Increasing The Value Of Your Business
A few years back the business owners of an education and tutoring business approached Premier Sales to explore the possibility of selling their business.
After a careful analysis of the business, Premier Sales provided a market valuation report which resulted in a value range that the owners thought was low value. The owners replied, "We can make that much in one year! Why should we sell?"
The Premier Sales associate replied "Maybe it's not the right time for you to sell" and suggested some key areas which if executed properly, would increase the value of the business.
The owners took the recommendations to heart. They changed their operating paradigm and began running their business and making decisions with the intent of increasing the value of the business. Business decisions going forward were made within the new context of driving business value rather than the previous context of sustaining the business or operating in "business as usual".
After two years, the owners re-engaged with Premier Sales. We prepared an updated market valuation. The result was pleasant news to the owners.
The analysis indicated that the business had a market value between $850K and $1.1M, greater than 10 times the initial value. They decided that the time was right for them to sell. Premier placed the business on the market and produced a buyer who closed on the business.
Running your business as if you were to sell it can result in increased business value and position you to extract the most value from the business should you be faced with either an unplanned or planned liquidity event.
To learn how Premier Sales may assist you, call us at 480-905-9030.