mentoring business transfer brochure

8/7/2019 Mentoring Business Transfer Brochure

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A Helping HAndfor SMe SM e n t o r i n g B u S i n e S S t r A n S f e r


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This brochure presents the results of the pilot action A He pi g Ha d r SMEs Me t ri g Busi ess Tra s er financed by the European Commission.

The project activities have been coordinated by EUROCHAMBRES in cooperation with

the Rhne-Alpes Regional Chamber of Commerce and implemented by 33 Chambers ofCommerce in 18 EU Member States.

The project lasted 33 months, from January 2007 until August 2009.

The content of this publication does not reflect the official opinion of the European Communities.Responsibility for the information and views expressed therein lies entirely with the authors.


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TABlE of conTEnTSForeword . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .4

Introduction. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .6

Results of the pilot action . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .71. Overview of the businesses sampled . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .8

1.1. Geographical background . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .81.2. Date of creation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .91.3. Size . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .91.4. Economic sector . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .10

2. Overview of the buyers. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .112.1. Age . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .112.2. Gender . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .122.3. Professional status prior to the takeover . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .12

3. The takeover process . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .134. The dif culties faced by the buyers prior to the mentoring. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .145. The mentoring process . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .156. Conclusion and recommendations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .16

6.1. A service that should be continued at national or regional level . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .166.2. Recommendations for entities willing to set up the service in their country or region . . . . . . . . . . . . . . . . .17

Portraits of 10 European buyers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .19Daniel Reiner, Austria. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .20Stanimir Svatovski, Bulgaria. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .21Alain Capon, France. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .22Burkhard Huhle, Germany. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .23Andr Stascheit, Hungary. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .24Laura Pavan, Italy. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .25Monica Pedersen, The Netherlands . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .26Roxana Carmen Coca, Romania. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .27Joica Molka, Slovenia. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .28Christian Snchez Amores, Spain . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .29

Project partners . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .30


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Setting up a new rm is not the only way of going into business.

Taking over an existing business is another one.

Unfortunately, many small businesses have to close down whentheir owner retires or looks for another challenge, since there isnobody to continue the business. In the European Union, onein three company directors are expected to retire within thenext decade, affecting an annual average of 690,000 small andmedium-sized enterprises (SMEs) and almost 2.8 million jobs.Successful transfers of companies are therefore essential

for preserving jobs and can have an immediate positive effecton the European economy.

Thus, in the context of the Small Business Act (SBA), our policyframework for SMEs, we have looked into the challenges relatedto the transfer of businesses. External advice and mentoringcan often be a crucial success factor for business transfer.

This is why, at the initiative of the European Parliament, wehave undertaken a pilot project on the transfer of expertisethrough mentoring.

EUROCHAMBRES has implemented the project, workingtogether with the Chamber network to deliver mentoring servicesat regional level and assessing the quality and the impact of the

mentoring provided. Apart from providing support to 890 mentees,the project has also led to some interesting conclusions.

This project brochure presents a wide varietyof takeovers in 18 countries and summarizesthe outcome of the project. I am con dent thatthe pilot project will be a source of inspirationfor mentoring schemes at regional and locallevel, the front line in promoting transfer of

businesses.

Franoise Le BailSME Envoy and Deputy Director General

Directorate-General for Enterprise and Industry Eur pea c mmissi

f o rE w

o r d

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Delivering business services is part of the DNA of Chambers ofCommerce. As such, Chambers have had a keen interest in thematter of business transfer for some time and have developeda variety of services that facilitate smooth transfers.

With this pilot action, A Helping Hand for SMEs MentoringBusiness Transfer, European Chambers have been able to buildon this experience. The project tested on a large scale - across18 EU countries - a new support scheme to help buyers toovercome the dif culties they encounter after a business takeover.

Business transfer boosts the growth of existing successfulcompanies and introduces new ideas and new procedures

which can, in turn, lead to enhanced productivity and economicperformance. It also has an immediate positive impact onemployment, since successfully transferred businesses preservemore jobs on average than those created by new start-ups 1.

In this framework, i t isincreasingly important toensure the continuation of the activity of viable businesses,assisting them in the long and complex transfer process with

speci c structures and appropriate support services.

The implementation of this project has reinforced Chamberscommitment to facilitating business transfer and it is clear thatthe value of preserving viable, established enterprises with growthpotential is even greater during this period of economic crisis.

Chambers welcome the recognition of the value of businesstransfer by the European Commission. We call on national

authorities to attach equal importance to business transfer asto business creation; measures must be delivered to createa business transfer friendly environment, as recommended inthe Small Business Act.

Alessandro BarberisPresident

EU ocHAMB ES1 A Small Business Act for Europe, COM(2008) 394, 18 June 2008

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InT o UcTIon

InT o UcTIonBusiness transfer is an issue of major importance in the European Union, with one in three company owners expected to retirewithin the next decade, affecting an annual average of 690,000 small and medium-sized businesses and representing almost 2.8million jobs.

