When beginning a business, selling it is probably not the first thing on your mind. You will most likely be thinking of the present and the near future, focusing on making the business a profitable, successful venture. However, there may be a day when you retire, and are ready to sell your business, giving you enough funds to live a long, happy retirement. Maybe you may just want to run a business in a certain niche for a few years and then sell it so you can move on to another type of business. Whatever the case may be, selling your business for a profit is a goal to work toward, and does not require much more than the daily handling of business.
A profitable business will have a large, loyal customer base. Customers who will keep coming back for more because of the product, service or values. Giving the customers what they want is the reason they will come back to your business. Positive reviews have been known to go much further than putting more funds into advertising. Someone who is looking to buy a business will likely be looking for an established customer base or good will as we call it in Australia. This customer base will enable them to hit the ground running and make the business even more successful than it already is, which will make their investment worthwhile.
Another quality of a successful business goes hand-in-hand with the loyal customer base, which is a consistent base of long-term contracts and positive business-to-business relationships. A business that has a positive relationship and has earned credits, discounts and other incentives is appealing to someone looking to invest money into a business, knowing that they can use these valuable attributes to further their own profits once they are in the driver’s seat and running the show.
Building a profitable business can be compared to building your dream house from the ground up, putting in everything you’d want and more, while also making it appealing to others in case you ever plan to sell it. A strong foundation will go a long way in making your business appealing, and each additional positive trait will add additional reason in which someone would be interested enough in purchasing your business so that you can retire or move on to another business niche.
Do you have your sights set on the sale of your business? If so what are you implementing today to make it happen.
Next on the blog we will focus on the steps to creating that desirable “Turn Key” Business. Watch out for it!