How IP can make your profits fly

By Adam Blatchford, Associate, Equiteq.

Smart Scaling is all about growing revenues and profits while also building your equity value, as opposed to doing one at the expense of the other. Intellectual Property is central to that, it is a ‘win-win’ because buyers want it and it drives profitable growth in your firm.

Whether your firm generates revenues of $20m or $100m, IP differentiates you. It ensures clients buy your services, means you can deliver profitably, and makes investors love you. This blog will focus on how to achieve that in your firm.

What is IP?

In simple terms, intellectual property is any knowledge recorded and maintained as a usable business asset. In most consulting firms, this means ‘trade secrets’, such as process maps, methodologies, training systems and software tools, rather than just copyrights and trademarks.

There are three main types of IP:

  • IP to market the business
  • IP to deliver business
  • IP to run the business

All three are important, but in the context of Smart Scaling we will focus on delivery IP. See here for a deeper discussion of the three types.

Continue reading

Don’t sacrifice equity value for business growth when you can have both

SMart Scaling Cropped

By Adam BlatchfordAssociate, Equiteq.

You make decisions every day on the direction of your business, but while you work hard to scale your revenue, are you also scaling your equity value? Or could that value be eroding behind your back? Smart scaling is all about having confidence that your decisions are safeguarding that value in the future, and increasing the likelihood of a successful sale.

It is important to consider the future buyer and M&A market appeal of your business, and how your decisions will attract or repel those buyers. When you make decisions there are always trade-offs; understanding what buyers are interested in can help when making the strategic decisions to guide your business and grow your equity value.

Continue reading