Who’s on Offense?

Can you imagine a successful football team without an offensive coordinator?

What about your business? Your accountant is a great defensive coordinator, working hard to minimize your tax bill and the chance of an audit. Your attorney is an important defensive strategist, helping you minimize or avoid legal risk and liability. Your insurance agent also is an important defensive player, ensuring that you are protected from financial risk.

So whom do you have on offense? Who's focused on growing the business? Who's helping you think about building long-term value? Just you?

You need positive influence to grow the business. Who's on offense for you?

Ron Dillon, an experienced business broker in Kansas City, makes a strong case for inviting a business broker or mergers and acquisitions (M&A) advisor onto your team. He explains that business brokers see many companies and the prices being paid for each. They see things that add value and make businesses more attractive to buyers. They also see things that detract from value and make businesses less attractive. And whether you want to swell or sell, the goal is the same - to build value.

Find a reputable offensive advisor in your area. Begin with regular breakfast meetings to get to know each other and discuss concepts, share goals, and cover topics such as:

Where do I want my company to be in the next two, five and ten years?

What lowers risk and adds value to a business?
What increases risk and lowers value?
What do I need to change now to increase value?
What is the current value of my business and if I sold today, what would I put in my pocket after taxes?
What risks do I and/or the business bear each day?

This is basic strategic planning, an offensive game, and it starts with an honest self-assessment.

The next step is to establish a vision and goals, assess the gap and set a plan for bridging it. But you won't get there with defense alone. Sure, a good defense is essential. But to taste sweet victory, you also need a great offense.

This is based on an article by Ron Dillon of Lenexa, Kansas. You can reach him at rondillon@dillon-ma.com