Although many European countries have put in place various measures to ensure smooth transfers and takeovers ofbusinesses, the process still involves considerable challenges which lead many of these transactions to fail (more than20% of transfers in Europe fail within ve years).

The European pilot post-takeover mentoring project, A Helping Hand for SMEs Mentoring Business Transfer, was unique in

two ways: it covered 18 European countries simultaneously and worked with entrepreneurs after the transfer had taken place.

The initial aim of this far-reaching project was to provide free support to 1,000 buyers of small businesses (less than50 employees) in 18 European countries, each for a ten-day period.

The methodology for providing the mentoring service was as follows:

1. Assessment of the buyers needs and co-development of an action plan with the mentee (1/2 day);

2. Tailor-made mentoring programme of 9.5 days allocated freely to cover 1 or more of the 9 topics on offer: marketing and

commerce, accounting, strategic management, human resources, access to nance, technical know-how, legal and scalaspects, IT and supply chain management;

3. Satisfaction questionnaire at the end of the mentoring.

This brochure presents the main results of the pilot action as well as testimonials of ten European entrepreneurs havingsuccessfully participated in the programme.

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esults of the pilot action

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ESUlTS of THE IloT AcTIon


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8

1.1. GEoGrApHIcAlBAckGroUnd

18 Eur pea u tries tpart i the pr je t. H ever,4 u tries made up a m st80% the samp e a e:Spai , Ita y, fra e a d

ma ia.

1. o E IEw of THE BUSInESSES SAM lE

T IcAl ofIlE of THE BUSInESSES T AnSfE EA RELATI EL OUNG (CREATED LESS THAN TEN EARS AGO), SMALL (FEWER THAN 10 EMPLO EES, LESS THAN 100,000 EUROS IN

TURNO ER) BUSINESS WITH PROFITS OF LESS THAN 10%, ACTI E IN THE RETAIL OR SER ICES SECTOR (CAF S, HOTELS/RESTAURANTSOR INDI IDUAL SER ICES), OPERATING LOCALL AND ESTABLISHED AS A LIMITED COMPAN OR SOLE PROPRIETORSHIP.

National breakdown of businesses sampled

The following paragraphs describe the businesses taken over in terms of country, size, date of

creation and sector of activity.

Spain

Austr

iaIta

ly

Germ

any

Franc

e

Sloven

ia

Roma

nia eece

Belg iu

m

Bulg a

ria

Hung

aryMa

lta

Slovak

iaPo

land

Portu

g al

The N

etherl

ands

Unite

d King

dom

Latvia

207216

185

92

3019 18 18 17 17 15 14 13 12 8

4 22


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esults of the pilot action

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Be re 19605 %

Bet ee 1960a d 198014.5 %

Bet ee 1980a d 200032.3 %

A ter 200048.2 %

1.2 dATE of crEATIon

The busi esses ta e ver erevery y u g. A m st 50% them

ere ess tha te years d.

1.3. SIzE

The samp e as made uppred mi a t y (64.5%) mi re terprises (i.e. e er tha te

emp yees). o average, thesebusi esses had 4.5 emp yees.

No employee21.4 %

From 20 to50 employees3.8 % From 10 to

19 employees9.2 %

From 1 to9 employees

64.5 %


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10

1.4. EconoMIc SEcTor

H te s, a s a d restaura tsmade up the i s share the samp e (20.4%). M rege era y spea i g, servi es

ere verreprese ted, hereasi dustry a u ted r y11.9% busi ess tra s ers.

Hotels, cafs and restaurants20.4 %

Retail trade,non-food products

17.2 %

Other business to consumer services(services for people)

15.3 %

Financial services 1.4 %

Agriculture and sheries 1.7%

Information and communication technology 1.8 %

Sale, maintenance of motor vehicles 2.7 %

Transport, storage 2.8 %

Construction 2.8 %

Wholesale, except motor vehicles 3.7 %

Other business to business services(services for companies) 8.1 %

Retail trade, food products 10.3 %

Industry 11.9 %


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esults o

f the pilot action

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2.1. AGE

49% the samp e as madeup pe p e u der 39; theu der-30s a u ted r 17.1%.The buyers average age as 40.

2. o E IEw of THE BU E S

T IcAl BU E ofIlEA MALE (59%) EMPLO EE (47%), AGED 40, WITH A HIGHER EDUCATION BAC GROUND (53%) MADE UP GENERALL OF SHORT AND TECHNICAL

STUDIES (2.5 EARS). THE T PICAL BU ER HAS 14 EARS OF PROFESSIONAL E PERIENCE, DURING WHICH HE HAD THE OPPORTUNIT TOMANAGE OTHER EMPLO EES. IT IS THE BU ERS FIRST TA EO ER (85%) FOR WHICH HE/SHE HAD NO SPECIFIC TRAINING. IN THE CASE

OF THE 13.5% WHO HA E RECEI ED TRAINING, IT GENERALL FOCUSED ON LEGAL AND FISCAL ISSUES AS WELL AS ACCOUNTANC .

