Three Areas Drive Business Value

areas

There are three primary areas of your business that drive value. In large businesses, there could be a dozen or more departments. But, when you get down to brass tacks, there are only three essential areas no matter your size: marketing, operations, and accounting.

Marketing

This is how well you attract leads and turn them into customers. The latter is often called “sales” which I’m not intending to shortchange but let’s keep this simple. Do you have a sufficient pipeline of new leads or existing customers interested in more assistance? If not, fix that first. Once that’s fixed, how well do you convert prospects into customers? Fix sales conversions once leads aren’t an issue. Customer retention shouldn’t be ignored and tends to fall apart if the next area isn’t working.

Operations

The operations area is where you make or deliver the product or service to the customer. This is where the sausage gets made, and there’s constant tension between speed and accuracy. It’s where mistakes, complaints, accidents, customer changes, under-billings, and delays happen. There’s no way to eliminate all issues but if you can get a little better every day, you’re making progress. The key is to develop systems followed by all employees to minimize problems. Taking pride in doing boring things well is critical for operations success.

Accounting

This is where you count the beans, create financial statements, and comply with tax laws. But these are minimums today. A good accounting department also provides feedback to the other two areas without shame and blame. Accounting should tell marketing whether prospective customer meetings are turning into new sales so they can improve or double-down. They should also tell operations when errors are increasing and where they’re happening so they can fix them.

Parting Thought

I think we often complicate what a business does and it makes it hard to identify the problems and solutions. If you’re struggling, there’s a good chance it’s in one or more of these three areas. I would improve them in the order above because good marketing and sales spark cash flow needed to hire more good people to improve the other two areas. Just make sure you delight your customers or more sales can backfire. 

Josh Horn, CPA, CVA
Horn Valuation

Sign up for this blog here if you’re interested in valuation for family business succession and dispute settlement. My clients are business owners and attorneys. You can email me at [email protected] and connect with me here on LinkedInFacebookTwitter, YouTube and Instagram.

“Once-in-a-lifetime events demand an expert.”

Qualitative Issues that Drive Your Business Value

qualitative

Behind your numbers are qualitative issues. How you can improve three qualitative areas and drive your business value up. Secure link to video here or YouTube below. 

Thanks,
Josh

Sign up for this blog here if you want tools to increase the value of your business or want a refreshing view on business valuation from a recovering CPA. I’m Josh Horn, CPA, CVA of Horn Valuation. I value businesses for owner exits with a focus on HVAC and trade contractors. I also assist litigation and divorce attorneys as a business valuation consulting or testifying expert. My clients are business owners and attorneys. If you’d like more information, email me at [email protected], or call me at 217-649-8794.

I’m a licensed Certified Public Accountant (CPA) and credentialed in business valuation (CVA). I’ve been a tax and business consultant in a top 100 CPA firm and a controller in a large international company. I’ve also valued and advised small family-owned and multimillion-dollar companies. You can connect with me here on LinkedInFacebookTwitter, YouTube and Instagram.

“Once-in-a-lifetime events demand an expert.”
 Josh Horn, CPA and Certified Valuation Analyst

The Four Things that Drive Business Value

drive

Four things drive the value of your business. What they are and the actions you should take today to drive it higher. Secure link to video here or YouTube below. 

Thanks,
Josh

Sign up for this blog here if you want tools to increase the value of your business or want a refreshing view on business valuation from a recovering CPA. I’m Josh Horn, CPA, CVA of Horn Valuation. I value businesses for owner exits with a focus on HVAC and trade contractors. I also assist litigation and divorce attorneys as a business valuation consulting or testifying expert. My clients are business owners and attorneys. If you’d like more information, email me at [email protected], or call me at 217-649-8794.

I’m a licensed Certified Public Accountant (CPA) and credentialed in business valuation (CVA). I’ve been a tax and business consultant in a top 100 CPA firm and a controller in a large international company. I’ve also valued and advised small family-owned and multimillion-dollar companies. You can connect with me here on LinkedInFacebookTwitter, YouTube and Instagram.

“Once-in-a-lifetime events demand an expert.”
 Josh Horn, CPA and Certified Valuation Analyst

What Pros Do to Drive Business Value Higher

pros

Higher business value is no accident. Pros in the 5 percent do what the 95 percent of amateurs do not. Find out what the pros do. Secure link here or YouTube below. 

Thanks,
Josh

Sign up for this blog here if you want tools to increase the value of your business or want a refreshing view on business valuation from a recovering CPA. I’m Josh Horn, CPA, CVA of Horn Valuation. I value businesses for growth and exits with a focus on HVAC and trade contractors. I also assist litigation and divorce attorneys as a business valuation consulting or testifying expert. My clients are business owners and attorneys. If you’d like more information, email me at [email protected], or call me at 217-649-8794.

I’m a licensed Certified Public Accountant (CPA) and credentialed in business valuation (CVA). I’ve been a tax and business consultant in a top 100 CPA firm and a controller in a large international company. I’ve also valued and advised small family-owned and multimillion-dollar companies. You can connect with me here on LinkedInFacebookTwitter, YouTube and Instagram.

“Once-in-a-lifetime events demand an expert.”
 Josh Horn, CPA and Certified Valuation Analyst