The Enterprise Value Specialists at Ceibass have had the pleasure of helping many lawn & landscape business owners build value, and sell or transition their businesses. What are some of the extra things that a business owner can do to enhance the value of the business beyond the obvious?
“Grow your revenues, reduce your costs, have solid contracts, develop a great team & superior skills at producing customer satisfaction. Those are givens,” said Tom Fochtman, Ceibass CEO. “Work your EBITDA. Obviously you have to have the operations of your business running smoothly and consistently. But there is another skill that your leadership or management team should demonstrate…and that is the skill to look into the future, set some goals, develop a plan, and deliver on that plan.”
Tom went on to explain that it is important to have some kind of 3 year strategic plan, and yearly plans with strategic initiatives, and then be able to show evidence of how your company performed against that plan. This reflects your management team’s and key employees’ proficiency in developing a plan and then executing against it.
If you’re good at it, this skill is highly valued by potential buyers. Professionalism at this level will lead to higher values for your business. Take the time to develop it.