One of the biggest challenges for a business owner looking to transition their business to the next generation is figuring out who to transition the business to and how to know when that next generation is ready to take over. What does it look like when someone is ready to take over the company? Will you just know it when you see it? Should you have the next generation just follow you around for six months or a couple of years to learn by osmosis?
One of the things we help our clients do is buy companies. We usually start the process off by having our clients “turning over rocks.” Those “rocks” can include everything from talking to business brokers to responding to online listings or ones in the newspaper to sending out unsolicited letters to a target group.
Few things are more strategic when it comes to the success of your company than setting your selling price. Yet we find that most small business owners take an overly simplistic approach to their selling price. It might sound something like, “What’s the competition charge?” Or “What will the market bear?”. While these might be good starting points when you first launch your business, chances are you will be leaving profit on the table, or worse losing money on some of your products or services.
Believe it or not, we’re almost six months into this COVID-19 pandemic. Needless to say, we’ve all absorbed a lot of changes over that time and more changes and adjustments are coming. Hopefully one of the nice side benefits of this current pandemic is that it’s making you more comfortable with making changes and trying new things.
At some point during your business life cycle, either you or someone else will ask you this question, “What’s my business worth?” The quick answer is it depends! It depends on a lot of factors. Some of these factors are things you can control while others are out of your control. For instance, you have some control over how you set your selling prices and control your costs, but you can’t control the overall industry growth or how your competitors act.
In part 2 of our series on Marketing Channels we focus on the Long Term Marketing Channels. These are the Channels that we all wish we had started months or years ago because, as the name implies, these Channels typically require a little more time to deliver some results. But that doesn’t mean they should be ignored.
Marketing. It’s one of those words that can lead to a lot of confusion and frustration, especially in the small business world! We often hear small business owners lament about needing more Sales. This usually leads into a discussion about their Marketing Plan since Marketing and Sales are intricately tied together.
We were talking with a client was lamenting about a key employee who had recently given her 2-week notice. We asked her a simple question we learned from Jim Collins in his book Good to Great. We asked her if she was distraught about the resignation or secretly relieved. Our client said she was secretly relieved.