Intentional Growth

My guest today is Karim Marucchi, the CEO, and owner of Crowd Favorite. Today we discuss the misconceptions people have about web-based businesses, in particular, digital service businesses. Many people assume that because a digital business has no inventory there isn’t a way to sell it. Karim debunks that type of thinking. He explains how a service company, especially a digital company, can find the right buyer if they put the work in and build the best brand and service possible.

We explore what makes a service business valuable and how to scale it effectively. Karim offers some great insight on how to build the best team for your niche. He also emphasizes the role of partnerships in digital business and how to make a business connection your ace in the back pocket.

Digital services is a tricky market. Since there’s very little that’s tangible about these businesses, valuing them can be difficult… but, as today’s guest notes, goodwill can be measured. Karim Marucchi talks about the similarities between digital services and restaurants in terms of goodwill, brand and staff and how to capitalize on those key elements.

Service, service, service. Restaurants might be a cheesy example to use (pardon the pun), but it’s a very visceral one which can provide concrete and familiar examples for us to better digest the intangible world of digital services. However, both require a high level of service where the customer is very rarely wrong. Why is that?

Digital services are just that: digital. You can’t touch them, but they add value to every business and most individuals around the globe. Knowing this, there is an industry for each service created and if you’re in this type of business, you need to be able to cater your company to meet those needs. We’ve discussed adding recurring revenue to your business before, so imagine what’s possible if you begin employing digital services?

If you know your niche, you can usually add a plus or upgrade (think: fries) to that client’s portfolio.

As Karim notes, no restaurant specializes in all kinds of foods. The same applies to digital services. While you may be able to do everything under the sun, your business should focus on the three or so things your business does the best. You go to Pierre’s for fine French cuisine, not Thai, though you could still get your fill

Mike Paton joins me today to talk about how EOS® (the entrepreneurial operating system) and Traction can help you accelerate your business. Mike is the “visionary” of EOS Worldwide. He is a consultant to the massive client base looking to EOS® to identify the problems and strengths of their businesses. He shares what his job entails and how someone like him can help a struggling business.

As an adopter of EOS® in my own business, I highly recommend this operating system for small businesses. It is a great tool. Mike and I explain the two-year process that businesses go through to get their business into a healthier state. EOS is not a quick process, but it is totally worth the time and resources invested in it.

We’ve talked in the past about making things easier in your business by using all the tools you have available to you. Today we’re talking specifically about EOS, or Entrepreneurial Operating System, as a way to free up some of your time and help you run your business more efficiently. Not every company is a good fit for EOS, of course, but our guest today (Mike Paton) says it’s important to pick just one operating system to work with so everything aligns in the software world and also between the humans who use those systems.

Mike identifies six key areas to assess when looking at implementing an EOS®. Typically once EOS® is in place, if there are issues in these key components, you’ll see evidence of that pretty quickly and therefore be able to get to the root of the problem. In Mike’s own words, here are the 6 key components of EOS® in order to gain Traction® that you should evaluate:

My guest today is Sabina Teshler. Sabina is the founder and current chairperson of SET Creative. SET is a consulting agency for businesses wanting to take their brand recognition to the next level. The company was sold to WPP as an attempt to bring SET to a wider audience. The choice was the right one and now Sabina works to keep her business culture the same as it was when she was CEO.

During today’s show, we discuss how Sabina and her business partners decided to sell the business. She explains why she chose to sell the business when it was “on top” and why she recommends that to any entrepreneur. She stresses the importance of building a good team and knowing which direction you want to move in as a company. Her confidence in her team and business is inspiring.

SET Creative is a rare story that has a happy ending at the end of the sale. That’s not by accident. Sabina shares how she and her team negotiated and challenged their deal to their optimal outcome. Tune in to hear how to sell your business the right way.

Today we are talking to Sabina Teshler who has gone through a rather successful exit which she managed to keep in line with her own vision and needs. Not only that, but she got the full value she was looking for to keep her solvent for the future. It wasn’t rocket science that allowed her to achieve all these things; rather, it was preparing early and not being afraid to sell when the time was right.

Sabina is not the only person who has told you that preparation is key in life and business. However, perhaps her story of being prepared equalling lots of cash and a happy business transition will be the motivation you need to start your own preparations today.

