When someone buys your business, they are buying its future – not its past. You need to make sure that the future of your business is as attractive as possible. This means that “business as usual” is not good enough. You need to make sure that when a buyer evaluates your business, the future strength is readily apparent. Buyers consider three areas when they evaluate your business: the “track,” the “racehorse,” and the “jockey.”
The “track” is your industry. While you cannot do much to change your industry, you can make sure you understand it well. You can also identify the niches or segments that are more attractive and make sure that you have a program in place to win in those segments.
The “racehorse” is your company. Do you have systems in place to run key business processes? Do you have an infrastructure that is ready for growth? Do you have products that provide significant value to your customers? Does your company own intellectual property that creates a “moat” around your business?
The “jockey” is your business leadership team. Is there a clear leader who drives the company forward and will do so for the next five years? Does your company have a deep bench of management talent? Are there many people you trust to lead initiatives or manage functional areas?
You need to have a compelling story for these three areas: why you are running on the attractive part of the track, with a racehorse trained to win, and a jockey who can steer you to the finish line. If you do not, you are not maximizing the value of your business. You need to put in place a “process before the process” – that is a process to strengthen your company so that your sales process can maximize the value of your business. If you would like to learn more about how we can help you execute this process, visit www.bvaccelerator.com or email firstname.lastname@example.org.