TGG Service: Enhancing Valuation

Revenue Strategies to Increase Valuation in Preparation for Funding, M&A, or Exit

We help clients identify, define, and build strategic relationships in order to increase company valuation.

We also enable them understand how to most effectively communicate value – of their products, technologies, and entire organization – to investors, shareholders and others who influence valuation.

Companies that are proactive about taking steps to review their situation and find more ways to leverage strengths and mitigate weaknesses will be better positioned to maximize any advantages the market will afford them in the year ahead.  They will also be better prepared to show financial institutions, investors, and potential buyers the most attractive possible valuation roadmap.

At TGG, we sometimes get referrals from VCs, investors and other professionals who encounter companies looking for funding or who are preparing for an exit event, but who aren’t properly prepared to talk to investors or buyers. Companies in this kind of situation are lucky. More times than not, VCs, investors and buyers aren’t or can’t be this helpful. Most won’t come out and simply say, “Sorry. You aren’t ready. Here’s who you should talk to get your act in order.”

The fact is, too many companies don’t get the advice they need to be properly prepared for pursuing investors or buyers. As a result, they can’t complete a transaction in a timely manner because management ends up spinning their wheels and wasting valuable time and resources, sometimes until it’s too late.

Preparing a business for funding or an exit event requires expertise, practical experience, expert negotiating skills, and a keen desire to understand and balance the interest of all parties who may be involved in a transaction. A buyer wants a great deal, a seller wants to maximize the selling price, and an investor wants a good return. These often-competing goals must be aligned.

We helped one company quadruple valuation in one year. We did this by implementing a range of initiatives that improved how the company positions its technology, sharpened understanding of target customers, and improved how the company sells and distributes its products. We also found strategic partners and drove actual revenue-producing deals.

Timothy Gendreau

Principal

We apply a disciplined and rigorous approach to repurposing. A typical project includes:

  • Evaluating the Product or Technology. We begin with critical questions:
What business problem does your product solve? Who cares? Who wants this problem solved? Why do people pay you rather than your competitors to solve this problem? How does this product differ from competitive offerings or available substitutes, and what makes it better? How is the product priced and sold, and why?
  • Identifying Opportunities and Developing a Business Case. Next we look for opportunities by identifying problems your product or technology might solve.
We are experts at identifying and determining where else a product or service might deliver value, and if it could be competitive over existing offerings. We are also experts at identifying the most efficient sales and channel strategies to use to sell and distribute new offerings, and we look for opportunities to limit the time and money required to repurpose so that new revenues will drive straight to the bottom line.
  • Preparing a Business Plan and Kick-Starting Revenues. Finally, we help clients avoid unnecessarily diverting team resources by kick-starting new initiatives on their behalves.
From negotiating with channel partners, to creating marketing materials, to initiating early sales, we help clients realize benefits as quickly as possible from their repurposing activities.

See our TGG white paper on Repurposing. We invite your feedback or questions!

Since 1989 The Gendreau Group has been helping clients create and implement successful revenue strategies. Along with our experience and track record, revenue strategy is what distinguishes us from marketing firms and other consultancies.

Susan Wayo

Principal