Would you buy your business, if you didn’t own it now?
New owners breathe a Breath of Fresh Air into a Business
Buy Your Own Businesstm again
- What about it would cause you concern?
- Would you find it alive, exciting and full of potential?
- Would you see a company maximizing its growth?
- How would you find the employee morale?
- Is there a positive culture that leads to above average profits?
- What would you pay for it?
“Thank you for helping Bob buy this business. He’s been a breath of fresh air.”
Sales manager at a recently acquired firm
Business buyers create a breath of fresh air in the company. Are you a Breath of Fresh Air to your business?
Would your firm pass the strategy test in this example?
Tim Gibbons, co-founder and president of PharmacyOneSource, spoke at my Rotary Club about the evolution of the company and its sale to a large, multi-national firm. I noted three key points regarding his successful strategy and they are:
- Have a good team of advisors from the beginning. Yes, it costs money but it comes back to you.
- It is very valuable to have an outside pair of eyes look at your company, regularly.
- Are you prepared for a buyer to delve deeply into all aspects of the company? Don’t be surprised or shocked at the detail they may want to get into.
John’s 7 steps to be the Breath of Fresh Air that will energize your firm and increase profits
- Perform due diligence as a buyer would—see the business as a buyer sees it.
- Identify and eliminate dependencies that decrease value—uncover those common dependencies that decrease value and eliminate them now.
- Reenergize your team—be a Breath of Fresh Air to your firm by acting like a new buyer.
- Exploit growth opportunities—buyers buy companies because they see growth potential that has not been maximized; find that potential and grow.
- Marketability assessment—who is the logical buyer, how do you best attract them, how do you position the business for them (exit planning).
- Market assessment of value—what range of value does the business have post Great Recession?
- Take Action—CEOs and owners agree that having the strategy is easier than implementing it correctly. When you (pretend to) buy your business you will immediately take action like a buyer would.
Value you receive when you “Buy Your Own Business”
- Faster growth and higher profits
- Greater confidence
- A more loyal team
- Increased productivity
- Sustainable, annualized improvements
- Improved strategy and tactics
- Less stress and worry
- Successful transitions