Our Experience, Your Growth.
Our experience growing businesses speaks for itself. See how our patent-pending Breakthrough Session (BTS) process, combined with our unique talent bench, has created sustainable growth and profits for business owners and stakeholders worldwide.
- Case Study #1: $65,000 into $382,000 in 12 months
- Case Study #2: Investors Making 100s of Thousands from a $0 Investment…
- Case Study #3: $5.4mm into $90mm
- Case Study #4: Company Grows by 53% Instantly
- Case Study #5: The Power of Human Capital
Case Study #1: $65,000 into $382,000 in 12 months
A manufacturing company was in a bad position – they had been on a straight slide for four years and now either needed a dramatic boost to their business… or shut the doors for good.
We came in and bought 50% of the company, and we got to control the management decisions.
We implemented our “Breakthrough Strategy Session” and immediately saw the possibility of expanding the business by 30 TIMES within 3-5 years.
After we hired new sales staff, the company’s valuation grew by 41.46% in less than 12 months.
We bought in at less than a 1x multiple, and now we can easily sell it for 3x.
We bought our 50% of the company for $65,000, and our share is now worth $382,432. We also created 3 new jobs and there are more to come.
Case Study #2: Investors Making 100s of Thousands from a $0 Investment…
A software company with $0 in revenue came to us for help. Their technology was very exciting but they didn’t have a way to make money from it. They had spent all their money developing the product.
We got an equity stake in the company with no capital invested, just in exchange for our advice and guidance.
We implemented our Breakthrough Strategy Sessions and within a year money was flowing and they got bought out by a large competitor, which created a big exit.
Our investors made hundreds of thousands of dollars without even investing any money.
By being an investor in CXO, you can potentially make a lot of money without risking any money, because companies come to us and are willing to give us equity in exchange for advice and expertise.
Case Study #3: $5.4mm into $90mm
An alternative company had all the pieces in place to dominate in a big way in 2008 – they just needed the capital to launch it off the ground. Problem was, after the collapse, NOBODY was investing in ANYTHING. People were paranoid, and even though they had all the fundamentals, nobody would invest.
We got in. We paid $0.60 a share and raised $5.4mm. After that, we didn’t have to do much. As I said, all the fundamentals were already in place and they just lacked the capital to execute it.
Three and a half years later investors received their first dividends at 7% cash-flow.
Around this time, investors had made back all their initial capital and given them 2 for 1 preferred stock. Stock prices went up to $1.00. For our investors, their stock went up from the original $0.60 to $2.00, with all their capital paid back.
Furthermore, the company recently secured a $900mm contract to build a plant in Puerto Rico. Stock is poised to go up to $5.00 a share.
The initial $5.4mm turned into $18mm and now with the $900mm contract, that’s going to turn into $90mm.
Case Study #4: Company Grows by 53% Instantly
Here’s a great way you can get great returns and only have your money out for 90-120 days.
A company was having trouble keeping up with demand. Payments for their orders were expected in 90 days, but the manufacturer needed money immediately so they could fulfill the order. A basic cash-flow issue.
An option is to turn to financing it with people like us. There are two ways we do this:
The first way is simple purchase order financing. The investor puts in $20,000 and six months later gets a check back for $21,600. That’s an 8% return in 6 months. Solid numbers.
The second way we do it is with what is called “convertible debt.” This is a 3-year investment commitment, where you would invest $50,000 for 5 years at 9% interest. In the third year, you get the option to convert your debt into equity at 35% less than the market share price.
In this case study, the company was out of stock 53% of the time. By simply getting the required capital so they can fulfill their orders, the company grows by 53% instantly.
We are now in a position to grow from $500,000 in revenue to $2,500,000.00 in less than 3 years.
Case Study #5: The Power of Human Capital
We pooled together about 80 investors and bought a nutraceuticals company for $8mm. Investors put up roughly $100k each.
Putting our growth strategies in place, we were sitting on a $24mm company less than 3 years later. We sold out to a private equity firm and everybody got a nice pay day.
But after the private equity firm took over the company, they mismanaged it. They were not willing to spend the marketing dollars that needed to be spent to grow the company the way it needed to grow.
The valuation of the company dropped back down to $8mm… and we are getting ready to buy it back for $7mm. But get this: we only need to put up $2.5mm cash, which is less than a 3x multiple.
The same marketing and management is in place to grow the company again and this time we’ll only sell a portion of company to a private equity firm but keep an equity stake within the company for bigger growth opportunities in the future.
For more information, contact us.