When you grow your business, it is often a little consideration given on whether the value being made can be transferred or not. Many business owners don’t think about creating values that can be transferred. Many think about how to grow their business and often fall into traps creating values that cannot be transferred.
Below is a value that cannot be transferred the most common that must be considered by business owners:
Utilize personal relationships to buy or sell
Employ close friends / family members
Build a business based on your name
Special skills / talents that others cannot do
To build a business with a value that can be transferred, consider the following tips:
Documenting all processes. This will help new owners understand your process and delete questions about special skills or talents.
Change any family members with non-family staff 2-3 years before selling. It will give your new staff members time to get speed in a new position and will avoid the mass exodus when you sell.
Build your business with solid marketing and sales techniques, duplicatable which can be easily applied by new owners. The best choice here is to hire someone to do this or outsource this to a reliable company that can be done by new owners after sales.
Get patents for each unique process or product. This creates fully transferable assets from intellectual property and increases business value by patent in a unique process or product.
Make a value that can be transferred difficult when you follow these tips. And the more you follow these tips, it’s easier to sell your business when it’s time to arrive.
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