Know the Plays, Suit Up, Show Up to Win the Game

By
Joan M. Ridley, CFP™, CEPA, CBI

What chance would a football player have of winning a game if he lacked the proper equipment and never showed up for practice? He would probably have two chances- slim and none. A football player who shows up for a game with no shoulder pads and not knowing the plays is likely to get creamed on the field. For the unprepared, winning is not even a remote possibility. There are many similarities between what it takes to win the game and what it takes to successfully sell a business. Consider the similarities…

Winning Formula to Bring Home the Trophy

Just like a winning coach can lead a team to victory, you can grow the value of your business. But you will need some help. Your job is to run your business. Your coach’s job is to design and help you implement key value drivers that result in value improvement.

There are a few things you need to be doing now if you plan to sell your business some day.

Make sure you are in an industry with excellent upside potential
Make sure your long term strategy is based on sound assumptions
Design a functional org chart, hire the right people, and secure their loyalty
Protect your assets so they don’t walk out the door at night
Establish sound accountability systems from sales to performance dashboards
Let your strategic plan drive how your financial records are set up
Understand how performance relates to value
Set performance benchmarks and hold yourself and employees accountable
Hire a coach to guide you to your goal post

It Might Take a Few Seasons

If your business is in good shape, it might only take about six months to get it ready to sell. Most businesses will need six to twenty – four months to get ready to be put in play. Buyers, lenders and investors determine value. Do you honestly know how your business stacks up? We can provide you with an unbiased assessment. Call us today at 214-692-9192 to learn more about our Business Coaching Program.

Joan M. Ridley is a Certified Financial Planner™, a Certified Exit Planning Advisor, and a Certified Business Intermediary. She is President of Business Wealth Solutions, a Dallas-based advisory firm that helps lower mid-market business owners grow and harvest business wealth. Joan sits on the Board of Governors of the Exit Planning Institute. Please call 214-692-9192 and visit our website www.bwsllc.net.

Copyright 2011 Joan M. Ridley