I cannot begin to count the number of times I've heard the following question or something similar, "Mark, I've heard my industry EBITDA multiple is 5x. What do you think?"
As much as I want to scream at that question, this type of thinking on business value is prevalent amongst many CEOs of both big and small companies.
When the book Quick Value by Reed Phillips hit my radar, I bought it immediately and couldn't put it down as I started reading it.
Reed's process for valuing a private company is a simple but powerful method that should be completed annually by an internal leadership team. The process is easy to learn and can even replace annual strategic planning sessions.
In this conversation, we learn the Quick Value process, who should use it, and some other nifty nuggets for leaders wanting to grow the value of their business, even when they do not want to sell it.
Important Links
- The book's website
- Oaklins Valuation Index (sign-up is free)
- Reed's LinkedIn profile