Inspired by a meeting with BCMS, Michael Spencer put Plan 60 into place – a long-term strategy to get his business in shape for a sale. Here, he explains what happened next…
With a history stretching back to 1914, TEW Engineering Ltd specialises in the provision of application engineering solutions, with expertise across the entire engineering lifecycle, from design and manufacture to installation and commissioning. In 2013, when Managing Director and 100% shareholder Michael Spencer took the decision to sell, the company serviced a client base of some of the biggest names in the rail, automotive, and food and beverage industries, including Babcock, London Underground, Coca Cola, Rolls-Royce, JCB and Tesco.
Michael, then in his early forties, had a clear sense of his business and its market position. “Selling up was part of a five-year plan,” he says. “I first attended a BCMS masterclass in 2009, at which point there was no timescale or burning desire to sell the business. But I went along because I thought it would provide very good background information.”
Understanding the importance of effective preparation for sale, Michael began to look at his business pragmatically, undertaking a detailed SWOT analysis. “After we met BCMS, I wrote something called Plan 60. This was literally a 60-month plan to address any items that needed addressing to get the business into the most competitive, desirable state for sale and then sell the business. Over the next four years, we put all of those items in place.”