When hiring a turnaround consultant, there are certain features you should require. First and foremost, this should be a person you feel comfortable with. You should like this person in a way that you can only assess personally. Some people are likeable and others not. I can’t explain exactly how to determine this, but if you feel comfortable with them, that is usually a very good indicator.
As a business leader and entrepreneur, I think you know what I mean. This feature may also have something to do with leadership qualities or charisma or trust, but it is probably the most important characteristic because the last thing you want to do is bring in someone that your employees don’t like and have this person irritate the situation worse than it needs to be.
Advanced degrees are nice, but they are hardly the most important credential. Someone who has an MBA or a CPA will certainly be a benefit, but if they have no experience, those degrees will not add up to much. The turnaround professional you select should therefore have a fair amount of experience with turnarounds (successful ones), and if possible with turnarounds in your business sector.
Ideally, this person should be a self-started and a leader. They should be able to deliver an honest opinion even if it is one you may not want to hear. C-level experience is necessary, and a good understanding of accounting issues would be a huge benefit. This person must also confirm to you that they believe they can turn your company around if you hire them. They should also have a solid grounding in negotiations, and if possible in debt negotiation. Debt negotiation and reduction will play a vital role in a successful turnaround.
andre@andrelarabie.com