Value Enhancement Strategies

Sophisticated business buyers consider a number of factors in their evaluation of a company.  Next Plateau has identified more than 50 important factors that buyers need to consider in determining the value of a particular company. These factors are divided into personal, business operations, industry, legal/regulatory, financial, and economic/M&A market. Each factor should be rated as an area of strength, an area of potential improvement, or as neutral meaning it has no major effect on the value of the company. The company should then focus on highlighting strengths and mitigating weaknesses.

Value enhancement focuses on improving the profitability and cash flow of the business while attempting to mitigate the risk involved in the ownership of the business, making your business an “excellent” performer in the industry. This involves all aspects of the business to include facilities, production and personnel, as well as financial performance.