What makes a successful business? Valuable, cost-effective! "Value enhancers" take advantage of business profitability and reduce risks. Value makers distinguish successful companies from their competitors.
Many business owners own business with their lives and most of their net assets. Unfortunately, only one of the four privately owned businesses actually sells, according to the statistics collected by the International Business Brokers Association. So unless you just want to close the doors and retreat, take smart steps to maximize business value.
Value controllers vary depending on business types. While fame and cost control are always important, other factors may change. For example:
Restaurants – known for their good reputation and the positive dining experience. Successful restaurant value (profit) drivers include site, concept, menu, cooking quality and waiting staff, as well as cost control.
Technology companies need to have a core product / technology or know-how problem. Key (profitability) managers include highly qualified workforce, quality and cost control, and research and development (research and development).
They know the reputation of professional service companies. Key (profitability) managers include personal relationships, highly qualified staff and cost-effective service delivery.
Retail trade – brand / commodity blend and location critical. The most important value (profitability) managers include inventory management and cost control
Often value drivers are "intangible assets" and employees.
Intangible assets (intellectual property) and human resources (coming home at night) through a combination of business strategies and legal protection. Business strategies include incentive compensation plans for the recognition, reward and retention of high performance employees. Legal protection also implies that key employees commit themselves to signing non-competition agreements, trademark and copyright regis- tration and steps to protect protected information / business secrets, such as recipes and formulas. Key Operators, including Partners, Clients, and Contractors are Important
What are Value Added Businesses?
Begin with SWOT Analysis – Using Strengths, Weaknesses, Opportunities, and Dangers – It helps identify your "value controllers" for your business. With this approach, you can focus on key value-adding tools.
To sum up, all the requirements for a business owner's time and attention are easily distracted. To maximize the value and profitability of a company, key value enhancers, which may be intangible assets and employees, should be taken into account in addition to state-of-the-art equipment and systems.
An independent perspective can be invaluable in identifying value-determining factors and drawing up a plan to increase profitability.
Source by sbobet