Work “on” your business to build transferable value

/in /by Al Statz

If you’re a business owner, you know how easy it is to get caught up in the daily hustle and bustle of running the business—I inhabit that space myself most of the time!  It’s all too common to find ourselves knuckling down on our inboxes, serving clients, and managing employees, and putting out fires

However, this hands-on approach, while often necessary in the early stages of a business, can create a business that’s overly dependent on us as owners. To truly scale, we need to shift our focus from working “in” our business, to working “on” it.

The pitfalls of working “in” your business

When you’re constantly immersed in daily operations, you risk becoming a bottleneck for growth. Your business becomes limited by your personal knowledge, relationships, capacity, energy, and time. This not only stunts potential growth but also makes it challenging to step away or eventually sell the business.

The power of working “on” your business

Working “on” your business involves taking a step back and focusing on strategic growth and development, such as:

  1. Developing systems and processes that can run without your constant oversight.
  2. Building a strong management team that can operate the business in your absence.
  3. Investing in technology and infrastructure to improve efficiency and scalability.
  4. Focusing on strategic partnerships, recruitment and talent development.
  5. Strategic planning for long-term growth, sustainability and eventual exit.

By shifting your focus to working “on” your business, you’ll reap several benefits:

  • Scalability: Your business will be better positioned to handle growth and expansion.
  • Increased business value: A business that can operate without constant owner involvement is more attractive to potential buyers.
  • Work-life balance: With less day-to-day operational stress, you can achieve a healthier balance between work and personal life.
  • More personal freedom: With systems and teams in place, you’ll have the flexibility to pursue personal goals outside of your business.

The goal is to create a business that works for you, not the other way around. By adopting this approach, you’ll not just build a successful business – you’ll have a more fulfilling entrepreneurial journey.

Working “on” a business is the key to building transferable value.

For information about Exit Strategies Group’s M&A advisory or business valuation services, please contact Al Statz at alstatz@exitstrategiesgroup.com.