Our job is clear - Raise Business Value & Enhance
access to Capital
The truth is, we're obsessed with the multiples that drive company value. As a result, people don’t retain us to tell them how to double sales, or how to cut production costs (OK… we have ideas about that too), they retain us to build their company value… typically before they enter into a capital event. Our unique methodology takes the mystery out of the value creation process and introduces new avenues for access to capital
A Proven Process
It may all sound a bit complicated, but the reality is that "Value Strategy" isn't nearly as mysterious as some folks make it out to be. What the whole thing boils down to is this... buyers and investors have a shopping list of things that they look for (some of which add value, and some of which take value away), and if your company focuses on the right things, its value will go up… that's it.
At Rampworth, our value creation process is about helping you to uncover the "value-robbers" as well as the "value-builders", translating these insights into a practical action plan, and helping you to execute on the action plan in the most efficient way possible. Our approach is grounded in practical experience, and the resulting action plans are straightforward, manageable and remarkably rewarding.
Value Enhancement-the "on-ramp":
If you accept that investors have a shopping list of specific attributes that they focus on when reviewing a company (some of which add value, and some of which take value away), then it stands to reason that the most prudent path to increasing company value is to focus on those attributes. Of course, one must first have a clear understanding of what those attributes are, and where the company has meaningful gaps. Demystifying the process, and identifying the value gaps, is precisely what Rampworth's Value Enhancement series delivers
Platform of Trust - the "up-ramp":
It's a fact... investors don’t hand over money to companies that they don't trust.
At Rampworth, we'd go so far as to say that a company that lacks a "Platform of Trust" may never be able to generate material value… ever. So what is a Platform of Trust? It its most basic, it's the process that your company uses to give investors a feeling of trust in your ability to look after their interests. It's more than just the accounting controls, stakeholder communications and regulatory compliance, it's the process itself that gives your stakeholders a feeling of trust. A credible "Platform of Trust" makes a company more desirable to investors, while the lack of such a platform erodes trust and destroys value.
Capital Events-the "off-ramp":
It is estimated that over the next 10 years, 2/3'rds of all private companies in North America will change hands. This makes sense, with an ageing population, but the shear numbers are staggering. If the estimates are correct, there'll be something in the order of 12 million companies trying to sell shares, and that's over and above the usual volume of company conducting funding rounds, sales and acquisitions. That's a huge volume of companies, and the reality is that there simply aren’t enough buyers to go around. In other words, the competition is going to be fierce, and those companies that go in unprepared are likely to suffer a low value, or worse no value.
While these facts are critical for business owners to know, most still lack the time, or the expertise to wear the "value hat". That is where Rampworth's VP of Value "subscription-based advisory services" can help, particularly if for companies who anticipate a capital event on their horizon. Engagements range from 3 months to 2 years, and from a ½ day per month up to full time, and in each case the specifics of the assignment are varied, but the common thread is a focus on an aligned interest in the addition of measurable value and enhanced options for capital access.
Non-Core Services:
While the scope of our core services is tightly aligned to the value creation process, we recognize that there is also a peripheral group of services, which have an indirect but meaningful impact on value. Rather than risk dilution of our core competency (enhancing a Company's multiple) we have chosen to partner with trusted specialists in these peripheral areas, including strategic planning, stakeholder communications, tax optimization, valuations, negotiation & information systems. When selecting our partners in these areas we have attempted to work only with those firms with exceptional process in their specific area, combined with a strong overall alignment with the value creation process.