balance sheet

What Really Drives Your Business?

Posted by Carl Gould on October 04, 2011
7 Stage Success with Carl L Gould, business / No Comments

Recently, I witnessed the merger of two businesses. One business was barely cash flow positive, and the other had not even launched yet. While their balance sheets of both businesses had not done anything to impress as of yet, the combined valuation of the two entities was nearly $100M. Why? Because of their off-balance sheet value, their intellectual property, process and people. None of these can be found on the balance sheets, but all drive the value of the business.

Intangible value (off-balance sheet value) can be the single highest driver of value in the business. At some point that off-balance sheet value must become on-balance sheet value. The company must make money, and when you combine the tangible with the intangible, you have a winning combination!

“Carl L Gould is the President and Chief DISCoverY Officer CMT International, LLC
(www.CMTmentors.com), the farthest-reaching business mentoring organization in the world. Carl’s unique approach to executive coaching, business mentoring and performance training helps his clients achieve results worldwide. His latest book, The 7 Stages of Small Business Success – From Startup to 7 Figures in Three Years or Less, will provide entrepreneurs and business owners a step-by-step formula to taking their businesses to the next level”. Gould is also the author and creator of The 7 Stage Turnaround Process (www.7StageTurnaround.com). 7 Stage Consultants help business owners grow their sales, increase their cash flow and lower their expenses using a proven method of business growth strategies. To learn more about our Consultants, go to http://7stageturnaround.com/mtc/mentorlist.php?groupid=1

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