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Diversifying Your Marketing: The Key to Boosting Business Value

In the business world, understanding and harnessing the power of diversification in marketing can significantly elevate your company's value. One of the pivotal factors influencing this value is what The Value Builder System™  terms "The Switzerland Structure", emphasizing the paramount importance of fostering business independence. Rather than dwelling on the potential drawbacks of not diversifying, let's explore the positive outcomes that stem from a well-rounded marketing approach....

Selling your Business: Key Financial focus areas to optimize your business exit

If a small business owner is planning to sell their company in the next few years, there are several important financial management areas they should focus on to maximize the value of their business and make it an attractive prospect for potential buyers....

R.Tisi Professional Corporation Announces Merger with Root Bissonnette Walker LLP

Welland, ON - November 1, 2023 -  R.Tisi Professional Corporation is delighted to announce its merger with Root Bissonnette Walker LLP, an esteemed and well-respected CPA firm in the region. This significant development is set to take effect on November 1, 2023, marking a pivotal milestone in our firm's history.This strategic merger brings together two like-minded organizations committed to providing exceptional services and unwavering dedication to the communities they serve. The union is ...

Customer Financing: Funding Business Growth without Sacrificing Equity

As a business owner, financing the growth of your business can present challenging dilemmas. Selling shares in your business provides immediate cash but dilutes your equity stake. Borrowing from banks can be expensive, limit growth, and require personal guarantees. However, an alternative solution empowers you to drive business expansion while maintaining control and avoiding debt: customer financing. By convincing your customers to prepay for your product or service, you can secure the working ...

Unlocking success through high-potential employees

Every business owner dreams of growth and success; the key to achieving these goals often lies in your people. High Potential Employees (HIPOs) are the secret sauce that can fuel your company's expansion and innovation....

8 Drivers to Build Value into your Business

Building value into your business is crucial for long-term success and growth. It enhances your business's attractiveness to potential investors or buyers and strengthens its competitive position in the market. By focusing on value creation, you can maximize profitability, establish a strong brand, foster customer loyalty, and ensure sustainability in a dynamic business landscape....

The Power of Optics: How Perception Influences Investor Valuation

As a business owner, it is important to recognize that optics play a crucial role when dealing with investors, whether your goal is to raise funds or sell your business. Optics refer to how investors perceive your brand, encompassing various aspects such as your reputation, presentation, branding, and overall image. These factors can significantly influence how investors categorize your business and ultimately impact their valuation of your company. ...

5 Steps to Turn your Service into a Product

In today's fast-paced and competitive business landscape, service-based businesses constantly seek ways to differentiate themselves from their competitors and increase their revenue. One strategy that has gained popularity in recent years is turning services into products. In this way, businesses can improve their scalability, consistency, branding, and competitive advantage by packaging services into products. Whether you are a small business owner or a CEO of a large enterprise, this arti...

Selling your Time is Killing your Business Growth

As a business owner, your time is your most valuable asset. However, selling your time by billing clients hourly or daily can be a serious roadblock to growth. When customers rent your time instead of buying a result, your business model lacks leverage, making it difficult to scale without working harder or hiring more people....

How to Get Your Customers to Pay for New Ideas

There is never enough money to invest in developing products when you’re running a self-funded business. When you’re running your company out of cash flow, most of your resources go into selling your existing products and services, leaving little left over to fund your new product ideas.You could keep plugging away with your existing product or service lineup, but you will leave yourself exposed to competitors that dream up a better offering. The other option is to develop unique new offerin...

The Purest Way to Increase the Value of Your Business

Picture a magic slot machine. Each time you pull the arm, you make back a multiple of whatever you wagered. How much time would you devote to cranking that arm? When it comes to the value of your business, you can make many bets, but only one has a virtually guaranteed return. Most companies are valued on a multiple of earnings before interest, taxes, depreciation, and amortization (EBITDA), so every dollar of incremental profit you earn in the short term will translate into a multiple of t...

The Biggest Mistake most Founders make when trying to Replace Themselves

If your company becomes dependent on you, it may end up costing you down the road. The most valuable companies don’t rely on the owner’s involvement to succeed. However, finding extraordinary talent to replace yourself can be challenging....

3 Ways to Create a Valuable Culture Inside Your Business

Many factors drive your company’s value, but perhaps the most important is how your business would perform without you. To get your company to flourish when you’re not around, you need owner-like effort from your team. Inspiring owner-like effort comes from cultivating a vibrant culture inside your business. Here are three ways to get your employees to care as much as you do: ...