The following paragraphs outline the pro les of the 889 buyers who received support throughout the project.

Between 1950and 197047.2 %

Before 1970 3.8 %

After 1970 49.0 %


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2.3. profESSIonAl STATUSprIor To THE TAkEovEr

The maj rity buyers ereemp yees pri r t the ta e ver(51.2%) a d 23.2% ere a readye trepre eurs. Exe utivesa u ted r 13.6% a d j b-see ers r 12%.

2.2. GEndEr

The pr p rti ma e a d ema ee trepre eurs parti ipati g i thes heme as re ative y ba a ed, ith the

samp e bei g made up 60% me a d40% me .

o y t u tries di ered r m therest the samp e: fra e, here mea u ted r 76.5% the buyers a dSpai , here me represe ted m retha ha the parti ipa ts (56.7%).

Female40.2 %

Male59.8%

Employee51.2%

Jobless12.0 %

Executive 13.6 %

Entrepreneur 23.2%


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esults o

f the pilot action

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3. THE TAkEo E ocESS

T IcAl TAkEo E ocESSTA EO ERS ARE MAINL E TERNAL (62.2%) AND CONCERN BUSINESSES OWNED B ONE PERSON (52.2%). THE PURCHASING PRICE IS

LOWER THAN 100,000 EUROS (71.7%), WITH THE MAJORIT OF THE AMOUNT BEING SELF-FINANCED.46.5% OF THE BU ERS RECEI E SUPPORT FROM THE SELLER. WHERE SUCH TRAINING IS PRO IDED, IT FOCUSSES ON THE TECHNICAL AND

COMMERCIAL SIDE OF THE BUSINESS.

Family24.5 %

Former employee13.3 %

External62.2%

TypE of TAkEovEr

Exter a ta e versere the m st reque t,

a u ti g r 62.2% the samp e. o th se,

three quarters thebusi esses ere u

t the buyer pri r tthe tra sa ti . fami yta e vers ame se d,represe ti g 24.5% thetra sa ti s. Ta e versby a emp yee, the

ther ha d, ere rare,a u ti g r y 13.3%

the tra sa ti s.

The type of takeover varied greatly from one country to the next. Family transfers accounted for more than half of all casesin Austria (55.6 %) and in Greece (66.7%), but less than 15% for a core of seven countries, including France and Spain.

Takeovers by a former employee were signi cant in ve countries (Bulgaria 20%, Slovakia 31.6%, Slovenia 35.3%,Belgium 37.5% and the Netherlands 38.9%), but were non-existent in seven countries (Austria, Germany, Greece, Latvia,Malta, Portugal and the United ingdom).


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Ranking of the nine topics on offer by

perceived level of difculty prior to the

mentoring

TOPICS A ERAGE PERCEI ED LE ELOF DIFFICULT OUT OF 10*Accounting and finance 6.08

Access to finance 5.82

Human resources 5.59

Legal and fiscal aspects 5.58

Strategic management 5.52

Average 5.44

IT systems 5.33

Marketing & commerce 5.26

Technical know-how 4.95

Supply chain management 4.45

*1 (not dif cult at all) - 10 (very dif cult)

4. THE IffIcUlTIES fAcE B THE BU E S Io To THE MEnTo InGThe main difficulties faced by the buyers sampled were in the areas of accounting and finance, access to finance, human resourcesmanagement, legal, fiscal aspects and strategic management.

These difficulties were more pronounced for women than for men. They were also greater for young buyers with little professionalexperience and when the business taken over was a young, sole proprietorship active in the non-food retail sector.


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esults o

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5. THE MEnTo InG ocESSEach buyer was mentored for ten days. The first half-day was used to identify the buyers needs and the remaining 9.5 days wereallocated freely to cover one or more of the nine topics on offer.

The three areas of mentoring most selected were: marketing and commerce (26% of the mentoring days provided), accountingand finance (19%) and strategic management (17%). The least requested topic was supply chain management (2%).

Breakdown of days by mentoring topic

Supply chain management 2 %

Legal and scal aspects 4 %

IT systems 4 %

Technical know-how 5 %

Access to nance 10 %

Human resources 13 %

Marketing and commerce 26%

Accounting and nance 19 %

Strategic management 17 %


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166.1. conclUSIon

Su h a me t ri g servi esh u d be imp eme ted at

ati a r regi a eve irder t adapt the servi e

t the a spe i ities iterms pr e the me teesa d pr e the busi ess

tra s erred.

After 33 months of implementation, it can be concluded that the mentoring service should becontinued for the following reasons:

Business transfer is an issue of major importance in Europe, with one in three companydirectors expected to retire within the coming decade in the European Union, potentiallyaffecting 2.8 million jobs.

There is a demand for mentoring from the owners of small enterprises.

The service is innovative: until now, European countries have put in place various measuresessentially geared towards providing support upstream from transactions (i.e. reduction ofadministrative, legal, scal or regulatory dif culties and support schemes during the transferprocess).

