Franne McNeal explains why buyers don't care about your awards or how long you've been around. They want to know how the business will make more money in the future. Show them new markets, ways to sell more to current customers, and how the business scales.
Hi, I'm Franne McNeal, and there are 8 key drivers that drive the scalability of a company. The second one is growth potential. A lot of business owners want value based on what they've done in the past, which is understandable because the past is a record. It's the awards, it's the years in business, the brand reputation. Or whatever you think proves the strength of your business. But the hard truth is that when a buyer comes in, they're not buying the past. They're not buying what you've done. They're only buying one thing, your future stream of profits. They're asking, what's your business going to do in the future? And the future is both the starting line And the finishing line. So if you want to attract more buyers, you need to drive up your score on growth potential. You must make your case about the future potential of your business. Can your business operate in a different market? If you've been successful in Market A, is it possible to market and scale in Market B and C or even D? Could you cross-sell additional products or services to your existing customer base? Are there ways that your business could work in different cultural markets? Identify all the ways you could significantly scale up the business because those answers will drive up your growth potential.
