Talking Law

Talking Law

[EP 108] 6 steps to increasing the multiplier of your business – Part 1

July 23, 2020

Download AudioSubscribe on Apple PodcastsSubscribe on Google Podcasts

Many businesses dedicate their time and focus to driving profit, without realising the real value they are missing from driving their share price multiplier. This episode looks at the 6 steps in building your share price value through increasing your business valuation multiplier, and investigates a case study of a business that went from a valuation of $400k to an astonishing $11M, in just 18 months.

* Speak to a lawyer about an issue you are facing now
* Leave us a message with a legal issue that you want us to cover on the podcast

Episode Highlights:

* What is the multiplier of a business?
* Two parts that drive the valuation of a business
* The 6 steps to increasing the multiplier of a business
* Step 1: Talent, Capability and Culture
* Tips for SMEs on talent, capability and culture

This week we are joined by Marc Johnstone of Shirlaws Group and Nathan Williams from Customer Return who together with our host Joanna Oakey dive into what a business multiple is, why it's important, and how to increase it.
In this 3 part series we look at:

7 common mistakes of valuation
Understanding the valuation formula – why is Twitter worth $23.4 with no profits
Understanding the ways to move the share price multiplier from 3 to 5
A case study of a company that went from a valuation of $400k, to an astonishing $11M in just 18 months

In part 1 of this series we begin by looking at the terminology of valuation multiples, and the reasons for focussing on how to increase it. We explain the 6 steps to exponentially increasing your business multiplier and drill down on step one: talent, capability and culture. We discuss the opportunity for businesses that focus on this area of talent and share tips and concepts to consider when trying to execute this step.
Background on Marc Johnstone and Nathan Williams
Marc is one of the founders of Shirlaws Group, he pioneered the international expansion of Shirlaws by the founding of Shirlaws in the USA. During his 5 years as CEO the business experienced more than 100% year on year growth across 3 offices, 5 partners and 27 staff. 
Nathan founded Customer Return a Sales Consultancy business in 2010. This was his fourth business in 25 years. Having over 10,000 interviews under his belt on ‘why clients buy’, Nathan is able to  transform business owners and leaders into compelling communicators to ensure they don’t miss out on the ideal clients and opportunities in their businesses when Pitching, Presenting and Negotiating.

Connect with Marc and Nathan

* Shirlaws Group Website
* Powered by Shirlaws Group Website
* Customer Return Website
* Marc Johnstone on Linkedin
* Nathan Williams o...