Both the Chambers of Commerce and the buyers who participated in the project are satis ed:79% of the Chambers are satis ed with the pilot action and the mentees consideredthe mentoring useful with a degree of satisfaction of 1.97 on a scale of 1 (very useful) to5 (not useful).

6. conclUSIon An EcoMMEn ATIonSThe European pilot project A Helping Hand for SMEs Mentoring Business Transfer can be considered as a good practice.

It allowed testing on a relatively large scale (18 EU countries) of a new support scheme helping buyers to overcome post-takeover difficulties through the transfer of knowledge and core competencies essential for business transfers.


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esults o

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1. cHoIcE of Bo IES fo THE IM lEMEnTATIon of A MEnTo InG ScHEME on BUSInESST AnSfE

EUROCHAMBRES and the Chambers of Commerce recommend establishing a public-private partnership (PPP) for the establishment of a mentoring scheme on businesstransfer. Such partnership should involve the key players in this eld (e.g. publicadministrations, Chambers of Commerce, lawyers, accountants, banks, etc).A PPP would allow the optimisation of the nancing of the service and would poola variety of skills.

2. SET-U of THE SE IcEFlexibility is key to attracting candidates to the programme and to enabling the buyersto take part.

Duration: the reasonable duration of the mentoring should be de ned according tothe speci c situation of the enterprise and the entrepreneur. It should be exible,between 5 and 10 days for instance, and determined by the adviser, together with theentrepreneur. An initial number of days could be decided during the rst session of thementoring, which would then be revised if necessary.

Period to offer the mentoring: a mixed formula (some sessions before and someafter the takeover) is recommended, leaving the possibility to the mentor to decide,together with the mentee, the appropriate schedule of the sessions according to theentrepreneurs speci c situation.

The mentoring should not be restricted to entrepreneurs who have just taken over a company(i.e. one year), but should target entrepreneurs in their rst years (i.e. from one to ve years)after the takeover and those who are about to acquire a company.

Format: the use of various formats for the mentoring (i.e. plenary sessions on speci ctopics, workshops with a small number of entrepreneurs, phone calls and e-learning)would complement the one-to-one sessions, adding value to the service.

6.2. rEcoMMEndATIonS

The a a ysis the stre gthsa d ea esses the pi tpr je t e ab es t shed urther

ight the setti g up simi ar me t ri g s hemes.EU ocHAMB ES a d thechamber part ers re mme ds me adaptati s i rder te sure better resu ts.


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3. conTEnT of THE MEnTo InG

For this project, nine mentoring topics divided into 35 sub-topics were on offer, namely:accounting, business strategy, financing difficulties, fiscal and legal aspects, humanresource management, IT systems, logistics, marketing and commerce and technicalknow-how.

The results of the project reveal that the list of topics on offer should be refined andreduced. The mentoring should focus primarily on the following four topics: accountingand nance, strategic management, human resource and access to nance. These areaswere considered to be the most problematic by the mentees and were chosen by themajority of the participants.

This list of core topics could be complemented by marketing and commerce whichwas the most chosen subject, while noting that it is not an area directly linked to thedif culties of taking over a business.

Legal and scal aspects should be dropped from the list of topics on offer as thebuyers often work with a specialist on these aspects, which are generally very speci c

and con dential.


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ortraits of 10 European buyers

19o T AITS of 10 EU o EAn BU E SThis section portrays entrepreneurs from ten EU countries who have taken over a small business between2007 and 2009.

With refreshing openness, these women and men give us insight into the obstacles and challenges that they facedwhen taking over the company, the bene ts that the project brought to them and their plans for the future. Thesereal-world examples show the diversity of business transfers and the need for an early, customised support.


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In the Austrian city of oitsberg, 26 year-old Daniel Reiner

took over Fleischerei Jbstl, a butchers shop created in 1977.Before acquiring the ownership of the company in 2007, Danielhad been an employee for ve years.

Despite having worked in the meat trade for several years,Daniel hadnt enough experience in the administrative eldto know how to manage his business ef ciently and, inparticular, its accounting and nance procedures, whichwere crucial for the success and viability of the enterprise.In addition, he became responsible for two staff membersand one apprentice. It was thus essential for him to also gainknowledge in human resource management in order to providea safe work environment for his employees.

Fortunately, Daniel contacted the Chamber of Commerce ofStyria, which immediately offered him ten days of individualmentoring as part of the Mentoring Business Transfer project.Daniel bene ted from the guidance and instruction of severalexperts who helped him to create a coherent nancial plan andprovided him with key pointers on how to manage his business.

He also covered topics such as accounting and nance as well as

human resource management. The mentoring helped me to gaincon dence in running my company. It brought me quality supportin management, nancial, accounting and human resourcesmatters; competences that will prove invaluable to ensure thesustainability of my businesses, said Daniel of the programme.

