You\u2019re invited to join us Wednesday, November 15th from 12:00 \u2013 12:45 PM ET for a special\nevent, presented by Phil Harwood. Our friends at Team Engine are hosting a webinar, \u201cAre You\nReady to Exit Your Business (Or Thinking About It)?\u201d<\/p>\n
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Every business owner knows deep down inside that they will indeed exit their business someday, whether they\u2019re ready or not. And too many owners avoid facing this reality because doing something about it seems complicated and expensive.<\/p>\n
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This webinar will provide you with an easy-to-understand overview of the succession planning process, along with some easy next steps to take.<\/p>\n
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As a bonus, each attendee will receive a complimentary Personal Readiness to Exit assessment and follow up consultation to review your personalized report.<\/p>\n
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Registration is complimentary and the webinar will be recorded so you can view at your convenience if you\u2019re unable to attend. Click here to register.<\/a><\/p><\/span>\n Now go forth.<\/p>\n\n Phil Harwood & Tabetha Varwig Each week, I set aside three 20-minute appointments without knowing who I\u2019m meeting with.\nThe first three people who come forward get the appointments. This is not complicated. All you\nneed to do is reply to this email before three other people beat you to it. We\u2019ll find a mutually-\nconvenient time and decide on the format (Zoom or phone). Unfortunately, I can\u2019t offer \u201cTHREE\nWITH ME\u201d every week so be on the lookout for it.<\/p>\n What\u2019s the purpose of the meeting? You tell me. After all, you called the meeting. I\u2019ll give you\nmy thoughts and answer questions to the best of my ability.<\/p>\n Below is new content, provided each week by our friends at the Value Builder System.<\/p>\n 3 Ways To Make Your Company More Valuable Than Your Industry Peers<\/b><\/p>\n Have you ever wondered what determines the value of your business? Perhaps you\u2019ve heard an industry rule of thumb and assumed that your company will be worth about the same as a similar size company in your industry. However, when we look at the data provided by The Value Builder System\u2122, we\u2019ve found there are eight factors that drive the value of your business, and they are all potentially more important than the industry you\u2019re in.<\/p>\n Not convinced? Let\u2019s look at Jill Nelson, who recently sold a majority interest in her $11 million telephone answering service, Ruby Receptionists, for $38.8 million.<\/p>\n That\u2019s a lot of money for answering the phone on behalf of independent lawyers, contractors, and plumbers across America.<\/p>\n To give you a sense of how high that valuation is, let\u2019s look at some comparison data. When we isolate the administrative support industry that Ruby Receptionists operates in, the average multiple offered for these companies over the last five years is just 1.8 times pre-tax profit. Jill, by contrast, sold the majority interest in Ruby Receptionists for more than 3 times revenue.<\/p>\n There were three factors that made Nelson\u2019s business much more valuable than her industry peers, and they are the same things you can focus on to drive up the value of your company:<\/p>\n Acquirers do not buy what they could easily build themselves. If your main competitive advantage is price, an acquirer will rightly conclude they can simply set up shop as a competitor and win most of your price sensitive customers away by offering a temporary discount. In the case of Ruby Receptionists, Jill invested heavily in technology that ensured that no matter when a client received a phone call, her technology would route that call to an available receptionist. Jill\u2019s competitors were mostly low-tech mom and pop businesses who often missed calls when there was a sudden surge of callers. Jill\u2019s technology could handle client surges because of the unique routing technology she had built that transferred calls efficiently across her network of receptionists. Jill\u2019s acquirer, a private equity company called Updata Partners, saw the potential of applying Jill\u2019s call-routing technology to other businesses they owned and were considering investing in.<\/p>\n Acquirers want to know how your business will perform after they buy it. Nothing gives them more confidence that your business will continue to thrive post sale than recurring revenue from subscriptions or service contracts. In Jill\u2019s case, Ruby Receptionists billed its customers through recurring contracts\u2014 perfect for making a buyer confident that her company has staying power.<\/p>\n In addition to having customers pay on recurring contracts, the most valuable businesses have lots of little customers rather than one or two biggies. Most acquirers will balk if any one of your customers represents more than 15% of your revenue.<\/p>\n\n At the time of the acquisition, Ruby Receptionists had 6,000 customers paying an average of just a few hundred dollars per month. Jill could lose a client or two each month without skipping a beat, which is ideal for reassuring a hesitant buyer that your company\u2019s revenue stream is bulletproof.<\/p>\n<\/ol>\n Jill Nelson built a valuable company in a relatively unexciting, low-tech industry, proving that how you run your business is more important than the industry you\u2019re in.<\/p>\n","protected":false},"excerpt":{"rendered":" You\u2019re invited to join us Wednesday, November 15th from 12:00 \u2013 12:45 PM ET for a special event, presented by Phil Harwood. Our friends at Team Engine are hosting a webinar, \u201cAre You Ready to Exit Your Business (Or Thinking About It)?\u201d Every business owner knows deep down inside that they will indeed exit their […]<\/p>\n","protected":false},"author":1,"featured_media":3655,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"episode_type":"","audio_file":"","podmotor_file_id":"","podmotor_episode_id":"","cover_image":"","cover_image_id":"","duration":"","filesize":"","filesize_raw":"","date_recorded":"","explicit":"","block":"","footnotes":"","_members_access_role":[],"_members_access_error":""},"categories":[1],"tags":[],"series":[],"class_list":["post-3572","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized"],"episode_featured_image":"http:\/\/108.161.142.249:8080\/TamariskAdvisors\/wp-content\/uploads\/2023\/11\/Exit-Webinar-rectangle-graphic-4.png","episode_player_image":"http:\/\/108.161.142.249:8080\/TamariskAdvisors\/wp-content\/uploads\/2023\/11\/Exit-Webinar-rectangle-graphic-4.png","download_link":"","player_link":"","audio_player":false,"episode_data":{"playerMode":"dark","subscribeUrls":{"apple_podcasts":{"key":"apple_podcasts","url":"","label":"Apple Podcasts","class":"apple_podcasts","icon":"apple-podcasts.png"},"stitcher":{"key":"stitcher","url":"","label":"Stitcher","class":"stitcher","icon":"stitcher.png"},"google_podcasts":{"key":"google_podcasts","url":"","label":"Google Podcasts","class":"google_podcasts","icon":"google-podcasts.png"},"spotify":{"key":"spotify","url":"","label":"Spotify","class":"spotify","icon":"spotify.png"}},"rssFeedUrl":"http:\/\/108.161.142.249:8080\/TamariskAdvisors\/feed\/podcast\/tamarisk-business-advisors","embedCode":"
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\nFounders and Senior Advisors
\nTamarisk Business Advisors LLC<\/p>\n
\nTHREE WITH ME by Phil Harwood<\/h2>\n\n
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\nWHY A TAMARISK TREE?<\/h2>\n\nEach week, we (figuratively) come together under the canopy of a Tamarisk tree \u2013 a spreading\ndesert tree. To read about the significance of the Tamarisk tree, please click here.<\/a><\/span>\n
\nBONUS CONTENT by Value Builder System<\/h2>\n\n
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\n Under the Tamarisk Tree: You’re Invited<\/a><\/blockquote>