How to valuate a business is a tricky question. The common goal of valuating a business is usually to identify its price for future investors or owners. What is a certain business actually worth in terms of money? This blog is first of all interested how awesome a business is. But what characteristics can be used to identify it?
This article will introduce 5 traits every awesome business should have. In this way everything will be held very simple and straight forward so awesome businesses can be identified very easily.
1. Convincing Story
A business is built around products with the goal to be sold. And there is also the beginning of the story. Why should anybody care about these products? This big why needs to be packaged into a convincing story to attract customers, partners, possible investors in order to get the business off the ground and in to its market.
2. Loved by Customers
After the attention is there and first customers are generated it is important to keep and grow the customer base. Best practices in this area is to have a tribe. This is a group of loyal clients, who love the products and its business. This includes great customer service and a product line, which evolves with the market. An awesome business knows how to connect with its clients in order to keep its remarkable value proposition.
3. Engaged Stakeholders
Stakeholders can include a wide range of people. These could be employees, suppliers, business partners, investors etc. Besides identifying, creating and honing the relationship to stakeholders it is also crucial that they are willing to engage in the business. This helps to create an awesome network, which can be directly utilized.
Yes at the end of the day the money is a topic. Without a balanced cost structure and revenue stream it is almost impossible for a business venture to succeed.
We are not looking for one hit wonders. Awesome businesses are here to stay in the long run. Therefore a sustainable base to create a successful future are indispensable. This does not only entails a sustainable profit stream. All kind of aspects should be taken into account. This starts at the product creation, treatment of employees, suppliers etc. but also affects e.g. the responsibility of the enterprise in its community or society.
Now I would like to now from you: What do you think are the 5 must have traits of an awesome business?
I’m looking forward to your answers in the comment’s section below.