TAM vs Target

As you enter the fourth quarter of the year, you may be starting to think about your marketing plans for 2023. Terms like Total Addressable Market (TAM) and Target Market may surface in your planning, and you could be tempted to use them interchangeably. However, your TAM and your target market are related but slightly different. Treating them as synonyms may be a mistake. First, let’s understand the difference between the two terms. Your TAM is an estimate of the total size of the market fo...

Systematize Your Business (Without Making it Boring)

Have you ever noticed that you get some of your best ideas in the shower? Every morning, you’re stuck there for a few minutes doing something you’ve done since you were a child. Your mind knows it has a couple of minutes to think. Employees get the same mental holiday when you specialize and give them systems for routine tasks. ...

The Two Best Ways to Make your Company Special

Specializing in one product or service allows you to focus on delivering that thing better than everyone else. It enables you to hire (or train) specialists in your field, improving the quality of your work, which leads to happier customers. And satisfied customers buy again and refer their friends.That’s why specialists often grow faster even while they are spending less on marketing, leading to better profit margins and, ultimately, a more valuable company. Specializing in a specific product...

Starting vs. Growing a Business

Most company founders are good at the first stages of entrepreneurship. But in the phases that follow, they may only be average. Just because you have a knack for starting companies, doesn’t necessarily mean that those skills translate well into growing one. There are celebrated cases of founders who have successfully started and grown a business – Elon Musk and Bill Gates come to mind. There are, however, many more examples of entrepreneurs who perform well initially and then hold back thei...

One Tweak That Can (Instantly) Add Millions to The Value of Your Business

If you’re trying to figure out what your business might be worth, it’s helpful to consider what acquirers are paying for companies like yours these days.  A little internet research will probably reveal that a business like yours trades for a multiple of your pre-tax profit, which is Sellers Discretionary Earnings (SDE) for a small business and Earnings Before Interest Taxes, Depreciation and Amortization (EBITDA) for a slightly larger business. ...

Will This Be the Year You Seriously Drive Up the Value of Your Company?

If you have resolved to make your company more valuable this year, you may want to think hard about how your customers pay. If you have a transaction business model where customers pay once for what they buy, expect your company’s value to be a single-digit multiple of your Earnings Before Interest Taxes, Depreciation and Amortization (EBITDA).  If you have a recurring revenue model, by contrast, where customers subscribe and pay on an ongoing basis, you can expect your valuation to be a ...

5 Ways to Get Your Business to Run Without You

Some owners focus on growing their profits, while others are obsessed with sales goals. Have you ever considered making it your primary goal to set up your business so that it can thrive and grow without you?...

How to Create a Recurring Revenue Model That Appeals to Customers

Have you struggled to identify a recurring revenue model that will work in your business? If so, you’re not alone.  Most owners understand the benefits of recurring revenue, such as predictable cash flow and an increase in their company’s valuation, but struggle with where to start. Just changing your pricing from a one-time transaction to a smaller, recurring fee does not make a sticky subscription model.  The first step of creating a recurring revenue model for your business has ...

3 Things Wealthy Business Owners Do Differently

Much is made of analyzing the personality traits of successful entrepreneurs. Some appear outgoing. Others are introverts. Some lean right, others left. Some are flashy. Others are monk-like with their money. Their diversity can lead one to the conclusion that there are no common personality traits among successful founders.  Rather than trying to understand who they are, let’s look at what they do. ...

3 Ways to Flip Repeat Customers into Subscribers

Repeat business drives the value of your company. There are two types of customers, which are sporadic customers and customers who buy regularly.  Turning regular customers into repeatable, predicable buyers increases revenue and profitability....

Six Power Ratios to Start Tracking Now

Doctors in the developing world measure their progress not by the aggregate number of children who die in childbirth, but by the infant mortality rate – a ratio of the number of births to deaths.Similarly, baseball’s leadoff batters measure their “on-base percentage” – the number of times they get on base – as a percentage of the number of times they get the chance to try. Acquirers also like tracking ratios, and the more ratios you can provide a potential buyer, the more comfortable...

One Counterintuitive Strategy Led to this $380 Million Payday

When David Perry started his video game company, he filled a dartboard in his office with the names of companies he thought would want to buy his company, Gaikai, one day....