Valuation is the analytical process of determining the current (or projected) worth of an asset or a company.
Is your business showing up on the first page of Google search engine results?
If the answer is no, it means you are missing out on ample revenue growth and yielding higher valuation opportunities for the company you have worked so hard to build.
Buyers always look for those types of companies that have predictable, sustainable, and growing revenue. That is driven by systems and processes. A buyer or potential customers will be concerned when:
- Revenues are not growing.
- Growth is dependent upon the founder.
- No process is in place post-sale to drive revenue growth.
A business cannot have revenue growth without consistent lead generation (those interested in your products or services to solve their problem or desire). Lead generation is a process of gaining the interest of potential customers to increase future sales. It is a crucial part of the sales process of many companies. Lead generation generally falls into two categories:
- Outbound lead generation (cold calls, direct mail, advertising, and e-mail marketing).
- Inbound lead generation (SEO, social media, PPC).
Each is effective and should be implemented as part of an overall strategy long before you think about selling your business. It is not something a buyer will be interested in fixing after purchasing a new business.
In fact, they will want to see that this work has already been done, it has been successful, and the metrics are there to support it.
Higher business valuation formula most business buyers follow
Steady Lead Flow = Revenue Growth = Higher Valuation
What is Lead Flow?
Lead Flow is the term used to explain the steady flow of leads coming into a business – typically the lead conversion path to convert website visitors into leads.
This relates to the output of a strategic plan that considers both the tactical short and long terms campaigns designed to generate more leads for your business.
A consistent Lead Flow is crucial for your business to continue generating revenue at a steady pace.
A vital source of lead flow needs to be website traffic. Chances are, you’ve invested quite a bit of time and money on your website. Your prospective customers need to find your website when they search to solve a problem or find a product/service. Being ranked by Google on the first page and other search engines is paramount. Three points to be mindful of:
- Searches today influence over 80% of buying decisions.
- 94% of individuals searching skip the paid ads and go to the organic search results.
- Obtaining and maintaining first-page organic (non-paid) placement is the key.
You want your business to be found in search engine google by the key search terms just under the ad section on the first page.
To achieve top organic ranking results, we have to follow the required steps:
- High-quality content, Mobile-first, Page Experience, Page speed, On-page optimization, internal links and External links.
- Expertise, authority, and trustworthiness (E-A-T).
- A Secure and Accessible Website
- Install Google Analytics and monitor your monthly traffic volume.
- If you are paying for Pay-Per-Click ads, reconsider the effectiveness (remember that 94% skip paid ads).
- Find a trustworthy SEO company (Certified SEO Agency – Bharti Tech) to help you get organic placement.
- Monitor the progress.
The cost of optimizing your website will vary depending on the industry you are in and where your prospect base comes from. You should be prepared to spend at least $1,000 a month. Within 3 months you will see both your page rankings and traffic flow significantly increase. It may take another 90 days for the traffic flow to convert into leads and customers.
By 12 months, you will see significant traffic, lead flow, conversion, and as a result, revenue growth. From this point, you need to ensure that your page ranking remains high and the leads will continue to flow.
Bottom line: being able to show robust website traffic and lead flow can make a significant difference in the price you’ll be able to fetch for your business.
Get Ready to Lead Generation through SEO?
Our Search Engine Optimization (SEO) strategies and tactics can increase organic search visibility on Google and assist in leads for your company. Our team will keep you and your business updated on the newest, most effective SEO services and strategies to dominate your market.
Get Started