To remain competitive, resource companies must be well‑positioned from a capital management and deployment standpoint in order to maintain productivity while keeping operational costs in check.

At Baker Tilly, our cross‑disciplinary team of restructuring, infrastructure, financial advisory, valuation and transaction professionals have a proven track record of working closely with resource companies to identify opportunities which:

• Introduce key operational improvements
• Reduce cash outflow
• Improve potential project returns by pinpointing areas where capital expenditures can be reduced and proposing alternative approaches
• Consider restructuring alternatives

Working with your board and management team, our professionals provide solutions tailored to preserve and protect your company’s capital, while identifying areas for sustainable improvement.

Our cross‑functional team of professionals can help you:

• Optimize receivables, payables, inventory and other forms of working capital
• Review cash management procedures and processes
• Implement processes to increase efficiencies and lower costs
• Identify sustainable, cost‑saving opportunities by reviewing operational and non‑operational overhead
• Review and renegotiate contracts to optimize supply‑chain economics
• Procure and manage engineering services
• Conduct a strategic review of infrastructure options
• Model financial obligations
• Carry out secondary market trading of essential infrastructure
• Value engineer capital projects
• Negotiate with lenders and financiers to manage outcomes
• Restructure your company balance sheets

Value engineering

Before committing any funds to new capital projects, it is crucial to be certain about the viability and costs associated with these projects.

While feasibility studies can provide insights to help inform your business plan, a detailed third‑party, due‑diligence review by our valuation and transaction professionals will mitigate your risks and costs. We reveal and assess the underlying assumptions associated with any acquisitions, divestments or mergers you might be considering.

Working capital management

Given the lengthy cycles the resource industry operates under to deliver sustainable value to shareholders, it is essential to focus on cost management and containment.

Our experts help ensure your company is able to generate value under challenging economic conditions by addressing your operational strategies, processes, infrastructure issues and overall financial health.

Once our cross‑disciplinary team has identified the most relevant issues facing your company from a capital management perspective, we recommend remedial actions to drive your long‑term performance‑improvement strategies.

Restructuring

When financial issues or liquidity concerns threaten the course of business, taking decisive action quickly is a must. The likelihood of recovery hinges on how rapidly professional assistance is sought, and a workable plan implemented. At these junctures, your company and its lenders need to understand all available options.

That’s where our experienced restructuring team can help. In both formal and informal restructurings, we will take your company’s unique circumstances and business goals into account to provide customized strategies and maximize stakeholder value.

Connect with your Baker Tilly advisor today to learn more.