Generating added value and growth

Generating added value and growth within a business is more of an art than it is a science.  Our experience over the years has provided us with knowledge of the key aspects a potential buyer or investor looks for in a business.  From that, here are a number of essential “Dos” for any business owner:

  • Ensure your business is not reliant day to day on you. Can it run without your close involvement? Have you established a robust Management Succession plan?
  • Be familiar with any unusual numbers or trends in the accounts.
  • Consider the weaker areas of your business. It’s conversely an opportunity for a new owner or investor to exploit in the future. If there is great potential, outline what it is, put some figures against it for say the next 3 years. Talk confidently about the future prospects of the business.
  • Be prepared to minimise the investor’s perceived ‘risk’ by remaining on post-sale
    for an agreed period, to oversee a smooth transition.
  • Be open and flexible to deal negotiations. There are as many deal structures as
    there are deals. Each one is unique.
  • Make sure that your forecasts for the year are being bourn out by the actual
    performance. If they don’t, ensure you are confident talking about the reason(s) for the disparity.

Above all else, communicate to an investor that you have a choice. No buyer likes to be in competition.

To find out more, please contact us on  info@evolutioncbs.co.uk

Rob Goddard
Managing Director
Evolution Complete Business Sales Ltd

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