Due to the current economic downturn, Daniel has been obligedto cutback his costs. He is thinking of changing certain productsor selling them to larger food stores or supermarketsto ensure nancial sustainability.

With guidance comes con dence

AUSTR IA

Age: 26Company name: Fleischerei JbstlYear of take over: 2007

40. Hauptplatz8570 oitsberg, AutriaTel: +43 664 54 17 914

[email protected]

chamber c mmer e Styria

Contact person: Dr. Leopold Strobl 111-113 rblergrasse8021 Graz, AustriaTel: +43 316 60 13 [email protected]

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In November 2007, Stanimir Svatovski took over Perfect EOOD,

a Bulgarian company established in 1995 specialised in agriculture,shing and energy ef ciency. As a result of increasing economicdif culty, Stanimir decided to change the main focus of thecompanys activities by investing in photovoltaic panels to producemarketable electrical energy that would be used by powerdistribution companies of the region. Despite having been anemployee for more than ten years and notwithstanding his highereducation, the 43-year old sought assistance and guidance aboutintroducing and marketing photovoltaic panels, in addition toinformation on legal issues resulting from Perfect EOODs newarea of activity.

Through the Mentoring Business Transfer programme,experts provided Stanimir with explanations on proceduralmatters and on the required documents, as well as additionalinformation on relevant industry bodies from which the newowner could obtain the required permits and useful adviceon how to develop a new energy company on the localmarket. The mentor also gave assistance to Stanimir withhis legal obligations.

In addition, he was given the opportunity to participate in

a marketing survey carried out by the Enterprise EuropeNetwork hosted by the Bulgarian Chamber of Commerceand Industry. The purpose of the survey was to assessvarious producers of photovoltaic panels in differentEuropean member states. Experts working on the surveyprovided Perfect EOODs owner with a list of contact detailsof companies supplying photovoltaic panels in Europe andhelped him to prepare a request for cooperation in English.

In the autumn of 2008, Stanimir participated in a brokerageevent organised by the Plovdiv Technical Fair, which broughttogether companies responsible for implementing energyef ciency and providing renewable energy sources. PerfectEOOD held ve meetings with potential business partners andone of these meetings proved successful, resulting ina commercial agreement with a German energy company.As a consequence, Stanimir has now gained suf cient experienceand background knowledge to ensure the sustainability of hiscompany. As a next step, he plans to take advantage of theEuropean Environment Agencys grant programme opportunitiesto establish the company rmly on the market.

New company, new programme, new opportunities

BULG

ARIA

Age: 42Company name: Perfect EOODYear of take over: 2007

135, Boulevard Tzar Simeon eliki6000 Stara Zagora, BulgariaTel: +35 988 82 02 [email protected]

Bu garia chamber c mmer ea d I dustry

Contact person: Mariana Tancheva9, Iskar street1058 So a, BulgariaTel: +35 929 88 34 [email protected]

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In the French city of ichy, Alain Capon took over La Trouvillaise,

a recently established hotel. The 48-year old man had beena commercial executive at the company Lineapack for 26 yearsbefore acquiring the ownership of the hotel in June 2006.

Alain fell in love with the hotels surroundings and atmosphereand decided to buy La Trouvillaise which, for him, representeda business with potential. However, Alain faced many challengesat the time of the take-over, namely: managing a staff of threeemployees, nding suf cient funding for the business andunderstanding the numerous requirements and standards whichhad to be met in terms of hygiene and safety regulations. Hisstrategy to develop further the activities of the hotel was twofold:trying to attract families with young children and modernising thehotel without excessive costs.

Thanks to the Mentoring Business Transfer programmeproposed by the Chamber of Commerce and Industry ofMoulins- ichy, Alain bene ted from personal coaching whichhelped him to understand the importance of safety regulationsand to obtain the Document Unique, a legal compulsory

document which covers all staff members from damages

caused by occupational hazards. Furthermore, the supporthe received from experts in various elds allowed Alain to takea new insurance policy more suitable to his activity, to geta new loan without interest for the renovation of the hotel, tolearn about promoting his hotel through the internet and to enrolhis company on www.allier-hotels-restaurants.com, a websitepromoting typical French hotels and cuisine. In addition,Alain invested in soundproo ng and introduced local/regionalproducts proposed by the ichy tourism of ce.

In the near future, Alain would like to convert the basement andrevamp the hotel website.

From dream to reality

F RANC E

Age: 48Company name: La TrouvillaiseYear of take over: 2006

9, Rue Desbret03200 ichy, FranceTel: +33 470 97 95 [email protected]

chamber c mmer e a d I dustry M u i s- i hy

Contact person: Stphane Mesmacre17, Cours Jean Jaurs03000 Moulins, FranceTel: +33 470 35 40 [email protected]

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GERM

ANy

In June 2006, Dr. Burkhard Huhle took over ABR GmbH, a companyspecialising in the production and distribution of picture frames. Thecompany, which was created in 1984, had been in de cit since 2001,largely due to insuf cient orders and loss of sales.

