For some, the entire point behind starting a business is that they know one day they will want to sell it on and be able to retire comfortably. This is a fantastic way to keep motivated and continue to build, but you will also need to ensure that your business is a valuable one by the time it comes to sell it. Otherwise, you will have worked hard for many years and not see much of a reward for your efforts.
Read on to discover just some of the ways you can create and build a valuable business that people will want to buy when you are ready to sell.
Taking care of your cash flow by being careful about how you spend your money is a sensible decision and one that will pay dividends – sometimes literally – by the end of your time running your business. Although it’s essential to spend money where and when you need to, it is just as important to save where you can.
However, it’s not just about only spending when you have to. It’s also about getting the best deals when you do have to spend; negotiate with your suppliers to do this. It might take time and practice, but over the life of your business, you could save many thousands of dollars.
It is also important to buy quality. Don’t try to save money by purchasing cheap products as this will give you a bad reputation. Take your time when searching for a new supplier. A wire grommet from a good supplier who you can trust might cost more, but it will give your customers a better result and therefore boost your business much more than a cheaper product would.
Create Recurring Revenue
All sales are welcome, and one-off sales are important, but if you can create recurring revenue, then that is even better. These will help to build up value within your business and ensure that you can forecast your future income, enabling you to make decisions about purchasing and even about hiring when the time comes. Having guaranteed income (and one-off transactions adding to this as a bonus) will be extremely attractive to a potential business buyer.
One way to do this is to set up a subscription service; people will pay monthly (and the payment can be taken automatically) for goods or services. This means, of course, that you will need to provide continuous quality for them, but this should be easy to accomplish once your cash flow is steady.
Have A USP
If you have an exciting USP (which stands for unique selling proposition), then your business will be something that people will want to buy in the future. Your USP is what makes you stand out and what brings you more customers, and if you have a good one in place, this is what will make your name.
You aren’t expected to sell something that is entirely unique to have an interesting or even exciting USP, despite the name (although if you do this, it will make things easier). What you do need to do is ensure that you are selling what you sell in a way that is different to everyone else. This could include:
- Exceptional customer service
- Special offers
- Members’ offers
- Newsletters that detail exactly what you are doing
- Workshops and talks
Whatever you do, make it yours and play on it in your marketing. If you have written an eBook about your services or the area in which you work, this is what you can give as a free gift, for example. Or you might reward people who refer others to you. Make it something you do extremely well, and you will become known for it in a positive way.