Now that you have established a thriving business, it is time to stand back and do a thoughtful assessment of the “street” value of the business.
- Does your business have an ideal contract mix now for a top value?
- Should you only prime? What types of contracts should you target? What business areas result in the highest value?
- What decisions should you now make to improve the mix in the future?
- What is the best process to get the right answer?
This assessment process is a critical executive management tool to increase your company’s value as you make the next strategic decisions on the qualifications you set for the new business you choose to pursue. DWP has the experts, the experience and the templates to efficiently arrive at the best approach for you.
The DWP Approach to Success
The strategy to maximize the value of your business is often done to determine what an educated buyer would pay to own the business. However, it is just as important in the near term to the business owners as a tool of strict business discipline to steer your next business choices. During the start up and early maturing phases of a business’s growth, the executives focus almost exclusively on revenue growth and less on margin, as their way to win early business with a lower price, and to create a stable foundation for future growth and investment. At one point in your business life cycle, when the revenues and pipeline are robust, the owners will want to begin to increase the value of the business by increasing their proactive focus towards margin growth and EBITDA growth (Earnings Before Interest, Taxes, Depreciation and Amortization). The main idea is that, simply stated, the owners want to now make decisions that continuously increase the “street” value of their business and not just the revenue.
DWP offers expert support in the actions to be taken to both increase your margin and increase your EBITDA multiplier. Our top corporate SMEs, all former executives, have accomplished this goal and can help you do the same. The end result will be a jointly developed Business Value Growth Action Plan for a much more disciplined way of doing business and of building your company’s “sale” value.
By using our customizable templates, and having access to our highly experienced team, your business will be ready to take the critical actions to increase its value.
The goal of a partnership with Deep Water Point is to take the actions needed to increase your company value and to create a profitable business transaction that delivers maximum value to the business owners.