CHICAGO, Ill., March 11, 2025 -- When a nationwide turnaround firm turns up the heat — with over 50% growth in the last year alone — a move to a bustling headquarters in a world-class city can’t be far behind. With its success in helping businesses work through financial trials, Novo Advisors is proud to announce the opening of its new HQ in the heart of downtown Chicago.
For Novo, the expansion highlights its growing team of experts immersed in its work to stabilize troubled businesses. It also signals the arrival of a boutique firm as a nationwide financial services powerhouse. “Our growth reflects the talent of our team and a mission to hire exceptional professionals in key cities to better service those markets,” said Managing Partner and Founder Sandeep Gupta, a 30-year industry veteran. Novo has strategically and thoughtfully expanded its Chicago team and established its presence in New York, Philadelphia, Nashville, Minneapolis, and Dallas.
Our growth reflects the talent of our team and a mission to hire exceptional professionals in key cities to better service those markets.”
Sandeep Gupta
Managing Partner and Founder
Novo’s new address, 200 W. Madison St., is steps from the city’s iconic State-and-Madison crossroads in the heart of Chicago’s financial district. The office’s open floor plan provides a nexus for collaboration, innovation, and teamwork, with easy access to public transportation and amenities for employee well-being — and fun — that include a fitness center, an arcade room, and a golf simulator.
The story that brought Novo Advisors to a sleek new space humbly began in 2012 from Gupta’s dining room table. There, the University of Chicago Booth MBA and former nuclear power engineer worked out his vision to build a company that would deliver more than just results on paper by assembling an all-star lineup driven by its financial and legal prowess. Recently, Novo added practices in Healthcare Transformation and Dispute and Mediation.
“The high caliber of our team and the incredible support we’ve received throughout our journey drives everything,” said Gupta. “I want to thank our clients and the Novo leadership — Rian Branning, Nick Mungor, Michael Ragano, Jacob Grall, Claudia Springer, Kevin Neuman, Matt Cohn, and Rob Vanderbeek— for being instrumental in driving our growth and success. As we step into 2025, we’re excited to continue to roll up our sleeves and deliver impactful results.”
About Novo Advisors
Novo Advisors specializes in business turnaround and performance improvement focusing on the middle market ($50 million – $1 billion in revenue annually). As businesses hit critical inflection points, Novo provides expertise and a fresh perspective to navigate these challenges. Through immersion, listening, and analysis, the team works to understand a business and tailor solutions to drive sustainable change. The Novo team, drawn from top-tier firms, combines extensive experience in financial planning, data analytics, and operational roles. With a commitment to collaboration and high standards, Novo Advisors consistently achieves optimal outcomes for its clients.
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Contact
Anupy Singla
Senior Marketing Director, Novo Advisors
anupy@novo-advisors.com
312-961-2565
A huge thank you to the over 300 guests who joined us for our inaugural cocktail reception with Pashman Stein Walder Hayden P.C., held during the Turnaround Management Association’s Distressed Investing Conference and SFNet’s Asset-Based Capital Conference in Vegas.
The event was hosted at the stunning La Cave Bar & Restaurant in the Wynn. A special shoutout to their incredible staff for helping make this night truly unforgettable.
Thanks to everyone who took the time to connect with us, we truly appreciate the conversations and new connections! If we didn’t get a chance to meet, or if you want to keep the conversation going, feel free to reach out via email or connect with the Novo team members directly.
Email Novo Advisors | Email Pashman Stein
Until next time, Vegas!
Our team is excited to be on the ground at two of the industry’s premier events: SFNet’s Asset-Based Capital Conference (February 11-12, 2025) and the Turnaround Management Association’s Distressed Investing Conference (February 11-14, 2025).
These gatherings bring together top finance and banking professionals to discuss the latest trends, opportunities, and challenges in the industry.
If you’re attending and looking to connect, we’d love to meet up! Reach out to us and let’s make the most of this week in Vegas. See you there!
Thank you for joining us at Goodman Theater’s The Magic Parlour to witness Dennis Watkins perform his unforgettable night of magic and illusion. We are still trying to figure out how he locked those wedding bands together, read our minds, and predicted guests’ names and even credit card numbers! Stay tuned for our Spring Series (NYC, Philly, Chicago) kicking off in April of 2025. We at Novo Advisors want to wish you and your family a restful end to the year and thank you for your ongoing support and friendship!
