The two business goals of every PR Management team should be (1) increase profitability and (2) build value to the firm. These two goals go hand in hand with the operational goals of providing quality service to clients and maintaining best-place-to-work standards. Without satisfied clients and motivated staff, growing a successful, profitable firm is impossible.
Maintaining a build to sell mindset will help management to continuously work towards achieving the operational goals and business goals necessary to create a maximally profitable firm. It will help them remain disciplined in running daily operations, controlling salaries and regulating overhead. The build to sell mindset also creates a level of accountability from the top down within the organization and will generate both top line and bottom line growth. This benefits a firm in multiple ways by increasing firm value and providing added value to clients.
While experienced second-tier management, motivated staff, reliable, well-paying clients and high-quality work are key ingredients to building value in a firm, understanding the business valuation process is also critical to successfully implementing a build to sell mindset. Firm owners must understand that tight financial management and quality prepared financials are imperative to building a firm’s value as well.