Buying or selling a business?

When it comes to buying or selling a business, ‘the numbers’ tell the story. Business brokers are pros at things like valuation, negotiation, and structuring deals, but with so much of today’s business happening online, how do you measure everything digital?

Almost every business now has a hefty digital footprint. Digital assets, and simply how you ‘do digital’, can have a huge impact on a company’s value.

Traditional financial statements only tell part of the story—things like digital infrastructure and data assets can make a big difference in what a business is actually worth - and what goldmine you are hopefully sitting on.
But how do you measure “online presence?”

Here’s where a digital analyst can help both sellers and buyers:-

Understanding the digital footprint and performance
For sellers, showcasing solid metrics on traffic, engagement, and conversions can justify a higher price. For buyers, understanding these numbers helps evaluate growth potential and expected ROI.

Analysing customer acquisition costs and channels
If a business relies heavily on paid channels with high customer acquisition costs, it might have less long-term sustainability than one with solid organic traffic. This insight lets buyers assess risks and plan adjustments. Sellers can use this data to highlight strengths and improve areas before putting the business on the market.

Assessing customer lifetime value (LTV) and retention rates
This data shows long-term revenue potential, crucial for buyers. Sellers, on the other hand, can use these insights to showcase the stability and growth potential of their customer base.

Benchmarking against industry standards
Benchmarking helps buyers see where a business stands in its industry, while sellers can use favourable benchmarks to demonstrate a strong market position.

Uncovering hidden opportunities and risks
This includes spotting under-served markets, compliance issues, or risky trends. These insights add value to the acquisition process: buyers can negotiate based on known risks or opportunities, and sellers can address these issues before listing.

Digital due diligence: evaluating the health of marketing channels and digital assets.
A digital analyst ensures both parties understand the current state of marketing efforts, and digital infrastructure. This enables informed decisions about future potential.

For sellers, an independent digital analyst’s report can help make the case for a higher valuation. It helps get you ‘ship-shape’ prepared.

For buyers, having a digital analyst in the due diligence process can reveal insights that might otherwise be overlooked - and fewer surprises!