Have you ever lifted the hood of your car and checked the engine?
In today’s world, most of us head to a garage for a simple tune up because, let’s face it, even getting the hood open requires us to check the manual.
Running a business requires that same care and attention because running a business is anything but simple. There are a lot of moving pieces under the hood that require time, care and attention.
Think of your business like a high-performance car you’ve worked your whole life to build, maintain and protect.
You’re proud of your car. You take care of your car and someday, you might even think about selling it.
Your business is more than just a shiny coat of paint. The engine under the hood drives growth and equity value, and every spark plug and piston needs to work together optimally for your business to reach its full potential.
So how do we optimize?
In working with hundreds of small to mid-sized companies, we have discovered three elements of business optimization to help actualize growth. We have streamlined these into a step-by- step process to evaluate your business comprehensively and move through the elements in a systematic way.
1. Predictable Profits and Cash Flow (Value Capture)
Analyze profit drains and discover the actions in your business that enable you to generate more revenue. In this stage, we focus on creating a plan of action to fill in the gaps and make your business easier to run. Sometimes a few small changes can make a huge difference in eliminating the biggest drains on your profits.
2. Sustainable Growth (Value Creation)
With the confidence that comes with predictable profits and cash flow, you are better able to deliver aspirational revenue and value. Here we develop a plan to increase Confidence in the Value Drivers that are critical to creating Sustainable Growth. Simply put, it’s the ability to grow without chaos.
3. Defendable Equity Value (Value Realization)
Predictable profits and cash flow give the foundation for sustainable growth, which then enables you to advance the Equity Value of your business, keep it strong, and fund your family wealth. By demonstrating a process that you have implemented over multiple years to evaluate the business and show how the business has improved will make the value that has been captured and created more defendable.
Above all else, always look at your business from the eye of a buyer. Is your business something a buyer would covet?
Like any great mechanic, we are here to help you seek to advance wealth, realize the potential in your business, and face uncertainty with confidence.
Let’s look under the hood and get to work.
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. All performance referenced is historical and is no guarantee of future results.