By: Nick Mungor, Partner at Novo Advisors
Featured in SFNet Midwest Quarterly Newsletter, Q3 2024 Issue
In today’s ever-changing business environment, managing costs is a critical component of maintaining profitability, especially when faced with stagnant, declining, or unpredictable revenues. Many companies have grown reliant on their existing cost structures and find themselves paralyzed when the time comes to reduce expenses or reimagine their business operations to support lower revenue levels. This challenge has become more pronounced in the wake of COVID-19, which has drastically altered revenue streams for many businesses — sometimes for the better, but now settling back to reality, or “old normal”.
Accurate revenue forecasting has always been tough to predict, but the pandemic has amplified this difficulty. Companies have experienced revenue changes due to factors such as shifts in consumer spending, industry-specific market softness, and significant changes in their workforce. The uncertainty makes it hard for businesses to decide when to pull the trigger on cost reductions. Many have grown into their new, larger structures, making it harder to scale back on technology, personnel, or operations.
Read below as we dive into the critical importance of cost management, especially during periods of decreasing revenues. We’ll explore the procedures companies should have in place for managing costs and strategies they can take when action is necessary.
Nick Mungor, a partner at our firm, highlights a common situation he sees:
“Companies often struggle to grasp that if they were a $100 million revenue company but are now down 20%, they should not fixate on the decline. Instead, they should focus on the fact that they may now be an $80 million company, which they likely were a few years ago and operated well. By stepping away from the emotions and conducting a look-back exercise, they can identify what is needed to return to the efficient operations they had at $80 million. While some costs are harder to unravel, having a plan and taking action, even if disruptive initially, is almost always better than doing nothing.”
To navigate through these revenue downturns, businesses should consider the following strategies:
Businesses must remain agile and proactive in managing their cost structures amid uncertain revenue forecasts. By understanding costs, having contingency plans, and making informed decisions, companies can navigate through revenue fluctuations and maintain financial health. At Novo, we are committed to helping businesses navigate these challenges. We offer strategic guidance and practical solutions to reconfigure cost structures in ways that support long-term sustainability.
In today’s rapidly evolving healthcare landscape, AI is increasingly being leveraged to enhance decision-making, improve financial performance, and streamline operations. Kevin Neuman, Principal and Healthcare Practice Leader at Novo Advisors, brings over three decades of experience in healthcare performance improvement and restructuring. In this Q&A Kevin shares his thoughts on the role of AI in healthcare, the challenges organizations face when adopting these technologies, and the key lessons he’s learned from leading successful turnarounds. His expertise provides valuable guidance on how AI can be used to not only stabilize struggling healthcare organizations but also drive long-term success.
Kevin: I’ve spent 35 years working in healthcare, focusing heavily on performance improvement. My work has ranged from improving financial performance and implementing technology solutions, to working with physicians and care providers on the front lines. I co-founded Perigon, a business intelligence company aimed at improving decision-making in the healthcare supply chain, which was later sold to a Fortune 30 medical products distributor. My experience in improving healthcare processes naturally led me into restructuring — moving people and processes around and focusing on financial stability are all key components of this field.
Kevin: The first priority is understanding the capabilities of the management team. Can they execute the changes necessary? It’s crucial to assess their strengths and weaknesses. I often find that some individuals struggle to make the tough decisions required for significant change. Leadership needs to be responsible and decisive. Our role is to provide the expertise and support, but ultimately, the management team must be willing to act.
Kevin: AI has been around for a while, but at its core, it's about data science. In healthcare, AI helps organizations bring together vast amounts of data to make better, more informed decisions. It allows us to move from "good" to "better" by providing deeper insights. However, there’s a lot of hype and fear around AI, especially the misconception that it will take jobs. In reality, AI enhances jobs and allows people to do more with better tools. It’s important to understand AI’s potential but also be realistic about its limitations.
Kevin: AI plays a significant role in reviewing historical data and predicting future performance. In healthcare we deal with an overwhelming amount of data but often it's fragmented. AI helps bring that data together to identify where investments will yield the best ROI and pinpoint areas that are hurting the business. With AI, we can create a clearer financial roadmap to guide organizations on where to focus resources for the best outcomes.
Kevin: Change, particularly in healthcare, can be uncomfortable, especially for people who have been with an organization for a long time. The key is to help people understand the journey and why they are a critical part of it. You have to enable them to see how these changes will ultimately help them perform their jobs better and improve patient care. From a technical standpoint, it's about demonstrating how AI can enhance efficiency and outcomes, not replace people.
Kevin: One of the most important lessons is that healthcare has multiple stakeholders — shareholders, employees, clinicians, and patients — and each needs to be brought into the conversation. You need to be clear about everyone’s role and whether they want to be part of the future state. Understanding both the business and care sides of the equation is crucial for a successful turnaround.
