Improve Your Business
How we improve profitability:
If you want to sell your business for the highest amount possible, your business has to be in the best condition it can be. If there’s a gap between what you would like to sell it for, and the valuation amount our analysis has revealed, it’s time to get some expert help.
Our process starts with a detailed on-site analysis, examining the company’s operational efficiencies including; corporate structure, service offerings, service contracts, agreements, marketing, equipment, and banking/billing processes.
Using this information, we identify where the business is currently and where improvements can be made. Utilizing our 30 years of management consulting and coaching experience, we work with you to quickly, efficiently, and successfully grow the top and bottom lines of your business – which often will result in a higher sale price.
profitability Q&A:
Yes. After we clarify you’re interested in a Profitability Evaluation, we draft up a short contract identifying the services we will provide and the schedule of work.
This is entirely dependent on the situation, business, and owners needs.
Typically, we provide a 2-5 day on-site service to start, and will continue on a per-visit basis as needed.
The only thing we ask from our clients is to have any reports, financials, agreements, and corporate and banking documents ready for review.
The average Engagement Fee is $2,000, though we do a sliding scale from $1,000 – $5,000 based on the complexity and size of the business.
Chinook first works with you to determine exactly how you profit from running your business so that it is clear how much money is available to a new owner. We then consider the market sales data of similarly sized businesses from your industry. Using this market data, we calculate a justifiable asking price for your business. How do we know if an asking price is justifiable? It achieves the 3 criteria every business buyer seeks when buying a business:
- The business must provide the buyer a living wage
- The profits of the business must cover the payments of any debt used to purchase the business
- Finally, the business must provide a return on the money they invested into the business (after the buyer pays themselves a salary and covers their debt payments).
