What EY capital allocation services can do for you

Today’s economic climate is forcing businesses to candidly assess their financial fitness. More than a mere review of operations, companies today must conduct objective assessments of the alignment of their business strategies to their accompanying asset portfolios. The goal is the optimal allocation of capital.

We offer insights to help you get answers:

  • Is your capital allocated appropriately across projects, functions, divisions, customers and geographies?
  • For your business, how do you know which capital optimizing measures really matter?
  • Do you use scenario modeling and other risk assessments to inform your decisions relating to capital optimization?
  • Are you able to demonstrate that your business decisions and capital deployments are founded on robust data and reasoned assumptions?

How EY's capital allocation services can help you design an optimal capital allocation strategy:

Cash culture drive: Companies are now more closely monitoring their cash — and the risks to cash flow — rather than solely on the profit and loss account. This includes evaluating business practices to optimize working capital levels needed to support the business and releasing any excess cash that could be used for other purposes, along with enhanced cash flow forecasting.

Corporate efficiency: The constantly changing business landscape demands stronger corporate governance, requiring companies to be efficient, streamlined and transparent. An increasing number of organizations are looking internally and examining both the size and complexity of their legal structures.

Proactive portfolio management: Optimal capital deployment should not be left to chance. Companies need to track measures such as return on invested capital (ROIC) — and in particular, to compare their own performance in these areas to that of competitors. In general, ongoing portfolio analysis can help ensure the company is in the right markets for today, but still anticipates the right businesses for tomorrow.

Forecasting and scenario planning

COVID-19 has upended customer demand and supply chains, as well as historical forecasting methods. Companies often lack the capital allocation processes and tools to make rapid decisions to address these changes. Learn more.

Contact our capital allocation services team to support your business
Like what you’ve seen? Get in touch to learn more.

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    The team

    Evan Sussholz

    EY US Strategy and Transactions Partner
    Global client services partner and experienced transaction advisor who helps clients enhance shareholder value by making better decisions around capital strategy. Dedicated husband and father.
    Chicago, USA

    Andre Toh

    EY Asean and Asia-Pacific Valuation, Modeling & Economics Leader
    Seasoned transaction advisor and valuation professional.
    Singapore, SGP

    Adrian Nicholls

    EY Global Valuation, Modeling & Economics Leader
    Decades of valuation experience working across sectors and geographies for a range of purposes, from portfolio optimization to M&A to dispute. Married with two teenage children.
    London, GBR

    Sebastian Schmidt

    Lead Partner of the Strategy & Transactions Modeling Group for the Europe West Region and Germany
    Experienced transactions advisor. Views transparency in management decisions as an important factor for sustainable strategies. Music fan, runner and mountain biker.
    Berlin, DEU

    Mike Lawley

    EY Americas Valuation, Modeling and Economics
    Seasoned corporate finance executive specializing in capital structure, valuation, capital allocation, and financial risk management decisions.
    New York, USA

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