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Because client issues are unique, it would be unfair to offer you a cookie-cutter approach. Instead, during our initial free consultation, we will invest the time necessary to understand your issues.

Within a week of our visit, we will send you a written proposal that outlines the problem or opportunity statement, our role, your role, the deliverables, our qualifications and the cost.

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News & Ideas

Article 1: "The Value Of Growth"

Growth is often equated with business health. Should your company focus on growth? Would it be wiser to concentrate on margin improvement or cost reduction?
Nathaniel Mass, a consultant, has developed a metric to address these questions. The new metric is called relative value of growth, or (RVG).

With RVG, the value of an extra percentage point of growth is compared with the value of a percentage point increase is operating profit margins. In a sample of 19 large companies, around 85% experienced significantly better cash flows from growth than from margins. On average, an additional percentage of growth was worth more cash flow to the organization than seven points of margin improvement.

What are the implications of the RVG study to the smaller business? You should clearly have strategies to improve both growth and operating margins. However, the biggest increase in your cash flows is likely to come from revenue growth. RWR will be pleased to help you develop strategies to grow your business.

More Articles:
Article 2: What’s My Company Worth?
Article 3: When do I Need a Consultant?

 

Why RWR

Bill Jantz, President of RWR, began his career working for a conglomerate and learned that any company can be improved with good management. For the last 10 years, Bill has been helping small businesses to utilize “best management practices”. Bill has proven that small businesses can thrive when they utilize best practice tools. Learn More...

 

Article 2: "What's My Company Worth?"

Have you ever thought of selling your business? How is the value of a business calculated? There are several methodologies for calculating the value of a business. What they have in common, is that they are all about cash flow. One of the most common methodologies for valuing a small business is the cash flow multiple.

The first step in calculating the value is to determine the seller’s discretionary cash flow. In rough terms, this is net income, + owner’s compensation, - non-operating income, - fair market rental value of owned properties + depreciation.

Once the discretionary cash flow is calculated it is multiplied by the multiple. The multiple is determined from actual sales in your industry. For example, let’s say that the multiple for your industry is 3. The discretionary cash flow is multiplied by 3 and that is the market value.

RWR will be pleased to calculate the value of your business. We can also help you position your company to receive maximum sale proceeds.

More Articles:
Article 1: The Value Of Growth
Article 3: When do I Need a Consultant?

 

Article 3: "When do I Need a Consultant?"

The decision to hire a consultant is similar to the decision to see a medical doctor. At times the business is in obvious pain and immediate attention is required. However, even when there are no symptoms, an annual preventative checkup is wise.

When you have a business problem our job is to identify the root cause and recommend the appropriate corrective action. RWR forms a team with the client to provide the right mix of insight, planning and implementation assistance to solve the problem.

The preventative checkup is also recommended. In many cases the client does not realize that there is an opportunity for significant improvement. Through our “best practices” analysis we can determine client strengths and weaknesses. We then team with the client to develop strategies to capitalize on the strengths and minimize or eliminate the weaknesses.

Working with RWR is an investment in your business’ future. Your success is our business.

More Articles:
Article 1: The Value Of Growth
Article 2: What's My Company Worth?