The Surprising Way Companies Like Netflix and Amazon Conduct Market Research
Articles, Recurring Revenue
Companies like Netflix, UrthBox, and Amazon are leveraging the subscription business model to discover what their customers want next.
In a traditional business, the customer buys your product or service once, and it is up to you to try…
The Build vs. Buy Equation
Acquisition, Articles
If you’re wondering what your business might be worth to an acquirer, there is a simple calculation you can use.
Let’s call it “The Build vs. Buy Equation”.
At some point, every acquirer does the math and calculates how much it…
The Biggest Mistake Owners Make When Selling
Articles, Selling Your Business
One of the biggest mistake owners make in selling their company is being lured into a proprietary deal.
The Definition Of A Proprietary Deal
Acquirers land a proprietary deal (or “prop deal”) when they convince owners to sell their…
Successful Entrepreneurs Can be the Doer and the Dealmaker
Articles, Selling Your Business
Where do you sit on the doer vs. dealmaker continuum? On one hand, you have business owners who are really good operators. They have a plan, know their numbers and work that plan. They look for small improvements every day and hesitate to entertain…
One Tweak That Can (Instantly) Add Millions To The Value Of Your Business
Articles, Building a Valuable Company
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…
Learning From Acquisitions That Fall Apart
Acquisition, Articles
John McCann sold The Bolt Supply House to Lawson Products (NASDAQ: LAWS) at the end of 2017.
McCann’s strategy involved learning from the acquirers who knocked on his door. He invited would-be buyers into The Bolt Supply House and listened…
How to Lure A Giant Like Facebook Into Buying Your Company
Acquisition, Articles
A great business is bought, not sold, so, if you look too eager to sell your business, you’ll be negotiating on the back foot and look desperate—a recipe for a bad exit.
But, what if you really want to sell? Maybe you’ve got a new…
How To Avoid Disappointment When It’s Time To Cash Out
Articles, Selling Your Business
How do you avoid not being disappointed with the money you make from the sale of your company?
Perhaps you’ve heard that companies like yours trade using an industry rule of thumb or that companies of your size sell within a specific range,…
Growing Fast? Here’s What’s Likely To Kill Your Company
Articles, Building a Valuable Company
If your goal is to grow your business fast, you need a positive cash flow cycle or the ability to raise money at a feverish pace. Anything less and you will quickly grow yourself out of business.
A positive cash flow cycle simply means you…
Exiting Tips From One Of The Top 40 Under 40
Articles, Exit Plan
Wind Mobile founder Anthony Lacavera has started 12 businesses, six of which he has exited. His exits have ranged in value from the $6 million he got for one of his recent start-ups to $1.3 billion when he sold Wind Mobile. He did it by following…