TRANSCRIPTION

Business owners should always know the value of their businesses, and some people will like to know it because they have intentions of selling their businesses. The question is: how do they get to find out about their businesses’ values, find ways to optimize them, and then sell them? In this episode, I shall tell you how to do so.


Okay, first of all, you need to recognise that all businesses are sellable assets. People sell their businesses for a variety of reasons, and there are no right or wrong reasons for doing so. I will just give you a few scenarios below where you may consider selling your business.


Let’s assume first then, that you have built an Amazon business, and you are doing pretty good at it. You may want to challenge yourself by starting another business, but you find that you don’t have enough time or capital to manage two businesses at the same time. Or perhaps, you just feel very tired, and you want to ‘retire’ from your business. In either case, you will probably be looking at how to sell your business to get the most value out of it.


My advice then will be to go and find out the value of your business, before you come to a decision. Reason for doing so is very simple – after finding out the value of your business, and if you realised your business has far greater potential in the long run, why should you sell it? You can always hire and train someone else to help you manage your business instead.


But no matter what, to find out the value of your business, you can go to this website called Empireflippers.com, which is a website that helps to sell online businesses. Under each business listing on this website, they will show you the value of that particular business, their past monthly profits and traffic to their website, and the factors which affect that business’s value. For example, did the business have trademarks, social media accounts, and SOPs in place, etc? They will even label for you what opportunities there are in this business – like if this business can expand to different product lines within their niches, do they have potential to reach global markets, and whether this business can diversify by selling on different platforms, etc?


The point of looking through such listings is that you can compare your own business to similar business listings on this website, and from there on, you can generate a rough idea of what your business’s value is. Meanwhile, you will also know what areas you want to focus on to increase your business’s value. But if you are already very sure you want to sell your business, you can also use a valuation tool on this website, which gives you a free valuation of your business that is fairly accurate. So, go play around with this website should you have intentions of selling off your business.


Personally, I get the most value out of this website from checking out their ‘Blog’ and ‘Podcast’ sections. Their posts give me a fair number of tips about monetizing businesses, and this is very beneficial for business sellers. Just think: even if you don’t intend to sell off your business soon, it’s good to read up on such tips because, well, you never know when will be the day you want to change your mind. No matter what, working on increasing your business’s value is always a correct direction, and a better understanding of how a business is valued can help you to improve the running of your business.


Some of the tips I learned from this website will be how one should focus on one category of products for a business after knowing which category you are most profitable in, use Amazon as one of your many sales channel only, and how you should build a community outside of Amazon, etc. Other than that, it will be great if you can establish exclusive agreements with some suppliers, and optimise your Amazon store, and/or stores on other selling platforms regularly.


Generally, to increase your Amazon business’s value, the main idea will be to automate and outsource operations. Other than that, you will want to have a system put in place for your team members, with the appropriate SOPs. I have gone through that before in my previous podcast, so I won’t repeat much here. Do look up on my website if you want to know more!


And so, this will be the end of this episode. Goodbye, and I will see you in the next episode.