Create a strategy to maximize the value of your company

Your business strategy should build on the solid foundation of financial research that has shown that businesses create value by first obtaining a return on investment above the cost of capital and then — and

only

then — growing the business.

When developing your strategy, focus on the details of our company’s economics. Determine how fast your company is likely to grow — and how fast it can afford to grow. Also assess your competitive environment.

As you develop your business strategy, you should obtain a clear idea of what the business value is today and how it should change over time. This will in turn give you insights into the best times to consider transitioning out of the business and coordinating that with your own personal preferences.