Despite having been an employee for over eighteen years, Burkhard,aged 52, was quite apprehensive about the task ahead. Theprevious owner hadnt developed appropriate data control toolsand procedures. Additionally, he was concerned that excessivechange within the company would further damage the business.

Burkhard contacted the Chamber of Commerce of SdlicherOberrhein, who provided him with expert help and guidanceon how to develop a successful, solvent company. He got togrips with strategic analysis, which helped him set realisticsales targets. Burkhard was advised to implement theEnterprise Resource Planning (ERP) system to guarantee anoptimal control of tools and data. He also introduced newadministrative procedures and improved production methods.

Since his participation in the Mentoring Business Transferprogramme, Burkhard has formed a subsidiary company thatspecialises in interior decorating and gallery renovation.He has learnt to exploit internet-related market trends andhas increased the number of customers through partnershipand cooperation.

Despite the effects of the global economic recession, Burkhardhas achieved a steady pro t through his subsidiary company.However, he believes that he must be cautious and monitor hisexpenses carefully during the nancial recession with his mainpriority remaining the maintenance and development of a stablebusiness.

In his own words,To become owner/manager of a company after having been a consultant for so many years is very rewarding anda dream come true. With the mentoring programme, I receiveda good package to be successful .

Strategic analysis for a successful andsolvent company

Age: 52Company name: ABR GmbHYear of take over: 2006

1, Blessingstrae77978 Schuttertal, GermanyTel: +49 782 62 07

[email protected]

IHk Sd i her oberrhei

Contact person: Bernhard Schanze31, Lotzbeckstrae77933 Lahr, GermanyTel: +49 782 12 70 [email protected]

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HUNG ARy

Age: 40Company name: VIS-CO 2004 KftYear of take over: 2008

15-19, Fut utca1082 Budapest, HungaryTel: +36 709 30 45 [email protected]

Hu garia chamber c mmer ea d I dustry

Contact person: Flra Plmay6-8, ossuth Lajos tr1055 Budapest, HungaryTel: +36 147 45 [email protected]

A drSTAScHEIT

Only four years after its creation in 2004, Andr Stascheit tookover IS-CO 2004 ft, a wholesale company responsible forthe delivery and supply of doors and windows in Budapest. The40-year old had been an employee in another Hungarian rm for19 years before becoming the owner of IS-CO 2004 ft in 2008.Andr is now responsible for six employees.

Andr was advised by a good friend to take over the companywhich was said to be running well. He was principally concernedwith sales revenue and price differentials but had not focussed onthe issue of expenses and overheads. He hadnt read up aboutthe products, nor did he meet his partners or suppliers. Andrdidnt meet his staff before acquiring a share of the ownership

and he had very little knowledge of company or human resourcemanagement. He bought a share of the business in the hope ofearning money and making a speedy pro t.

I realised how unprofessionally I had started this enterpriseduring the Mentoring Business Transfer programme, said Andr .With the help of his mentor, Mikls Siska, he was able to see hiscompany as a complex unit that needed to be well coordinatedand well administered.

He adopted a ve year st rategic and nancial plan and heequally learnt entrepreneurial skills. In addition, by the end ofthe programme, Andr was able to advise his business partnerson nancing, management and strategic planning and thecrucial importance of his retailers trusting him in his capacity asmanaging director of a wholesale company.

The Mentoring Business Transfer programme bene ted Andrimmensely, not only in terms of administrative skills, but also ona personal level. It allowed him to feel con dent as a Director andto start his business activities with clear prospects and realisticobjectives. Andr feels optimistic about the future of his companyand thanks to a close co-operation with his retailers, he hopes his

company will become a reliable wholesale business in Hungarywhich is able to meet its targets and its customers needs. In thespace of two years, the Hungarian Director is hoping to buy hisown head of ce and warehouse. Andr also hopes to be ableto provide training for his retailers so they can also learn aboutenterprise management and administrative skills.

Support for a good administrative framework

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Snapshot of a successful photography business

ITALy

Having spent several years abroad, photographer Laura Pavan

took over Fotostudiocamin, a seven-year old Italian company,previously owned by Pompei Mirka. Laura had been an employeefor ve years when she decided to go into a partnership withthe previous owner in 2007. However, for a variety of reasons,the partnership never materialised and Laura became headof Fotostudiocamin at the age of 34. It was dif cult, aftermany years away from Italy, to understand the legal and scalprocedures required for Italian businesses.

When Laura took over ownership of the company, she immediatelysought help and guidance at the Chamber of Commerce of

eneto. She participated in the Mentoring Business Transferprogramme and the guidance she received was very helpful.Experts promptly answered all her queries and were available toprovide practical guidance and examples from sectoral studies.Her initial confusion slowly gave way to an increasingly self-con dent manner. Thanks to the Mentoring Business Transfer programme, I learnt how to control my expenses and run

a stable and successful business stated Laura.

