Have you ever wondered what a Business Advisor can do for you and why working with a good one can be a game-changer? You are not alone; the professional role of a Business Advisor is not well understood.
In the last of five articles, I will talk about the difference a quality business advisor can make to your bottom line, your investment and the on-boarding process we follow at Advantage Business.
My thinking comes from my work with business advisory clients since 2005, mentoring other Business Advisors, and my knowledge of how Business Advisors operate and add value. They not only create business value but act as a conduit for the value provided by their networks.
The Bottom Line – a measurable return on investment
The time and money you invest in a relationship with a quality business advisor will produce measurable results in several ways.
Financial
If a business advisor cannot deliver a cash multiple on the fees they charge a client, there is no reason to retain them.
Although the multiple varies in size between clients, there are usually cascading benefits to the cash multiple on fees charged.
- A client receiving a cash multiple on fees will likely enjoy improved tax paid profits.
- An improvement in tax paid profits tends to increase business value by a multiple of this improvement.
Subsequently, it is no surprise that Advantage Business advisors tend to retain clients for the longer term.
Commercial
Business advisors can recommend joint ventures that their clients might otherwise overlook. Not because their clients lack vision but because they are often totally immersed in their business. Leading a business demands all the mental, physical and emotional resources its leader has, especially while it grows or in times of uncertainty and change.
By contrast, a business advisor helps clients develop and optimise their business from the outside-in. We can see commercial opportunities that often hide from the plain sight of our clients. A quality business advisor is less distracted and delivers value from a different perspective.
Lifestyle
Lifestyle is about choice. The more you have, the better lifestyle you can enjoy. When we work with clients, it frees up their time and generates cash. Time and cash create choice and thereby improve their lifestyle.
Family
Happy wife, happy life is a somewhat outdated phrase today, but Happy life partner, happy life lacks the same ring! The sentiment remains, however. If through our work together, clients experience an improvement in lifestyle. It can assist in a better relationship with their life partner and their wider family.
The Process
How should you decide if working with a business advisor is right for you? Let’s remove any element of surprise to help you make that decision. Here is the process we step through with prospective clients:
1. Fact find
A fact-finding session usually lasts 1-2 hours. The focus is on your needs. We provide value to clients by understanding their needs and structuring our assistance around them.
We listen actively to absorb and understand what is said, how it is said, and sometimes, what is not said.
2. Proposal and scope
If you would like to receive a proposal that addresses your needs, we will document our offer, and then meet face-to-face to discuss it.
Often the contents of the proposal will change over time as your needs change. We are able to flex with these changes, remaining focused on the needs of our clients.
3. Rescoping if needed
Some clients engage a business advisor for very defined reasons which do not change much over time.
With others, the scope of our work can change, sometimes dramatically. We live in a dynamic world, which impacts business swiftly at times and requires agility, both on the part of the advisor and the client. If the scope of service changes, we have the flexibility to respond.
4. Investment & timing
You will not need to make any investment upfront. First, the fact-find is completed, a proposal is discussed and agreed on, and when you signal you are ready for us to start work together, then we start. We will send you an invoice each month.
Advantage Business Advisors charge a monthly retainer, for an agreed sum, for an agreed period whilst delivering agreed outcomes. Work is completed and invoiced for as long as you gain value from working with your advisor.
If you would like to talk with me or my colleagues about how we can help you generate value for your business contact us. We will be in touch promptly.
Read more
This is the last article in our series for those considering working with a professional business advisor for the first time.
If you missed Murray’s earlier articles, use the links below to read them.
Generate Business Value
Approach & Synergy
Turning Points & Sharing Emotional Load
Trusted Advisors, A Good Fit