
Being Stingy With Your Equity
Articles, Selling Your Business It can be tempting to offer shares in your company to finance its growth. These days, there are plenty of investors chasing promising new companies and, in today’s tight labour market, employees are getting more brazen in their demands for…

5 Ways To Package Your Service
Articles, Improving Company Value If you’re a service provider, it can be difficult to separate the service from the provider. Your customers might demand you, which means you can’t scale your business beyond the number of hours you’re willing to work. In the absence…

5 Reasons Why Your Business Is Too Dependent On You
Articles, Improving Company Value If you were to draw a picture that visually represents your role in your business, what would it look like? Are you at the top of an organizational chart, or stuck in the middle of your business like a hub in a bicycle wheel? The Hub &…

Which Is Better, a Financial Buyer or a Strategic Buyer?
Acquisition, Articles If you decide to sell your business to an outside acquirer, you’re going to have to decide between a financial and a strategic buyer—understanding the different motivations of these two buyers can be the key to getting a good price for…

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…