Words of Wisdom and Inspiration for the Aspiring Entrepreneur from Frank Covich, Founder of the National Association of Independent Business Brokers (NAIBB).
Business Growth Through Acquisition
by Frank Covich
Most people in business seek to grow, create more sales, utilize management skills and attempt to build a constantly growing strong financial base from business/company profits.
To acquire profits from sales volume requires in most cases a strong marketing/advertising/optimization plan. In many cases, advertising dollars do not always relate to more sales, more profits. Sometimes markets are saturated sometimes the potential for your service or product is limited by regional population, awareness of marketing, in other words, lots of businesses can double their advertising and gain small bumps in sales.
What can a savvy business professional do? Consider growth through acquisition. An example of this method is the story of Health Extension a company that was organized to provide at home nursing services. As the core company marketed they found other home health care small business in territories through there state and area had been fulfilled the service needs in that area.
Rather than to try and out market these vital businesses, the company developed a desire to grow through acquisition and went on a strong acquisition search to purchase the regional competing agency’s .
They found a great business broker ( Fred Roa one of my clients) and he spent 4 years researching and opening the door to acquisition negotiations. As the company purchased the companies he found by offering reasonable terms and agreement to maintain employment, Health Extension became very successful in growing in size and profitability utilizing good sound management, installing technology for scheduling and HR activities and grew from 20 employees to over 1200.
This growth through acquisition theme can be developed for others by becoming the lead advisor to successful business players. Growth through acquisition can be your new advisory activity within your new business brokerage practice. Becoming an acquisition finder is within the science and art of becoming a business broker.
To consider my program on expanding into the science and art of business brokerage, please visit www.bebizbroker.com to examine other great business programs please visit www.shopabizop.com get involved and remember how important your comparison research is in finding what new business is best for you. Kevin’s portal offers that research platform.
Visit www.bebizbroker.com today to find out more about how you can start your own business brokerage practice fast, economically and with total confidence!
All the best,
December 28, 2018