7 Ways To Make Your Business More Valuable In 2023
The COVID-19 pandemic has undoubtedly created many challenges for business owners, disrupting the flow of normal operations and forcing companies out of their comfort zones. While this has had a crippling effect on many businesses, those firms that place a high emphasis on innovation and adaptability have thrived like never before in these uncertain times. If you are the type of business owner who likes to turn challenges into opportunities, the following 7 considerations can help you make your business more valuable in 2023 to stand out to potential buyers.
Improve Your Product/Services
Although it may be difficult to offer differentiated products and services in a market where everything seems to have been tried at least once, it is critical in running a profitable business. If you are offering the same thing as everyone else, it is unlikely that enough customers will choose your business over the competition to meet your revenue needs.
Sam Willis, a business and finance writer who teaches people how to value a business, mentions that the good news is that you don’t have to invent the next iPhone or Netflix to create value for your customers. Creating an innovative new product is just one of the ways in which you can improve upon existing products and services, with the following ideas are some ways that you can stand out and get customers to pay a premium and attract repeat business, many of which have arisen as a result of the increased shift to e-commerce:
- Easy-to-reach customer service lines that direct to real people (customers are becoming fed up with companies that use bots or redirect them to FAQ pages)
- Multiple payment processing options, with the worldwide business landscape creating the need for customers to be able to pay with foreign or cryptocurrencies
- Innovative shipping solutions that satisfy contemporary customers’ need for instant gratification while still allowing them to shop from home
Expand Your Customer Base
While market segmentation will always be a key tenet of creating efficiency through a focus on core competencies, there is no denying that casting your net into a larger pool gives your business a better chance of obtaining new customers.
While increasing the diversity of your marketing efforts is a strong idea, in general, one particularly lucrative customer base is the elderly population. If the current pandemic is viewed as a blip on the radar in terms of mortality rates, exciting new developments in telemedicine and treatment of chronic conditions such as cancer, diabetes, and HIV have people living longer than ever, with businesses capable of satisfying an aging population sure to be met with extensive opportunities in 2022 and beyond.
Streamline Your Business Process
Most certified business valuation experts say efficiency is the name of the game in the current business landscape, with most modern firms capable of running themselves with little to no oversight from those highest in command. By combining technology with a system of teachable and repeatable business practices, you can ensure buyers that your business will remain viable day after day, year after year, in the event that the owner becomes incapacitated or the company changes hands.
Partnering with startups in your industry can play a crucial role in your business’s scaling strategy, allowing you to tap into new markets and capitalize on emerging trends and technologies.
Have A Timeline to Scale Your Business
Buyers are always willing to pay a premium for businesses that have long-term growth potential. While profitability at the moment is great, what will happen in the years to come is of greater importance to consumers. As hockey great Wayne Gretzky famously said: “I don’t skate to where the puck is, I skate to where the puck is going to be.”
Therefore, you should look at your existing offerings and decide how to scale products and services as part of your portfolio in the future. By having a detailed, time-focused plan of how to get your most profitable products into the hands of the most high-value customers, buyers can be confident that the business they are getting today will be more valuable by the time the company changes hands.
“I don’t skate to where the puck is, I skate to where the puck is going to be.” – Wayne Gretzky
Take Care of Your Employees
With the increase in automation, it is easy to assume that employees are becoming expendable. However, this could not be further from the truth. Research has shown that contemporary professionals will change positions an average of seven times throughout the course of their careers. This has caused the costs associated with posting jobs, interviewing, onboarding, and training to skyrocket for many businesses.
As a result, it is essential that your business create a culture of recruiting, developing, retaining the right employees and providing them good employee fringe benefits and space to grow professionally. Happy professionals are productive professionals and taking care of your employees both financially and through a healthy and productive company culture will ensure a sense of loyalty that becomes unshakeable in 2022.
Spruce Up Your Business Space
With the shift to e-commerce, a business center has to be more than just a place to conduct transactions. It must be a complete experience, with the features and amenities of the space doing their part to draw in customers.
Large windows that allow the flow of natural light, open floor plans that promote interaction and collaboration, and sustainable interior design options are all features that are sure to appeal to a contemporary market.
Find Ways to Incorporate Subscriptions
A one-and-done customer is not going to do much for a business’ long-term potential. As a result, modern businesses are doing everything they can to offer subscription-based services as a way of ensuring monthly revenue.
The average American spends an average of $250 each month for subscriptions to a diverse array of products including online entertainment streaming, exercise, beauty, and fashion services. The seemingly low monthly cost is a great way to get customers interacting with your business and ensure a steady revenue stream throughout the year.
Despite the challenges wrought by the COVID-19 pandemic, savvy business owners have found ways to create opportunities in the midst of adversity. By choosing from the 7 ideas listed above, you can put yourself in a strong position to increase the value of your business in 2022 and make it highly appealing to potential buyers.