Friday, November 14, 2008

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
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