Kevin: One of the best practices is to be willing to experiment. AI, like all technologies, is a journey. It’s important to understand the technology and manage the risks while testing how it can be applied. Have a clear plan in place but be open to learning and adapting as you go.
Kevin: AI is an evolution and not a revolution. It’s important not to rush into it out of fear of being left behind. Take the time to understand the technology and its potential before implementing it. Stay level-headed and avoid getting caught up in the hype. Be informed and realistic about what AI can do for your organization.
Kevin: I’d like to see a broader understanding of how AI can support specific organizational goals, particularly in healthcare. We need to explore how AI can improve patient care without losing sight of the "do no harm" principle. There’s still a lot to learn about AI’s long-term outcomes, and I’m hopeful we’ll continue to experiment and find new ways to enhance care and decision-making.
Kevin: Face it head-on with a clear plan. Don’t fool yourself about what AI can or can’t do for your organization. Be proactive and informed — do your research, experiment with AI solutions, and manage the risks. Start with a simple Google search, which can lead you to a wealth of information. AI changes rapidly, so it’s important to stay curious and continually learn how to apply it effectively in the future.
To learn more about AI and Kevin’s expertise, contact him at kneuman@novo-advisors.com.
You can also join Kevin and TMA Nashville as they team up for a panel on Tuesday, December 3, where he will lead a discussion on AI's impact on restructuring, particularly in healthcare, from both legal and operational perspectives. He’ll be joined by Ronald Rerko (Practice Director at Onix Networking Corp.), Dr. Galina Datskovsky (AI expert and OpenAxes board member), and Kevin Michael Mooney (Attorney and Senior Director of Enterprise Data Governance at the Cleveland Clinic Foundation). The panel will cover key legal considerations, including intellectual property, privacy, confidentiality, and strategies for future-proofing AI models.
Live and Virtual event:
Tuesday, December 3, 2024
12:00 PM - 1:30 PM CDT
Holland & Knight LLP
511 Union Street, Suite 2700
Nashville, TN 37219
A huge thank you to everyone who joined Novo Advisors for our 10th Annual Air and Water Event! It was a fantastic day filled with great conversation, stunning views, and, most importantly, the pleasure of spending time with our wonderful clients and friends. The Blue Angels were in true form and the weather could not have been more perfect. For those who couldn’t make it, we missed you and hope to see you next year. Your presence always adds something special to the event, and we look forward to sharing another memorable experience with you in 2025! From the entire team at Novo — THANK YOU for your support and friendship.
Claudia Springer, a veteran in the field of restructuring and bankruptcy law and more recently business advisory in the restructuring space, has been leading Novo Advisors’ Philadelphia office and its new Mediation practice for just over three years. She also acts as Novo’s in-house counsel and frequently leads a small team in cases where Novo acts as receiver or assignee for the benefit of creditors or as a fiduciary (for example, a trustee of a liquidating trust). With over 40 years of experience, Claudia brings extensive expertise and a deep understanding of this field to the table. Her path from attorney to turnaround consultant highlights her adaptability, determination, and passion for the field. Read below for insights from our conversation with Claudia, where she shares her thoughts on current market trends and how her background as a practicing attorney has enabled her to successfully pivot from lawyer to restructuring strategist.
About Claudia Springer
Claudia’s legal career is marked by her tenure at the prestigious firms of Reed Smith LLP and prior to that Duane Morris, where she represented a diverse array of clients in high stakes restructuring and bankruptcy cases. Her clientele included debtors, major creditors, shareholders, boards of directors, creditors’ committees, landlords, buyers of assets, plan sponsors, bondholders, guarantors, and more. This extensive experience has equipped Claudia with a deep understanding of the intricate dynamics and challenges in the field of insolvency, spanning various industries from healthcare and pharmaceuticals to heavy manufacturing and retail. Notable cases like Allegheny Health and Education Foundation, National Steel, St. Vincent’s Catholic Medical Center, Erickson Senior Living, Vertellus Chemical Company, Boscovs Department Stores, the Philadelphia Orchestra, and Purdue Pharma highlight the array of industries that she is familiar with as well as her broad expertise and skill.
Claudia: I practiced law for over 40 years, and while I loved it and enjoyed success, I felt it was time to use my skills to transition into a different role for the remainder of my career. As a lawyer, I often provided business counsel and strategic advice. Clients retained me not only for my skills as a lawyer but also for my business insights and ability to map out solutions to thorny business issues. It seemed like the right time in my career and life to make a change to an area that called for a slightly different skill set but also made use of the knowledge I developed over my many years as an attorney. I went into this knowing I would have to work hard to prove I could successfully transition to the business side of restructuring, but I was prepared to make the time commitment to be successful.
