Marketing converts business goals into outreach approaches. Marketing’s influence should be evident at every stage of a company’s life cycle:
- In a company’s formative years, market awareness – as well as validation – are usually the main priorities, and tactics which should support that.
- As a business matures, its marketing endeavours begin to reflect the need to achieve widespread adoption.
- When owners are thinking about – or actively pursuing – an exit, communicating its successes and competitive differentiators frequently move to the front of the owners’ marketing
A business has value when it may exist separately and separately from its owners, when it has adopted a structure and culture of its own, or where there are processes, methods, products, property rights or anything else which permits the business to continue as its own entity.
Develop A Strong And Stable Management Team
A business which has a strong management team, allowing for fundamental activities to operate independent of the owner, will charge a higher price. The depth as well as stability of the management team are very important factors in the valuation analysis by a buyer.
In many businesses, sales as well as marketing could be very dependent upon the owner. This can be a major value detractor. If most of the key account relationships live with the owner, buyers will factor this risk into the valuation or the deal structure. A part of the price could become contingent upon the owner remaining with the business to maintain continuing customer relationships.
Be The Best
Your business needs to be the best it can be at what it does, without attempting to be everything to everyone. A company that knows its customer segments, their needs and language, as well as how to request a response from them is a lot more valuable as opposed to one that is a mix of everything, or an unknown in its market.