You’ve got a logo and customers. But does your limousine business really have a strong, consistent brand? That depends. Limousine brand development involves a complex combination of factors, including history, connection to a market community, and internal company culture. A strong brand can boost a company’s value above and beyond intangible assets – this is known as goodwill. Ultimately, the value of your brand hinges on who the best buyer is for your company.
Powerful corporate brands aren’t built overnight. If your business has been providing luxury transportation to a region for 30 years, a buyer won’t only be assuming your business financials; he or she will be taking on three decades of history. Given that the new owner takes care to maintain branding, they will likely enjoy the ability to serve loyal, long-term clients. Financing may be easier to obtain as the business has a well-established past. This is especially helpful for a buyer who is hoping to immediately enjoy the same steady cash flow as the seller. Even if a new owner has plans to strengthen your existing brand, doing so will be easier and more cost-effective than building a brand from scratch.
When starting a limo business from the ground up, an entrepreneur must research the local community to make sure a market exists for the new company. Proven success in a community allows a new owner to get down to business immediately. But brand recognition is about more than loyal clientele. A strong brand means that potential customers may think of your business before competitors when considering limousine service, even if they have no actual experience with your company. In this case, the mere name of your business serves as a free advertisement in the local community.
Keep in mind that personal and business goodwill are not the same thing. Sometimes when community members develop a relationship with a particularly personable owner, the owner gets tangled up with branding. Business owners considering selling their company can add value by emphasizing their corporate brand over their personal brand.
Company culture can affect the loyalty of employees and clients. A consistent brand can mean a better shot at maintaining relationships. With an experienced and stable workforce in place, limousine business investors have the ability to hit the ground running from day one. This is especially valuable if your business is going to be providing a new owner’s main source of income. In the event that former employees do not stay on, however, a solid reputation can make the hiring and marketing process go more smoothly.