Build a company of value
The Exit Planning Institute estimates that 76% of owners will exit their company in the next ten years. When a business is up for sale, buyers do not look at how big it is; they look at how valuable it is.
Traditionally, all anyone cared about was size, and CEOs were expected to grow at all costs — even if it degraded the business’s value over time.
But we have noticed a shift. A new generation of business owners is prioritising value, even at the expense of size.
What sets apart business owners who build value instead of simply building size?
Building businesses that can thrive without them: Owners who build businesses that operate independently add real value. Avoid being trapped in day-to-day tasks and focus on working on the business, not in it. If it cannot run without you, it will not be valuable without you.
Focusing on recurring revenue: Transactional business models may bring fast growth, but they do not create long-term value. When a business is sold, buyers look for predictable, recurring revenue streams.
Guarding equity: Using equity to raise capital or hire quickly is common for fast-growth companies, but it is also one of the quickest ways to devalue the business and dilute ownership. Consider other forms of financing to grow sustainably.
Emphasising competitive advantage: Without a strong competitive edge, your business is vulnerable to being pushed out. Undercutting competitors or riding on others’ coattails may create short-term gains, but it does not build lasting value.
We are always available to discuss how you and your business can grow in value or prepare for a successful exit. If you want to learn more or understand how Strategic Specialists Group can help, please contact us below.
