Value Enhancers for Companies that Perform Services in the Field: Why Buyers are Inclined to Pay More for Some Companies Versus Others.

Owners of middle-market companies need to balance growth versus profits; at the same time, positioning the company for greater value in a future sale is also important. Setting a company up for maximum value in a sale can be difficult though, and owners often overlook certain factors in their day-to-day strategic planning that could lead to greater value in the future.

GCG explores a variety of factors throughout this publication that are common to companies that perform services in the field or at customer facilities – offering guidance on how buyers view certain factors that can influence value.  Some of the recommendations discussed include:

• Invest in Management
• Develop Centralized Infrastructure and Repeatable Processes
• Recruitment & Retention of Labor Should be a Point of Emphasis
• Pursue Growth Opportunities More Proactively, Even the Ones Where Anticipated Profits May Fall Short of the Desired Level
• Diversify Away from High Concentrations
• Become a “Metrics-Driven” Company
• Position the Company as an Acquirer

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