Claudia: We’re seeing significant decisions from both the Circuit Courts and the Supreme Court impacting bankruptcy cases. One prime example is the recent Supreme Court decision in the Purdue Pharma case, where the court overturned a Second Circuit decision and ruled against the confirmed bankruptcy plan, a plan that shielded the Sackler family from liability for their role in the opioid crisis. There’s also a trend of smaller businesses opting to go the route of state and federal receiverships or assignments for the benefit of creditors to avoid the steep costs associated with Chapter 11 cases. While the bankruptcy arena has been very busy over the past few years, the out-of-court and state court alternatives to chapter 11 have also seen a significant increase in activity.
Claudia: I work with others at Novo to review and challenge historical and current data provided to us by the company and study aspects of the industry in which that business is involved. Transparency with the company’s lenders is crucial. Lenders don’t like surprises; they want to know the worst-case scenarios upfront and they usually want a timeframe for exiting the credit. Planning for the worst while aiming for a favorable outcome is essential. You always need a Plan B. When using bankruptcy to stop litigation or stabilize the business, it is vital to have an endgame planned. For example, if you want to use Chapter 11 to sell assets, you must also consider what happens after the sale. While many difficult issues cannot be worked out in advance of a filing, a road map for solving them should be developed beforehand assuming time permits.
Claudia: Recently we were retained as the Court appointed receiver for a trucking business. While the Company had been very successful for several generations, covid and other issues severely impacted its cash flow and its lender wanted to exit the credit. No other lender was willing to lend the amount needed to keep the business alive and equity was unwilling or unable to invest more money in the company. Equity did agree to place the business in a receivership so that an orderly liquidation of assets could occur with the hope that most creditors would be paid. Ultimately, we successfully negotiated with a wide variety of creditors regarding their claims and obtained a great result from an auction of the assets. We managed to pay all unsecured claims in full, other than the unsecured portion of the Bank claim. We negotiated with creditors, including landlords and employees, much like one would in a chapter 11 case. While we engaged outside counsel, much of the negotiation was conducted by a Novo team of two which included me.
Claudia: The legal and business aspects of restructuring are closely aligned. My legal background helps me provide business suggestions that consider the limitations that exist under current law. This dual perspective is beneficial for clients, as I can offer strategic advice considering both legal and business implications. I don’t try to be the lawyer for our clients, but my legal knowledge allows me to provide a comprehensive view on strategy and potential legal hurdles.
Claudia: During my legal career I was involved in numerous mediations but most often as a representative to one side of the dispute. Recently, I was retained by a decedent’s estate mired in debt, for the purpose of negotiating and mediating disputes between numerous creditors of the estate. After three years, all of the disputes were settled, and creditors received much more than most would have received had they continued to litigate their claims. Most cases can be settled successfully if parties are willing to make the effort and are amenable to compromising their positions in light of the risks and costs of litigation. For the mediator, one critical aspect to being effective is preparation and the ability to listen. Being tenacious also helps.
Claudia: One of the biggest hurdles we as restructuring professionals face is timing. Our clients often come to us when their situation is already grave and not easily reversible. Cash may be running out and the lender wants a quick exit. My advice is to address problems early and seek help sooner rather than later. While seeking help might seem expensive and is often viewed as an admission that the business is struggling, it is key to turning around a situation before it becomes irreversible. Time is not usually on your side, so acting early is crucial. Don’t wait to see the doctor when you know something is not right.
Claudia: If you have legal expertise in restructuring and are seeking to use that to pivot into business consulting, you need to be willing to take a few steps back before moving forward. You should be willing to devote the time to learning a different aspect of the field, although you will likely find, as did I, that having the legal expertise and the years of working alongside turnaround consultants, is a great advantage and provides a solid springboard from which to be successful. I have found the transition to be extremely rewarding, especially when we are able to resuscitate businesses that were on a downward slope.
_______________________________________Claudia’s knowledge and experience in restructuring and bankruptcy are valuable contributions to Novo Advisors and its clients. Contact Claudia today at cspringer@novo-advisors.com or catch her at the upcoming Commercial Receivers Association conference on August 21st where she will be moderating the “Hot Topics” Panel.
Thank you to everyone who joined Novo Advisors for dinner and a show at nationally acclaimed The Second City in Chicago. It was an especially special night as the partners at Novo introduced our expanded team. The show was, as always, beyond impressive, and allowed us a chance to relax and laugh a lot! It's a great way for our team to meet our clients’ spouses and significant others and connect on a deeper and more personal level. Who is going to forget all of the folks from our group that were brought up on stage and asked to perform that night? We told you our consultants have many talents! At Novo, we always put the focus on building relationships, and thank you for the support!