When you start thinking about the integral aspects of your business that add to your life, the key things you want to continue when you’re gone and other such considerations, you can figure out what you want and need to get out of your eventual exit. Bo Burlingham talks about this in his book Finish Big because so many people undervalue how important knowing what you want and why you want it is when you go to sell your business. You will see greater happiness knowing what you’re after and going for it from the start than if you sell without the end in mind a

My guest today is Loren Horsager, the CEO and co-founder of Mobile Composer. Loren has been working in software development for 25 years. Mobile Composer helps identify software development opportunities for companies to target niche areas of their market. All industries can benefit from a software application.

Loren shares how software can increase value to a business, especially when it comes time to sell. Mobile Composer helps clients sit down and actually plan their software development in a logical and constructive manner. He discusses his company’s process of finding the specific niche that will benefit the client. In today’s online world, establishing a source of recurring revenue is key to attracting good quality buyers. Mobile technology done right gives a business a leg up on their competition.

What do your company do for recurring revenue? If you answered “nothing”, you’re not the only one. However, our guest today says that developing a recurring or passive income source for your business can triple your value—so maybe it’s time to look into what avenues are available for you to expand into and allow you to tap into this revenue stream.

Lorne Horsager has been in software development for 25 years and knows his stuff. The examples he gives within the show of various industries and the way they provide SaaS or other recurring revenue services are well-rounded and can really spark your imagination of what is possible. Here are some key things to focus on when looking for a passive revenue source within your business.

As with anything regarding your business, you really need to know what you’re about before you can go dumping money into a new product or service. If your company doesn’t typically use software, it can be even more daunting to develop some SaaS to help retain clients or improve your services. However, the end investment is worth it both financially and personally as it tends to save you a ton of time on the back-end (think automatic scheduling, billing or other similar rote service you do daily). Your client and your staff will thank you for streamlining some of the more tedious tasks.

If you are a subscription-based service or already have recurring revenue, no one needs to tell you just how valuable it is to have that predictable revenue ticking over each month without you having to actively seek out new business. Everyone’s dream, right? But there are always avenues you haven’t thought to explore or packages you have yet to create.

So it comes back to knowing your business. Know who you’re selling to and the present market conditions. Take stock of your employees and your operational efficiency. What elements of your business could be improved through software in some way? If you can’t come up with anything, ask your staff! They run the front lines and deal with all those daily headaches that you no longer wish to (good work on that, by the way). If your f

My guest today is Bill Casey. Bill is the Vice Chair of the Transaction Advisory Services department of EY (Ernst & Young Global Limited.) He has been an employee of EY for 35 years and has seen many market changes come and go. Bill has an MBA and a background in audit, a solid career choice he believes for anybody wanting to get into the financial sector.

During today’s show, we discuss the 2018 M&A Firepower Report. Bill shares some of the trends emerging in this year’s report. We speculate what that could mean for the economy and how American tax reforms are affecting the trends. Bill also gives some foolproof advice for business owners thinking about selling in 2018. We cover the traits that are making companies attractive to buyers and how a seller can make their company more enticing in this current climate.

What are the key things you should do to prepare your company for acquisition? Bill Casey, with his 35 years at EY, says it all comes down to due diligence (or reverse due diligence). This isn’t just your run-of-the-mill due diligence, however. You need to take a close look at your company’s operations from both the tangible and intangible aspects.

At this point in the game, every entrepreneur knows about due diligence—at least in terms of the financials. So before you think about selling your business, make sure your books are in order. You need to know them inside and out, including where your weaknesses are, liabilities, potential legal kerfuffles and the state of your assets before you pass the business on. No buyer wants to acquire a company that is riddled with unknowns or risks that could potentially impact the future earnings or cash flows of its acquisition.

But that’s not where your due diligence should stop. You need to evaluate your intangible assets as well. Things like goodwill, customer/client retention, your employees and even your reputation and company culture all add (or detract!) from your business’ value.  Brand names have power and impact the market, just by reputation alone. Does your company do that? Do people vie for positions at your company when they come up because you are so well-known for a cool company culture or how you treat your employees? These and other intangibles impact your intrinsic value just as much as your tangible assets do.

There is a lot you can do with tangible assets, and your financial team can help you