Manufacturer Scrambles™ to Overcome Delivery Delay of Critical Parts
Customer Type:
Advanced Manufacturing / Government Supplier Subcontractor
Client:
U.S. Manufacturer (Mid-Sized)
situation:
A legacy manufacturer was spiraling in crisis after years of unprofitable projects and poor financial oversight. Facing wage arrears, tax delinquency, vendor distrust, and insurmountable debt, the company had no working capital left to order materials and fulfill a $1M defense contract. A key investor turned to Scramble Systems for a last-resort intervention to stabilize operations and work with the team to salvage the deal.
why scramble:
Scramble delivered a fast, full-force business intervention with immediate focus on addressing cash preservation and controls, operational triage, partner and creditor engagement, and cultural reset.
Scramble Partners
Executive Ownership/Management
Key Investor
Key staff
Key creditors
Breakthroughs/ Outcomes
$1M Defense Contract Rescued Fulfilled the high-stakes order, generating $225K in immediate revenue and unlocking $100K+ in additional consideration.
$20M in Liabilities Restructured Reduced total liabilities by 50% through coordinated negotiation with creditors, counsel, and ownership.
Cash Burn Reduced by 80% Cut monthly expenses from $2M to $400K in under four months through disciplined cash management and operational resets.
Eliminated Over $1M in Unprofitable Revenue Reoriented the sales pipeline to focus on core capabilities and margin-positive opportunities.
Rebuilt Accountability Culture Re-engaged unpaid staff, restored trust, and realigned leadership around clear financial and execution metrics.
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