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Business Value Indexing and Analysis

Third Party Verification of Sweat Equity

A Small Business Owner gives, gives, and gives. So, how does the Owner get the most sweat equity from her or his business? They are putting in 60-70+ hours a week. Often doing things that others cannot do. Or showing up for a front-line worker in an impossible moment. Do they ever get compensated for all this extra time?

When a Small Business Owner has to sell his or her business because of health, divorce, or an unforeseen reason they often miss the fair factor. However, there are ways to minimize the loss of sweat equity by working beforehand with a Business Value Specialist. While meeting with the Specialist the Owner conveys activities that seem to fit with the principles and laws of business value from the book,”14 Immutable Laws of Business Value.” In turn, after reviewing the Specialist documents these activities. These are later shown and reviewed by a private Buyer or Investor.

This third-party documentation of business value activities verifies the Small Business Owner’s sweat equity for a future review or evaluation. Without it, there is no way a Small Business Owner could get compensated for all the little extras she or he puts into the growing concern. Ask for a complimentary review of your specific situation by a Business Value Specialist. And start documenting what really matters with a third party.

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