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  • Writer's pictureMark Hartmann

A Blood Pressure Test For Your Business


Close-up of a sphygmomanometer, commonly known as a blood pressure monitor, resting on a table next to paperwork.

A blood pressure test for your business


When was the last time you had your blood pressure tested? 


Most doctors take your blood pressure before treating you for just about anything. How much pressure your blood is under as it courses through your veins is a reliable indicator of your overall health, and it can be an early indicator of everything from heart disease to bad circulation.


Does it tell the doctor everything they need to know about your health? Of course not, but one powerful little ratio can give the doctor a good sense of your overall well-being.


Likewise, your Value Builder Score can be a handy indicator of your company’s well-being. Like your blood pressure reading, it is an amalgam of several different factors and can help a professional quickly diagnose your company’s overall health.


Predicting Good Outcomes Too

When a doctor takes your blood pressure, they not only rule out possible nasty ailments; they can also use the pressure reading to forecast a healthy life. Similarly, your Value Builder Score can predict good things for the future. For example, based on more than 10,000 business owners who have completed their Value Builder Score questionnaire, we know the average multiple of pre-tax profit they are offered for their business when it is time to sell is 3.7. By contrast, those companies that have achieved a Value Builder Score of 80+ are getting offers of 6.6 times pre-tax profit.


In other words, an average-performing business turning out $500,000 in pre-tax profit is likely worth around $1,850,000 ($500,000 x 3.7). If the same company improved its Value Builder Score to 80+ while maintaining its profitability of $500,000, it would be worth closer to $3,300,000 ($500,000 x 6.6).


Are you guaranteed to fetch 6.6 times pre-tax profit if you improve your Value Builder Score to 80? Of course not. But just like blood pressure, one little number can tell you and your advisor a lot about how well you are doing, and your advisor can then prescribe an action plan to start maximizing your company’s health – and its value down the road. 


Heart disease is called “The Silent Killer” because most people have no idea what their blood pressure is. People can walk around for years with dangerously high blood pressure because they haven’t bothered to get it tested. The first step on the road to health is to get tested. If you have a great score, you can sleep well at night, knowing you have one less thing to worry about. If your score is not where it should be, then at least knowing your performance can get you down the road to better health. 


To get your Value Builder Score, please CLICK HERE


 
Mark Hartmann - CEO of HartmannRhodes

Mark Hartmann is a three-time Inc 500|5000 CEO with a rich sales, operations, and leadership background in the insurance, financial services, and healthcare sectors. With extensive experience growing and selling his own businesses, Mark leverages his expertise to help owners grow and sell businesses valued at $1M —$25M. He’s earned a master’s degree in organizational change management from St. Elizabeth University and a graduate certificate in executive coaching from Columbia University. Mark’s professional certifications include Certified Mergers and Acquisitions Professional (CM&AP), Certified Business Intermediary (CBI), Certified Exit Planning Advisor (CEPA), and Certified Value Builder (CVB).

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