Client Profile - Towers Transport
Towers Transport is a family owned business established in 1984 by Barry and Brenda Towers. The business started with Barry working on his own with a single two tonne truck working as a contractor from a workshop in Adamstown. This then grew as opportunities arose to opening multiple sites including their head office at Thornton which has been the head of operations for the past 23 years.
Earlier this year the business sold to a large national transport company. At the time of selling, the business looked very different to what it started as 34 years ago. The business at the time of sale was running 97 trucks and 60 trailers and directly employing over 130 staff, running out of five depots. Across the agency network the business supported over 450 staff and contractors. On average the business would complete over 7,000 deliveries a week.
Throughout this entire time the business stayed close to Barry’s family orientated philosophy, remaining family owned and run. Barry’s children have all been working in the business for most of their careers, Brian Towers worked in the family business for 18 years, Mark Towers for 17 years and Scott Towers for 15 years. The business has also retained a lot of their staff for well past the 10-year long service leave mark. A great achievement for any business. All family and staff will continue to work for the business under the new owner, retaining a lot of the culture of the business.
PKF have had a key role in the business' development, Director Simon Rutherford and his team started advising them back in 2002 and has been involved on a regular basis ever since, right through to playing a key role in the sale of the business.
Barry says, “We found that partnering with PKF enabled us to get timely and accurate reporting. The team has always been readily available to take our questions and provide advice to help us face our challenges. When we received an offer to buy the business PKF once again performed 100% to get us the best deal, and with a deal this big this was not an easy task. The PKF team knew what our goals were and exceeded all of our expectations in helping us achieve them, we could not have asked for a better commitment from the team.”
The sale process included:
- Understanding the client’s goals
- Initial feasibility calculations, information memorandum and structuring
- Drafting of the deal proposal
- Heads of agreement negotiation
- Due diligence management and support
- Contract negotiation
- Settlement and completion adjustments
- Assistance with transferring over the business and records
- Estate planning for a happy future and lifestyle to achieve their life goals
A key piece of advice in being able to get the best deal when it comes to the sale of a business is in the planning. Getting a business “sale ready” can make a significant impact to the sale price.
If you are considering selling your business in the future or any other succession strategy, ideally looking ahead three to five years, it is worth the discussion with your adviser, so they can assist in getting the business sale ready.
We have enjoyed working with the family for the past 16 years to help them achieve their goals and are looking forward to seeing them enjoy the rewards of their many years of hard work.