In the near future, Laura plans to expand her business withthe support of her clients. In addition, she hopes to buy morephotographic equipment so as to offer more services. Businesscooperation and personal experience has enabled Laura to realisewhich market sectors are prosperous as well as additional areasher husband might consider investing in upon his return to Italy.

Age: 36Company name: FotostudiocaminYear of take over: 2007

187/D ia igonovese35127 Padua, ItalyTel: +39 049 76 08 83

[email protected]

U i amere de e et

Contact person: Erica Holland19/D ia delle Industrie30175 enice, ItalyTel: +39 041 09 99 [email protected]

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The Chocolatefall, a catering service that supplies chocolate, fruits

and sweets as well as a rental service that supplies machineryequipment, principally for chocolate manufacture, to restaurantsand events, was created in 2004. After 15 years of employment inanother Dutch rm, Monika Pedersen took over, at the age of 38,Chocolatefall in April 2008 and employed two additional staff.

Monika wanted to change certain aspects of the businessportfolio but she was afraid of damaging her company andfound it quite dif cult to choose which products to retain and inwhich new products and company activities her business shoulddiversify. With the help of experts, she expanded the scope ofbusiness activity by supplying sweets and chocolate through hershop, as well as relying on the retail side of her company. Shewanted to upgrade the companys products without damagingthe product balance.

Thanks to the Mentoring Business Transfer programme, Monikamanaged to expand her company shortly after acquiring the retailbusiness in Brielle. She is now considering of expanding herbusiness through franchising. Moreover, Monika now organises

her own workshops and sells dessert wines to go with her

sweets. Before April 2008, the Chocolatefalls main source ofclients were catering companies. Her current client list varies f romlocal people to big event management companies.

THE NETHER

LANDS

Age: 37 Company name: The ChocolatefallYear of take over: 2008

22A, oorweg3233 S Oostvoorne, The NetherlandsTel: +31 614 24 26 [email protected]

kamer va k pha de tterdam

Contact person: Hans lein Swormink40, Blaak, Postbox 4503000 AL Rotterdam,The NetherlandsTel: +31 104 02 74 [email protected]

M i aE E SEn

A sweet beginning with plenty more prospects

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A network of specialists, a world of help

ROMA

NIA

In October 2007, Roxana Carmen Coca acquired the travel agency

Turism Acces Tour from her former boss. Having worked forseventeen years as an entrepreneur, Roxana felt quite con dentabout the task ahead. She was going to head a team of twoemployees in a four year old company.

However, acquiring the company brought a number of issues tolight. Dealing with all the administrative and legal paperwork, aswell as managing the travel agency itself, meant that she barelyhad time to properly interview potential employees. In addition,the 44-year old owner hoped to expand her agency but couldnt

nd any nancial opportunities or grants to do so.

This is when Roxana decided to look for a programme thatwould provide wise and timely guidance on the furtherdevelopment of her company.

The Chamber of Commerce and Industry of Prahova County

offered Roxana the chance to take part in the MentoringBusiness Transfer programme to help her gain knowledgeabout nancing opportunities and acquiring European funds.Equally, with the help of specialists, she became familiarwith scal and legal regulations, as well as human resourcesmanagement. Finally, Roxana signed on to the Chambersnetwork database, which provided her with information onupcoming seminars or programmes that could be bene cialfor her business.

In the near future, Roxana hopes to increase the revenue of hercompany by expanding her clientele thanks to new advertisingand business opportunities which she discovered during theMentoring Business Transfer programme. Thanks to Chamberexperts advice, she plans to focus the companys main activitieson business tourism. Roxana believes that the programme wasa successful and inspiring experience, which gave her theopportunity to meet new people and provided her with the expertiseto develop and expand her company in a safe and secure manner.

Age: 46Company name: Turism Acces Tour LtdYear of take over: 2007

249, Marasesti Street, bl.5A, sc. B, ap.2100276 Ploiesti, Prahova, RomaniaTel: +40 244 40 13 [email protected]

chamber c mmer e a d I dustry rah va c u ty

Contact person: Luana Teodorescu8, Cuza oda Street100010 Ploiesti, RomaniaTel: +40 244 51 45 [email protected]

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In the Slovenian city of isovec, Joica Molka, who had been

working as a manager for 19 years, took over the seven-yearold building company Forgrad d.o.o. Not only did Joica haveresponsibility for four employees, she also had to consolidatethe rms legal and administrative requirements, which weredisorganised and out of date, particularly in relation to currentlegislation regarding the employment of handicapped ordisabled people.

Joica also wanted to develop her knowledge of commercialcontracts and to develop a long term marketing strategy withregard to both domestic and foreign markets. Furthermore, shewanted to undertake a detailed market analysis, based on herclients interests and needs. Finally, the owner needed to betterpromote her company to attract new business opportunities.

Thanks to the Mentoring Business Transfer programme proposedby the Chamber of Commerce and Industry of Slovenia, Joicadeveloped a new internal organisational structure for hercompany based on applicable labour legislation. In addition, thecompany received nancial grants and loans for training and

to create suitable work place conditions for disabled workers.

