Exit Planning Step 2 - Value Acceleration
STEP 2: THE POST LAUNCH PLAN - aka VALUE ACCELERATION
You have your Prioritized Action Plan detailing what steps need to be taken to enhance company value and prepare for a successful business exit — now what? If you would like expert guidance and accountability to implement the action items on your plan, you can work with us for the next 12 months to integrate the identified areas of improvement into your business, financial and personal activities.
The highly structured Value Acceleration Program focuses on increasing the overall value of your business by concentrating on many of the intangibles that drive higher business valuations. These items typically include:
*Focusing on structural, human, social and customer capital – can include documenting policies and procedures, HR development, addressing customer concentration issues, marketing development/systemization, etc.
*Decreasing owner dependence, increasing business transferability
*Focus on recurring revenue
*Legal, financial and tax advisory team development
The Value Acceleration Program Details:
The 12-month Value Acceleration Program begins with long term business, financial and personal goal setting. Once completed, long term goals are broken into 1-year objectives, then 90 day “sprints” and 30-day milestones. We lead the one-on-one discussions with each owner, integrate family members (if appropriate) for personal and financial discussions, as well as lead separate ongoing workshops with key staff responsible for business 30 and 90 day objectives.
As you begin to build more value into your business through these activities, the multiple you will receive when you choose to sell your business will increase in tandem.
Benefits of this structured program also include:
*Clear accountability and measured results
*Long-term strategic initiatives are broken into manageable 90 day chunks (sprints)
*Getting employees and management to think like owners
*Can be used as an employee development tool
*Owner goals are at the center of the plan
The biggest benefit of building and focusing on value-adding activities is that it makes the timing of your business exit irrelevant.