19 Jun Strategies For Improving Business Value Before the Sale
A business offers a product or service with varying degrees of success. What differentiates one from another, and how do you ensure that yours is the one that attracts a premium when you wish to sell?
It’s all about business strategy. The more that improves, the greater the long-term value of your business.
Strategy may seem like a vague term – not easily quantifiable – but it is the core foundation that will set your product or service apart from another. And when it comes to selling your business, that strategy will be quantified in the price you are able to fetch.
How to increase the value of your business through strategic planning:
Market Expansion Strategies
Ensure that the market you are operating in has the potential for growth. If not, you may need to diversify to gain a new revenue stream.
Positioning Strategies
Perhaps you need to appeal to a broader market by offering streamlined versions of your product or service, or possibly even enhancing your offering to make it more upmarket and thereby increasing the price tag.
Market Research Strategies
Demonstrate your understanding of your market by conducting regular research. This allows you to adapt to customer’s changing needs and create a strong track record. Buyers want to know that your business is forward-looking and based on facts.
Brand Strategies
Brand building creates significant value. Apart from gaining respect and credibility through your brand values, your customers also put their emotional investment into it. Customer loyalty is one of the key factors that will influence your selling price. Conduct a brand review to determine if yours is strong or needs re-invigorating.
Strategic Alliance Strategies
If your business can’t deliver all of the customer’s needs related to an offering, forming a strategic alliance could add the skills and resources you need. It may be that a complementary offering makes yours more appealing when bundled together. Forming an alliance will also develop your own sales channels.
It goes without saying that you need to protect your existing business assets, but these strategies for growth will ensure that your business is well poised for the future success that buyers are looking for.