3/1/2021 Tip: Why Building “VA”s is Crucial | Growthink

3/1/2021 Tip: Why Building “VA”s is Crucial

Today’s Quote

“Simplicity means the achievement of maximum effect with minimum means.”
 ~ Dr. Koichi Kawana

 

Today’s Tip

Whenever a large company considers buying a smaller company, they make a “build or buy” decision. That is, they think, “how long and how much money and resources would it take for us to build what that company has already built.” And then, they compare that answer to the price at which they could buy the company.

And when the larger company thinks that buying the smaller company is less expensive (in terms of dollars and time savings), they’ll buy it.

Now, what VAs or valuable assets do buyers want? There are 20 core types of VAs that buyers want and will pay dearly for, such as: products, customers, intellectual property and quality employees.

So, make sure that as you build your company, you focus on building VAs so that larger companies will want to purchase you, and you can reap the full financial benefits of being an entrepreneur.

 

Today’s Resource

Is Your Business “Built to Sell”?

Do you know how the wealthiest entrepreneurs make their money? 

It’s not from building their businesses… or owning their businesses… 

Actually, most wealthy entrepreneurs get rich by cashing out – by selling their businesses.

This is why: When you sell your business, you can generate a huge lump sum (plus there are powerful tax advantages). 

Learn how to build a sellable business here <—

 

Trivia 

Today’s Question: Tupperware, Tastefully Simple, and Pampered Chef are a few of the companies that sell their products through the “Party Plan” method of direct sales. Though selling products is one of the goals of this business model, what is considered the main goal for the demonstrators?

Previous Question: Jeff Bezos, founder of Amazon.com, had an unusual business plan for his venture because he didn’t plan on turning a profit for how long?

Answer: 4 to 5 years

Ultimately, the strategy was successful and Bezos’ prediction turned out to be right on the money. Amazon survived the bursting of the dot-com bubble and reported its first profit in the 4th quarter of 2001. Today, Amazon.com is the world’s largest online retailer.

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