophic. Individuals – and sometimes large parts of the community – lose their jobs. Vital services cease over night. Enterprise value – a vital underpinning of a dynamic economy – is lost.
The IFT defines turnaround as the sustainable return to viability of an underperforming organisation. The skills of IFT members provide immediate viability and confidence to businesses and stakeholders, and are critical in curtailing the economic fallout caused as a result of an unnecessary insolvency. IFT members preserve jobs and livelihoods, uphold local industries, protect economic value and strengthen public service organisations. In 2019, it was estimated that IFT members and corporate partners saved more than 200,000 jobs and protected £2 billion in enterprise value.
The early stages of turnaround are about creating a watershed often associated with a financial restructuring that gives the company time to plan for the future.
Three features define a turnaround business:
- Stressed not fatal
These firms lie on the spectrum from underperformance through to distress.
- Decline and fall
Failure to reverse business decline will lead to failure.
- A viable future
If it can overcome its immediate troubles, the business has a good chance of succeeding in the medium to long term.
IFT members have situational skills which can be applied to the rehabilitation, rescue and recovery of an organisation facing decline as described above. IFT members preserve jobs and livelihoods, uphold local industries, protect economic value and strengthen public service organisations.
Here are the stages of a turnaround that you can expect when working with an accredited turnaround expert:
Who we are
The IFT is made up of a CEO and an executive team focusing on four main areas: Corporate Partnership, Membership, Academy & Next Generation and Communications & Public Affairs. Our board members support the organisation alongside regional chairs and leaders of special interest groups.Discover More
About the IFT
The Institute for Turnaround (The IFT) is the UK’s leading membership organisation for turnaround experts. We bring together independent professionals, bankers, investors and advisers to evolve the profession and respond to new challenges and trends. We are an incubator for turnaround talent, connecting, nurturing and developing a community of experts at all stages of their career.Discover More