We’ve said it before and we’ll say it again – this has been an extremely difficult few months for all of us, but there is no better time to think seriously about your business. In this article, we have compiled a few tips to create value in your business.

The key to building value in your business is to plan the process in a systematic way, whether you’re aiming to grow your business or groom it to get a better price from a buyer.

Looking through the eyes of buyers

Whether you just want to build a stronger business, or you’re looking ahead to the day when you might want to sell it, it helps to think of your business through the eyes of a buyer. Aim to:

Work on stability

The longer your business has been operating, the easier it could be to sell, provided it has a solid track record. Aspire to:

Develop reliable markets

A strong history is reassuring, but buyers will be more interested in the future. Make sure you:

Nurture a stable customer base

A well-managed customer database is one of the most valuable assets as it can be used in many ways for marketing and gaining referrals. Try to:

Secure your cash flows

Stable future cash flows are critical to the value of a business. Buyers will want evidence of reliable revenue streams coming into the business. Aim to:

Refine marketing tactics that work

Buyers will want to know what tactics have worked best for your business. Ensure you:

Maintain tight financial control

Excellent financial management will show up in your credit history – something you can be sure a buyer will check out. Plan to:

Develop great business systems

Excellent business systems add considerable value to any business because they allow you to spend more time working on your business rather than in it. They also make the transition to new ownership much easier. Make sure you:

Grow your brand

A buyer will see significant value in an established and respected brand that differentiates your business from competitors. Aim to:

Protect your intellectual property (IP)

Intellectual property can add considerable value to your business, but only if it’s well protected. Ensure you:

Build strategic alliances

Strategic alliances can be important sources of growth and added value. Be sure to:

Lock-in key employees

Dedicated and experienced staff can be a key asset in the eyes of a buyer, especially if they’ve helped you create a valuable business. Plan to:

Got a question about your business? Please don’t hesitate to ask. Our goal is to help our clients future-proof their business.

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