You take a risk founding a business, and you take an additional risk not knowing its value. Routine business valuation verifies your company’s worth and identifies those corporate traits that enable you to make informed business decisions to focus on growing the company. Once the valuation is done, what should the savvy business owner do …
After the Valuation: Focus on Your Strengths, Eliminate Your Weaknesses Read More »
An exit strategy is a must when considering selling your business. Don’t just emphasize your company’s resistance to recession. Show prospective buyers how your company has development potential, which means having a robust and convincing business strategy that forecasts your growth. Just as building a business takes time, so does selling it to a reputable …
How to Make Your Company More Appealing to Buyers Read More »
A vast majority of business owners associate their business performance metric with their income statements’ bottom line. And as long as that performance metric grows steadily, they assume their business is doing well. They rarely spend time and resources to see and understand the bigger picture of the actual state of business affairs. So focused …
The business valuation process determines the current market value (CMV) of a company. It entails in-depth qualitative and quantitative analysis of all factors impacting a business. There are three primary valuation approaches: the asset approach, the market approach, and the income approach. These approaches calculate a business value in different ways, but all strive to …
Valuation Basics: Understanding the Asset Approach Read More »
Company owners who have no intention to transition their companies to new management any time soon often ask why they need a business valuation. Business valuation provides the baseline value of a company, the starting point from which you, as a business owner, may build a company with transferable value. Transferable value is what your …
What Exactly Does a Business Valuation Imply About My Company? Read More »
While business owners often get a business valuation done for various reasons, they remain unsure what to do after the valuation. Whatever the reason for getting a business valuation, you can always make the most out of it by knowing what to do afterward. What Does a Business Valuation Determine? A business valuation is a …
Successful businesses create value for their owners, customers, suppliers, and employees. A company that does not create value ceases to exist. The value keeps a business running. The value creation journey begins with the commencement of your business. However, you can reap even greater benefits if you work intentionally to create value. What Is Value …
Starting with the end in mind is the best practice when founding a business. As you go about day-to-day planning and the overall building of your business, consider its value proposition, an estimation of the health and well-being of your business, and the factors directly or indirectly impacting your business value. Elements of Business Value …
Business owners often delay the exit planning process until forced by circumstances because they do not appreciate the benefits of starting early even though they know they must eventually leave their companies. Owners of new businesses have the excuse of focusing on growing their businesses, but it’s never too early to start exit planning, no …
When it comes to enhancing business value, maximum effort minimizes risk. As a business owner, you may think that risk mitigation is critical. While it is essential, it’s not your only tactic. De-risking your business will pay enormous rewards, but it’s not enough to meet your future business goals or desired exit. What Is De-Risking? …
