Creating value for yourself is fundamental to the success of any small business. Unfortunately, too many small business owners don't seem to understand the value of what they own and sometimes look at the wrong things when defining it. They typically overstate the value of their business. They think about how "good" the business has been to them over the years and use that as a proxy for its value.

Creating value is about what your business is worth to someone else, not to you. Whether you plan to pass the business on to the next generation or sell it, building value means thinking in terms of turning your business into an investment. How much expertise and experience does the next owner need to keep the business successful? If it's really an investment, very little. Know who might be interested in buying your business, and why, even if it is an event that will happen ten years down the road. Whether you intend to sell the business is irrelevant. It