Finally, Joica dedicated a lot of time to improve and organisecompany procedures and accounts.

In the future, the company intends to expand its businessactivities to eastern European countries such as Croatia, Bosniaand Herzegovina, as well as Serbia. Joica would like to increaseher companys production by 30% and employ three moreworkers. Finally, she hopes to reinforce the companys researchand development activities, particularly in the eld of solarheating systems.

Upgrade to current standards in the constructionsector

S LOv ENIA

Age: 40Company name: Forgrad d.o.oYear of take over: 2008

7, Borovniko naselje1412 isovec, SloveniaTel: +48 631 87 96 [email protected]

chamber c mmer e a dI dustry S ve ia

Contact person: Mojca Osojnik 13, Dimiceva1000 Ljubljana, SloveniaTel: +38 615 89 81 [email protected]

J i aMolkA

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Modernisation of a family business

SPAIN

In October 2007, student Christian Snchez Amores and his

friend became co-owners of Cartonajes Snchez, a family ownedmanufacturing company that produces handcrafted objectsmade out of cardboard. The company was founded in 1903 andChristian was the 4th generation to manage the company. Withthe responsibility for three employees, the 27-year old hopedto adapt the management structure to modern standards.In addition, Christian believed it would be dif cult to maintaina handicraft tradition with high quality standards at low costwhen todays society prioritises technology and associatedcheap labouring/manufacturing methods.

As a result, Christian participated in the Mentoring BusinessTransfer programme proposed by the Chamber of Commerceand Industry of Madrid and found the marketing side of theprogramme most interesting. After nishing the programme,he produced a website for the company and diversi ed itsscope of activities.

In just one year, I have been able to modernise the

management of the company dramatically , saidChristian. The company now produces also cheaperproducts of lower speci cation that can be used fordifferent needs. Hence, Christian has attracted a widerclientele and modernised his business without damagingits essential character.

In the future, Christian plans to establish a QualityCerti cation process such as ISO and attend marketing fairsto promote the company to foreign investors. He would alsolike to sell his products in other Spanish towns and establish

a transportation network or partnership which would eventuallyallow him to export his products.

Age: 27 Company name: Cartonajes SnchezYear of take over: 2007

19, Nave 2, Calle icente Carballal28021 Madrid, SpainTel: +34 917 97 13 [email protected]

chamber c mmer e a dI dustry Madrid

Contact person: Isabel Blanco 56-58 Calle Ribera del Loira28042 Madrid, SpainTel: +34 915 38 49 [email protected]

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oJEcT A TnE S

c rdi at r:EUROCHAMBRESMs Typhaine BeauprinTel: +32 2 282 08 [email protected]

AustriaWirtschaftskammer SteiermarkMr Leopold StroblE-mail: [email protected]: +43 316 601 357

Be giumChambre de Commerce et dIndustriedu Luxembourg belgeMs Anne-Michle BarbetteE-mail: [email protected]: +32 61 29 30 40

Bu gariaBulgarian Chamber of Commerceand IndustryMs Mariana TanchevaE-mail: [email protected]: +359 298 834 82

fra eChambre Rgionale de Commerceet dIndustrie AuvergneMs Michle BernardE-mail: [email protected]: +33 4 73 60 46 51

Chambre de Commerce et dIndustriede ParisMs Anne Treister E-mail: [email protected]: +33 1 55 65 32 33

Chambre Rgionale de Commerceet dIndustrie de Rhne-AlpesMr Michel BeyetE-mail: [email protected]: +32 2 550 02 54

Universit de Savoie Institut de Recherche en Gestionet Economie (IREGE)Mr Christian PicardE-mail: [email protected]: +33 4 50 09 24 40Ms Catherine PuthodE-mail: [email protected]: +33 4 50 09 23 72

Germa yIndustrie und Handelskammer zu SchwerinMs Angela PreuE-mail: [email protected]: +49 3 85 51 03 201

Industrie- und Handelskammer SdlicherOberrheinMr Bernhard SchanzeE-mail: [email protected]: +49 78 21 2703 690

Gree eUnion of Hellenic Chambers of Commerceand IndustryMs Natasha Xarcha

E-mail: [email protected]: +30 21 03 387 104Brussels of ceMs Eirini KonstantinidouE-mail: Eirini. [email protected]: +32 2 735 99 56

Hu garyMagyar ereskedelmi s IparkamaraMs Flora Plmay E-mail: palmay. [email protected]

Tel: +36 1 474 5143

Ita yUnioncamere the Italian Associationof Chambers of Commerce, Industry,Handcraft and AgricultureMr Carlo SpagnoliE-mail: [email protected]: +39 06 470 43 19

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EUROCHAMBRES - The Association of European Chambers of Commerce and Industry

Chamber House, Avenue des Arts 19 A/D, B 1000 BrusselsTel: +32 2 282 08 50 - Fax: +32 2 230 00 [email protected]

mentoring business transfer brochure

Documents