How Technology Effects Business Valuation
In the shadow of COVID, we have learned that there is nothing like connection through physical community. Yet technology has reinvented the important bridges in our society to keep them from being lost. Businesses have felt the stress of COVID’s impact the most. Navigating through challenges outside of personal control has forced businesses into uncomfortable situations, and even closings. To sustain your business well in these trying times while positively influencing its value, it is important to utilize technology. Here are three aspects to keep in mind.
- Value resides in results. And while the old way of doing business communication might be working, it may not be adding the kind of potential that modern technology The fact is misunderstandings can be detrimental to a business’ performance timeline. They can be costly in slowing operations, more commonly referred to as, “time is money.” They can end up negatively affecting customer satisfaction and as a result, the business’ reputation. Technology, when used well, brings value to business communication through speed, organization, and overall success as a result. If the thought is to sell in the future, valuing communication now through investments in internal software programs will create a positive domino effect hard to replicate otherwise.
- Nothing could be more important than security, both for the customer and for your business. With the rise in modern technology and internet use comes an equally or even more aggressive presence of cyber-attacks. Yet, technology also affords you the opportunity of being proactive in a way that you can’t without it. Avast and Bitdefender are digital antivirus software programs that keep your business on the right side of its own history. When a business is compromised, it can be hard to bounce back from that, let alone gain value with what has been lost. Technological innovations can protect your business now so that you can have confidence in whatever decision you make in the future.
- Keeping up with the best technology platforms and practices allows your business to be competitive and at the forefront of your respective field. Because if you’re Under Armour, the last thing you want is for Nike to advertise a similar running product to your own that gains more attention because strategies you neglected to implement. Even if your product was better quality with a charitable result at purchase, Nike was still able to generate a successful following that could have been yours. Knowing your competition is one of the first signs of a strong business plan. But using technology strategically and uniquely is something that can translate into monetary benefits.
There are many facets of business value. To be set up for a future with open possibilities now is the time to consider how to make your business the best it can be. And your business would be amiss without utilizing technology for value. Brent Yax of Awecomm Technologies puts it best, “When business owners are looking at the valuation of a business…tech capabilities are often overlooked. [However] they can be just as, if not more, important to the long-term value of the organization because of how they impact agility, efficiency, overhead cost reductions, and more.” Do your business a favor and let technology do its job so you can do your own better.
Author Information: Julia Selwyn