Inside Indiana Business Featured Synergy’s Perspectives on the Impact of a Brand on Business Valuation

Inside Indiana Business, one of the state’s most trusted business news outlets, recently published an article I authored on the impact brand equity can have on a business’ valuation and the final sale price of a company in a merger, acquisition or succession transaction.

When I meet with a new client, I always ask the business owner about his or her exit plan. As a marketing consultant, I need to understand the long-term (or short-term in some cases) objectives for ownership, leadership and operations. These goals will give context and direction to the marketing plan.

For instance, when I have a client who let’s me know that he or she wants to sell the company, my firm creates a marketing strategy that helps buyers find that company and we utilize an aggressive methodology for creating higher perceived value. If a succession plan is imminent, my firm will increase visibility and credibility for the soon-to-be owner or business leader – and in essence start building brand equity in the new executive.

What we have seen first hand is the undisputable fact that brand equity can influence the net valuation of an organization and significantly affect the sale or purchase price. While the brand alone will not determine market value for a company, it multiplies the value of more tangible company assets like real estate and equipment, human assets (such as subject matter experts and organizational leaders), proprietary processes and trademarked patents as well as past, current and projected financial performance.

Read the full article here: Brand Equity is a Business Asset: The Strength of a Company’s Brand Can Increase Business Valuation.

Schedule a complementary consultation with Marc Zucker (888-284-055 ext. 221), our CEO to assess your company’s brand and position in the market. We can’t wait to assist you!

Synergy Marketing Group, a full service, strategic marketing, advertising and public relations agency  with offices in Indianapolis and Dallas, specializes in brand development, PR, traditional and interactive advertising, Internet marketing, Web site development and lead generation.