How Proving Your TAM Might Double Your Company’s Value Comments
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When an acquirer evaluates your business, they’re looking beyond what you’ve built. As successful as your company may be, buyers need to see how much larger it can grow to generate a return on their investment. That’s where Total Addressable …
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How One Founder Beat Billion-Dollar Competitors by Doing Less Comments
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Most business owners assume that bigger is better. More products. More customers. More markets. Adam Rossi took the opposite approach. By going narrower and serving just one group of customers with one set of critical problems, he outperformed billion-dollar competitors …
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How to Jack Up the Value of a Commoditized Business Comments
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If you sell something the market sees as interchangeable, your business may be worth less. Acquirers often argue that without a competitive moat, commoditized companies are sitting ducks for a price war. Margins get squeezed. Valuations drop. After completing the …
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The Leadership Style That Builds Loyalty—and Destroys Company Value Comments
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Some leaders take pride in leading from the front. They’re in the trenches with their team. They never delegate a task they wouldn’t do themselves. It earns respect, builds morale, and inspires loyalty. But it can also destroy the value …
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Sell the Potential…or Realize It Yourself? Comments
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Brent Beshore never set out to be a private equity investor. He didn’t come from Wall Street, never took a finance class, and once had to google the term “due diligence.” (He typed “do diligence.”) He was an operator building …
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A Strong Business but a Modest Multiple Comments
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When Sean McAuliffe sold his company, he had a lot going for him. His distribution business was generating nearly $19 million in revenue. Margins were healthy. Growth was solid. And yet, when it came time to sell, his company was …
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How to Double Your Chances of a Premium Acquisition Offer Comments
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Value Builder Analytics, drawing on proprietary data from over 80,000 business owners, found that companies that can run without the owner for at least three months are twice as likely to receive an acquisition offer above 6x EBITDA. The concept …
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Why Imperfections in Your Business Don’t Make It Unsellable Comments
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For business owners considering their endgame, learning what makes a company valuable can feel overwhelming. Buyers prioritize factors like recurring revenue, a differentiated product or service, and a leadership team that operates independently from the owner. If a business doesn’t …
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