Here are this week’s links to a few good stories that we found and selected because we feel they might add valuable insights and perspectives for small to medium size businesses.
• Recent trends have indicated that the value of privately held companies have increased over the past few years as many investors are willing to pay higher multiples of EBITDA to acquire companies ready to make the leap. Many metrics are used to evaluate companies, but I discovered a new one that business owners should pay attention to – the ratio of the long-term value of a customer to the acquisition cost of a customer. Mike Periu, President of Proximo International, LLC writing for American Express Open Forum speaks to importance of this ratio and shows how it’s calculated. Whether you company is on the market or not, this metric is certainly worth a look. Read LTV/CAC: The One Formula That May Help You Grown Your Business to learn more.
• Is the Affordable Care Act working the small business owner? According to Jeremy Quittner, in an article posted by Inc. Magazine, it’s too early to say. The short answer is that the good news means better accessibility, but the bad news shows that insurance rates continue to rise. For some quick case studies, read Why Small Businesses Say the Jury’s Still Out on Obamacare.
• Count me among those who do quite a bit of work from a home office. If you are part of that emerging workforce, you may want to check out 21 Home Office Must Haves written by Annie Pilon for Small Business Trends. I believed I had thought of everything, but was able to pick up some good advice. The point is, if you are spending time working from home, make sure it works for you.
For more information on this topic, please reach out to Genesis HR Solutions at AskUs@genesishrsolutions.com or 800-367-8367.
Genesis HR Solutions is the premier PEO provider for Massachusetts based businesses.
