How much did your home increase in value last year? Depending on where you live, it may have gone up by 5 -10% or more.
How much did your stock portfolio increase over the last 12 months? By way of a benchmark, the ASX 200 is up by around 12% in the last year. Did your portfolio do as well?
Now consider what portion of your wealth is tied to the stock or housing market, and compare that to the equity you have tied up in your business. If you’re like most owners, the majority of your wealth is tied up in your business. Increasing the value of your largest asset can have a much faster impact on your overall financial picture than a bump in the stock market or the value of your home.
Let us introduce you to a statistically proven way to increase the value of your company by as much as 71%. Through an analysis of 6,955 businesses, we’ve discovered that companies that achieve a Sellability Score of 80+ out of a possible 100 receive offers to buy their business that are 71% higher than what the average company receives.
How long would it take your stock portfolio or home to go up by 71% ? Years, and maybe even decades. Get your Sellability Score now and you will be able to track your overall score along with your performance on the eight key drivers of Sellability. Like a pilot working his instrument panel, you can quickly zero in on which of the eight drivers is dragging down your value the most and then take corrective action.
Your overall Sellability Score is derived from your performance on the eight attributes that drive the value of your business:
- Financial Performance: your history of producing revenue and profit combined with the professionalism of your record keeping.
- Growth Potential: your likelihood to grow your business in the future and at what rate.
- The Switzerland Structure: how dependent your business is on any one employee, customer or supplier.
- The Valuation See-saw: whether your business is a cash suck or a cash spigot.
- The Hierarchy of Recurring Turnover: the proportion and quality of automatic, annuity-based turnover you collect each month.
- The Monopoly Control: how well differentiated your business is from competitors in your industry.
- Customer Satisfaction: the likelihood that your customers will re-purchase and also refer you.
- Hub & Spoke: how your business would perform if you were unexpectedly unable to work for a period of three months.
To find out how you’re performing on the eight key drivers of Sellability and start your journey to increasing the value of your largest asset, get your Value Builder Score here.