Mid-Market Industry Spotlight
Kajavala Forestry

Kajavala Forestry

Kajavala Forestry Limited (KFL) is a good example of a Mid-Market business that has successfully negotiated the path to succession. KFL is a family-owned business which started out as a logging contractor but is now a provider of log warehousing, scanning, computer optimisation, processing and logistics services to forestry owners. Jalo Kajavala started the business in 1970 but transferred it to his son Jacob over the last few years.

“I began working in the business aged 11, and I’m now in my 40s, so it’s been a long process of transition,” Jacob said. “Overall, the succession process went smoothly – my dad is now semi-retired and I am quite happy with my role.”

This is a good time for the forestry industry – business has been stable since the GFC. We could probably double turnover in the next 12 months, but much of that would be low-margin business, which we’re not interested in. The focus now is on maintaining margins.

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