Dental Equipment and Supply Company

Company Overview

Dental Equipment and Supply Distributor - Our client was a $25 million dental supply company distributing dental supplies and equipment throughout Chicagoland, Southern Wisconsin and Northwest Indiana.

Engagement Overview

•  Our client started to experience declining profitability and increasing inventory levels resulting in tight liquidity.

 

•  Fort Dearborn Partners (FDP) was engaged to help management return the Company to profitability and identify ways to better manage inventory.

 

•  FDP worked with Management and identified and recommended changes to the following:

    -    Raised prices on value-added products

    -    Improved warehouse product placement to allow more efficient picking

    -    Modernized the Company's inventory purchasing system, including making major changes to product mix to increase inventory runs

    -    Rationalized personnel through targeted reductions as well as targeted hiring 

 
Results

•  The Company was receptive to changes identified by Fort Dearborn and returned to profitability.

 

•  The Company significantly reduced their inventory resulting in ample liquidity.

 

•  The Company successfully refinanced with their existing senior lender and was subsequently acquired by a national player.