Frontier Management

Basic Information

Stock Code
7038
Industry
Services
Category Detail
Professional Services for Businesses
Prefecture
Tokyo
Establishment Year
January 2007
Listing Year
September 2018
Official Website
https://www.frontier-mgmt.com/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Nihon M&A Center Holdings, Grooving, Yamada Consulting Group, M&A Capital Partners, Sigmaksis Holdings, Strike, LTS, Rentia, FPG, Aoyama Property Networks, Sunnext, M&A Soken Holdings, Funai Soken Holdings

Overview

Frontier Management is a rapidly growing M&A advisory firm in the business professional services industry, founded in 2007 and based in Tokyo.

Current Situation

Frontier Management has steadily expanded its business in the professional services for businesses sector in recent years. Estimated sales for fiscal 2023 are around 5 billion yen, characterized by its strength in M&A advisory. Based in Tokyo, it primarily serves mid-sized domestic and international companies as its main customer base, providing differentiated advanced management and financial advice. Leveraging extensive know-how in management efficiency improvement and business succession support, it is steadily increasing its market share in the M&A market. In recent years, it has strengthened consulting services utilizing digital tools and is also engaging in sustainability-related advice. It is enhancing consideration of ESG elements for sustainable growth and has formulated medium- to long-term strategies toward 2030. It consistently monitors market trends and has established a framework to meet diverse customer needs. Additionally, it is focusing on strengthening internal organization and developing specialized personnel to enhance competitiveness.

Trivia

Interesting Facts

  • Listed on TSE Growth within just 10 years of founding.
  • Unique presence specializing in mid-sized M&A.
  • Head office located in a prime business district in central Tokyo.
  • M&A consultation track record is among the top in the nation.
  • In-house development of legal and tax services.
  • Advanced in utilizing digital tools.
  • Adopts proprietary models for corporate valuation.
  • Actively supports female executives.
  • Hosts seminars jointly with competitors.
  • Focuses on supporting regional economic revitalization as social contribution activities.
  • Internal training programs highly rated.
  • High attention from investors.
  • Track record of publishing specialized books.
  • Focus on new graduate hiring with advancing young talent development.
  • Strong ties with numerous partner law firms.

Hidden Connections

  • Long-term collaborative relationships established with major financial institutions.
  • Promoting projects in collaboration with public institutions supporting local SMEs.
  • Partnership with venture capital for deal referrals.
  • Multiple consultants strong in specific industries on staff.
  • Built provision system linked with multiple major legal and tax specialist firms.
  • Company representative serves as committee member in industry associations.
  • Contributing to promotion of local company M&A through collaboration with local governments.
  • Advancing talent development and R&D through university collaborations.

Future Outlook

Growth Drivers

  • Expansion of M&A demand due to worsening business succession issues.
  • Increasing needs for management efficiency in mid-sized and small enterprises.
  • Increase in companies requiring ESG対応.
  • Improved matching efficiency through online platforms.
  • Improved consulting quality through talent development.
  • Expansion of digital transformation support.
  • Active M&A participation by domestic and international investment funds.
  • Rising business reorganization needs post-COVID.
  • Increase in SME support deals utilizing public support programs.
  • Increasing demand for management consulting in emerging industries.
  • Service scope expansion through collaborations and partnerships.
  • Enhanced deal generation through strengthened relations with investors and financial institutions.

Strategic Goals

  • Expand M&A deal closures to more than double current levels.
  • Achieve 10 billion yen in sales while maintaining 15% profit margin.
  • Maximize business efficiency through digital platforms.
  • ESG consulting deals to account for over 50% of sales.
  • Achieve female manager ratio of 30% or higher.
  • Nationwide rollout of regionally embedded services.
  • Expansion and diversification into new business areas.
  • Double specialized personnel while maintaining high customer satisfaction.
  • Establish top-tier brand value within the industry.
  • Build and promote sustainable management framework.

