Breaking the Mould Group Blog

How to Increase the Value of Your Business by 71%

Written by Breaking the Mould Consulting | Oct 27, 2024 5:36:51 PM

How much did your home increase in value last year? Depending on where you live, it may have gone up by 5 - 10% or more.

How much did your stock portfolio increase over the last 12 months? As a benchmark, the FTSE 100 index increased by around 13% in the previous year as of late October 2024. Did your portfolio do as well?  

Now consider what portion of your wealth is tied to the stock or housing market, and compare that to the equity you have tied up in your business. If you’re like most owners, the majority of your wealth is tied up in your company. Increasing the value of your largest asset can have a much faster impact on your overall financial picture than a bump in the stock market or the value of your home. 

Let us introduce you to a statistically proven way to increase your company's value by 71%.  Through an analysis of 55,955 businesses, we’ve discovered that companies that achieve a Value Builder Score of 80+ out of a possible 100 receive offers to buy their business that are 71% higher than what the average company receives.

How long would your stock portfolio or home take to go up by 71%? Years – maybe even decades. Get your Value Builder Score now, and you can track your overall score and performance on the eight key drivers of company value. Like a pilot working his instrument panel, you can quickly zero in on which of the eight drivers is dragging down your value the most and then take corrective action.

Your overall Value Builder Score is derived from your performance on the eight attributes that drive the value of your company:

  1. Financial Performance: your history of producing revenue and profit combined with the professionalism of your record keeping.
  2. Growth Potential: the likelihood to grow your business and at what rate.
  3. The Switzerland Structure: how dependent your business is on any one employee, customer or supplier.
  4. The Valuation Teeter Totter: whether your business is a cash suck or a cash spigot.
  5. The Hierarchy of Recurring Revenue: the proportion and quality of automatic, annuity-based revenue you collect each month.
  6. The Monopoly Control: how well differentiated your business is from competitors in your industry.
  7. Customer Satisfaction: the likelihood that your customers will re-purchase and refer you.
  8. Hub & Spoke: How would your business perform if you were unexpectedly unable to work for three months?

To find out how you’re performing on the eight key drivers of company value and start your journey to increasing the value of your largest asset, you can download your free eBook:

The 8 Key Drivers of Company Value