Are You Maintaining your Company’s Value in an Uncertain Economy

The global economy might be plagued with accounts of slumping business valuations. VERCOR managing principal, Mark Jordan, stresses it is still possible for companies to preserve and increase business value in the current economic climate.

Most known for guiding hundreds of business owners through the merger and acquisition process and his book, “Selling your Business the Easy Way,” Jordan continues his tutelage with the webinar, “Maintaining your Company’s Value in an Uncertain Economy.” The webinar provides business owners advice on how to preserve and increase business value and boost sales price a despite the economy.

Understanding the Short and Long Term Views
Jordan’s advice to business owners is to evaluate short and long-term views of mergers and acquisitions. While short-term factors such as tax rates and access to financing are critical, business owners should weigh long-term factors more heavily. This will remain a business strategy of choice due to valuable benefits including access to additional markets, greater economies of scale, and the ability to gain new talent.

Understanding Value Drivers
The merger and acquisition consultant also stresses the importance of understanding value drivers and their strong tie to the sales price of a business. A company’s strengths and weaknesses are a few principal factors to consider because they shape business value. Jordan notes it is important to consider a product’s uniqueness. ”Do not worry if you have opportunities for improvement. A seller actually appreciates a company that has some areas of opportunity,” he adds.

Enhance Value Drivers
Jordan also dispenses advice on how to enhance value drivers to boost a company’s sales price. A primary way to determine a company’s strengths is through customer and employee feedback and by understanding strategic planning for all business units. The business advisor recommends choosing a board of advisors. “A board can provide unfiltered feedback and vision planning which can make the company more effective,” suggests Jordan.

Jordan is confident that webinar attendees and all business owners can gain direction on preserving and increasing their company’s value in a tight marketplace. He states, “With proper guidance, business owners can navigate their way through this complicated maze and elevate their sales price.”

VERCOR is a middle market investment bank that creates liquidity for small and middle market business owners. For more information on the webinar, “Maintaining your Company’s Value in an Uncertain Economy,” visit www.vercoradvisor.com.

Is Your Business Ready for the Future? Get on Track with These Four Steps

While most business owners agree it is sound business practice to create and maintain a strategic plan, few businesses have one. Mark Jordan, managing principal of the middle market investment bank, VERCOR, reveals that only five percent of companies have a formal business plan in place. He warns that a lack of a business plan can affect the sales process. “Even if the sale of your company is years away, effective planning can make a huge difference,” states the merger and acquisition consultant.

Jordan has assisted hundreds of companies through the merger and acquisition process and most recently published the book, “Selling your Business the Easy Way.” He takes his advice a step further with “Preparing to Sell your Company,” a webinar that provides companies valuable planning information to give their business the competitive advantage in the sales process.

Preparing a Smart Base Camp
Jordan explains how preparing a “smart base camp” can create solid footing for a business. This includes designing specific actionable steps that will position a company for a successful sale. Even if business owners are not anticipating selling for 10 years, it is important to plan. The webinar provides detailed steps to assist with preplanning efforts.

Understanding the Value Pillars
When selling a business, business owners must also understand their core competencies. “This allows you to communicate how your products or services have a special place in the market,” states Jordan. The expert advises business owners to perfect the financial aspects of their company to display their performance to potential buyers.

Determining the Value of your Company
Determining business value is another important component of selling a business. Although there are several ways to assess a company’s value, Jordan explains that using the market value calculation is most accurate. This includes researching values of comparable businesses and talking to potential buyers.

Using a Scorecard to Evaluate your Business
To increase marketability and sales price, Jordan recommends businesses owners evaluate their companies. Criteria should include management compensation, opportunities for business growth and the ease a company will transfer to new ownership.

Jordan looks forward to providing a blueprint for companies to position their business for a future sale in the webinar. He warns, “Business owners are facing a time of uncertainty. For prepared business owners, it can be a time of great opportunity. Business owners cannot afford to be without a plan.”

VERCOR is a middle market investment bank that creates liquidity for small and middle market business owners. For more information on the webinar, “Preparing to sell your company,” visit www.vercoradvisor.com.