Lienert Vineyards: business advisory services helping to transition a multi-generational family business.
For a multi-generational family, managing succession plans and transitioning the business in a new direction could be a complicated and stressful experience. But that’s not the case when new owners can take advantage of the tailored expertise and guidance available within the dmca advisory team.
Lienert Vineyards is a wine and viticulture business located in the picturesque Barossa Valley.
A third-generation family business, now run by John Lienert and his brother, the company needed to transition from a livestock and wheat farming operation and to grow with a new generation of owners.
While the historic agribusiness had been profitable for two generations, the Lienert brothers were keen to capitalise on that success with new opportunities to concentrate on viticulture. The first vines were planted in 2001.
Growing the business required strategic thinking and a measured approach to carefully weigh up potential risks and opportunities. John needed an expert team who could guide the family on this new path and mitigate risk.
Luckily, expert help wasn’t far away. Tania Tonkin from dmca had worked on succession planning strategies with the family, eventually overseeing the handover of the estate to the brothers. The team had also managed the successful sale of another Lienert business to a multinational company.
John knew he’d found the right team to help him continue with a new direction.
The Challenge
Transitioning a family business from general agribusiness to a more specialised viticulture focus takes time, investment, and the ability to see around corners to plot the next move.
Although the culture of the original company would be preserved, it was also important to continue the momentum and to help John build on the legacy of Lienert Wines.
While John was an expert wine maker and viticulture specialist, he didn’t have the time or specialist skills to manage all the complex legal, tax and financial reporting tasks required of a busy farming operation.
In addition, like many family business owners, John knew he needed an additional perspective from outside the family to provide financial and legal guidance on the growth of operations and new ventures.
How could Lienert Vineyards find an expert team with the full suite of skills needed to manage and grow a new agribusiness operation, as well as the wisdom and foresight needed to help protect personal family investments?
The Solution
dmca advisory joined the team at Lienert Vineyards as trusted advisors and ‘an outsourced CFO and accountant in one’.
Led by dmca director Tania Tonkin, an interdisciplinary finance team helped John shape the business into a more specialised operation, focused on viticulture and wine-making.
Advisors assisted with the company’s reporting and financial obligations, and managed important family assets including several self-managed super funds. dmca tax specialists were able to add value with information on key issues affecting the new brand Jack West Wines — including WET tax, business subsidies, and accelerated depreciation of new plantings.
Working remotely with a regional business meant regular email and phone contact was essential for dmca to quickly become part of a trusted team
Quarterly face-to-face meetings were arranged either in the Barossa or in Adelaide to update on progress, and to discuss operational issues with the family.
The Result.
dmca advisory has now been working with John and his brother James for more than eight years.
Tania’s leadership and experience as a chartered accountant and wealth management adviser has helped John transform the business — ensuring all family members were always fully engaged in the process. Sound financial management has ensured the business is profitable and well placed for growth.
As testimony to his trust in the dmca team, John recently invited Tania Tonkin to chair the family’s advisory board, providing valuable insight into likely trends regarding tax, finance and legal issues.
With the experienced dmca management team on-hand, John and his brother now have more time to concentrate on ‘the bigger picture’ — the evolution of the Lienert wine and viticulture business, and new ventures under the label Jack West Wines.