Business Segments

M&A Intermediation Services

Overview
Provides a full range of support from negotiations to contracts and execution for corporate M&A.
Competitiveness
High-specialty M&A know-how for mid-sized companies
Customers
  • Mid-sized company executives
  • Successor candidates
  • Business succession seekers
  • Financial institutions
  • Investment funds
  • Securities companies
  • Accounting firms
Products
  • Corporate valuation
  • Target company search
  • Contract negotiation support
  • Due diligence
  • Contract drafting support

Management Consulting Services

Overview
Provides support for resolving management challenges aimed at enhancing corporate value.
Competitiveness
Hands-on consulting
Customers
  • Manufacturing
  • IT companies
  • Service industry
  • Retail
  • Non-listed company executives
  • Venture companies
Products
  • Management strategy formulation
  • Organizational reform support
  • New business development support
  • Business efficiency improvement
  • Market research and analysis

Financial and Fundraising Support Services

Overview
Comprehensive support for corporate fundraising and financial improvement.
Competitiveness
Extensive network with financial institutions
Customers
  • Growing companies
  • Startups
  • SMEs
  • Investors
  • Financial institutions
Products
  • Fundraising consultations
  • Investor relations support
  • Cash flow improvement measures
  • Financial reporting support
  • Financial audit preparation

Competitive Advantage

Strengths

  • High expertise specialized in mid-sized companies
  • Reliability in M&A advisory
  • Convenience of being based in Tokyo
  • Extensive network with related companies
  • Abundant know-how in financial areas
  • Introduction of the latest consulting technologies
  • Strong customer support system
  • Diverse consulting services offered
  • Personnel strengthening through continuous employee training
  • Solid financial foundation
  • Building long-term relationships with clients
  • Quick market response capability
  • Promotion of digital tool utilization
  • Proposal strength based on abundant case studies
  • Preparation for sustainability対応

Competitive Advantages

  • Strong support from mid-sized company executives
  • Comprehensive advisory capabilities in management and finance
  • Analytical capabilities utilizing the latest digital technologies
  • Proposals based on extensive industry knowledge
  • Flexible service deployment tailored to customer needs
  • High deal closing rate in M&A intermediation
  • Strong ties with financial institutions and investors
  • Reliability backed by abundant track record
  • Focus on talent development for high-quality service provision
  • Regionally embedded consulting
  • One-stop service for M&A-related legal and tax matters
  • Strengthened advice on sustainable management
  • Thorough information security measures
  • Highly evaluated as a long-term management partner
  • Measures to increase recognition within the industry

Threats

  • Price competition due to increasing competitors
  • Customer reduction due to Japan's declining population
  • Decrease in M&A deals due to economic fluctuations
  • Changes in business environment due to legal system revisions
  • Delay in responding to rapid advancements in digital technology
  • Changes in customer needs due to diversification of management strategies
  • Offensive from new entrants
  • Strengthening of sustainability-related regulations
  • Decline in service quality due to shortage of human resources
  • Uncertainty in the global economy
  • External shocks such as COVID-19

Innovations

2023: DX Promotion for Business Efficiency Improvement

Overview
Advanced data analysis and case management through AI tool introduction.
Impact
15% reduction in business hours and improved customer satisfaction.

2022: Strengthening of ESG Consulting Framework

Overview
Full-scale introduction of sustainability-related advice into services.
Impact
New customer acquisition and trust from existing customers.

2021: Development of Online M&A Matching Platform

Overview
Built a platform enabling non-face-to-face M&A deal matching.
Impact
20% increase in new deals.

2020: Launch of Executive Community Program

Overview
Began providing online venues for information exchange and learning among executives.
Impact
Contributed to increased customer loyalty and cross-selling.

Sustainability

  • Strengthening advice based on ESG evaluation metrics
  • Promotion of paperless operations within the company
  • Talent development to increase female manager ratio
  • Promotion of CSV activities through collaboration with local communities
  • Establishment of internal guidelines for reducing environmental impact