Riches in the Niches

As a business owner, it may seem smart to diversify by cross-selling products or services to loyal customers, but this approach can undermine your company's long-term value if those offerings lack differentiation. Acquirers value companies that excel in a specialized niche, delivering distinct products or services that are difficult to replicate. Specialization helps build expertise, streamline operations, and strengthen your brand, making your company more attractive to potential buyers. Focusing on one differentiated product not only enhances customer loyalty but also boosts your company's valuation—proving that "the riches are in the niches."