2 types of business owners and which one makes the most income Right
Ans - 1) Lifestyle Business Owners and value creators (value creators make
the most b/c they are considered best in class
Common characteristics of value creators Right Ans - 1) They do holistic
planning 2) Harmonize personal, financial, and biz 3) Personal aspirations and
life beyond biz 4) Mitigate risk 5) execute relentlessly well
___ % of value of business tied to ___ assets Right Ans - 80%/ intangible
What is a deliverable? Right Ans - An outcome produced by an action. Ex)
could be a report, meeting, workshop, event
3 Gates of the Value Acceleration Methodology Right Ans - 1) Discover 2)
Prepare 3) Decide
2 Major Deliverables of Gate 1/Discover Gate Right Ans - 1) Triggering
Event 2) Prioritized Action Plan
What is the Triggering Event? Right Ans - An independent personal,
financial, and business assessment correlated to the business range of value
Why is the Triggering Event a supercharged valuation? Right Ans - Bc it
tells you what business is worth today AND what it's potential BIC value may
be
Triggering event triggers action ___ % of the time Right Ans - 70
2 Parts of the Triggering Event deliverable in Gate 1 Right Ans - 1) Business
attractiveness and personal, financial, and business assessment 2)
Determination of the present value and potential BIC value of biz
What is the profit gap? Right Ans - Difference between your potential best
in class earnings and your current earnings. Measure of how much money you
leave on the table each year
, What is the prioritized action plan? Right Ans - Reflects the prioritization of
personal, business, and finacial value factors to drive improved earnings and
business value
How is the action plan broken down? Right Ans - 3-10 year vision of chosen
destination, broken down into 1 year goals and 90 day sprints
What is done in the prepare gate? Right Ans - It's all about executing Action
Plan relentlessly
In prepare gate, ____ is the tool used to execute relentlessly Right Ans - 90
Day Sprints
Definition of 90 Day Sprint Right Ans - Continual loop of prioritizing,
measuring, reconnecting, and recalibrating every 90 days
Prepare gate is passed on ___ concurrent paths Right Ans - 2- personal and
personal financial planning
Questions to ask every 90 days in the decide gate Right Ans - 1) Grow or
Exit? 2) Am I Ready? 3) Is my business ready? 4) Which exit or hybrid options
should I be considering?
What are the 4 C's? Right Ans - 1) Human Capital 2) Customer Capital 3)
Structural Capital 4) Social Capital. *Make up the sum of your intangible
capital*
Percentage of biz that actually sell once made to market Right Ans - 20-
30%
Business owners have ___ percent of their assets tied up in biz Right Ans -
80%
__ % of BO indicate they would like to transition in next 10 years Right Ans
- 63%
___ % of BO indicate they would like to transition in next 5 years Right Ans -
41%
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller LeCrae. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $10.99. You're not tied to anything after your purchase.