Are You Building Value? Here’s What to Consider

Hi Barb:

I’ve been in business for 12 years and often wonder if I’m building a business that would be considered a sound investment. What areas are most important to review?

Andrew B. San Jose, CA

Dear Andrew:

There are many things to review to determine if you are creating value in your business. Some of those would include the following 11 areas:

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  1. Potential growth of your niche or area of specialization.
  2. Your business model, i.e. contract or blended firms create the highest value (re-occurring revenue model and contracts).
  3. Systems for sales, marketing, referrals, training, hiring and operations.
  4. Branding and differentiators.
  5. Number of client base served on a regular basis.
  6. Active database of candidates.
  7. Tenure of employees, succession plan.
  8. AR aging and business written off.
  9. Market share.
  10. Real estate owned.
  11. Profits.

It is also important that you as the owner do not represent more than 25% of the revenue generated by your company. You company must function and be profitable without your personal sales.

Barb

Barb Bruno, CPC, CTS, is one of the most trusted experts, speakers, and trainers in the Staffing and Recruiting Professions. If you want to receive FREE training articles from Barb, sign up for her NO BS Newsletter! Barb has spent the last twenty years focused on helping Owners, Managers, and Recruiters increase their sales, profits, and income.

Her Top Producer Tutor web-based training program jumps-starts new hires and takes experienced recruiters to their next level of production. Barb's cutting-edge program, Happy Candidates, provides you with a Customized Career Portal in less than 10 minutes. Happy Candidates allows you to help the 95% of candidates you don?t place and eliminates the greatest time waster in your business.

If you'd like to contact Barb, call (219) 663-9609 or email support@staffingandrecruiting.com.

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