The road to a willing investor is paved with confidence – confidence that the investment will pay for itself. When costs are obscured, it’s difficult for investors to see whether their purchase will be a success. This then lowers the price of many promising companies, because the lack of overview creates uncertainty. The cause is often simple: When a system is chaotic rather than systematic, it is difficult to show due diligence.
It is common for the price offered for a company to be surprisingly low in relation to the expectations of its founder and owners. The value of a company depends on confidence. But how do you create confidence – and thereby increase value for a seller? House of Control’s system provides a complete overview of all a company’s liabilities. And it is proving increasingly helpful to boards who are preparing to sell part or all of a business.
“As an investor, I have come across rock-solid companies with innovative technological systems and promising future prospects, but with a fundamental lack of insight into their future liabilities. And this is very destructive in terms of confidence. We have yet to see order and control reduce the value of a company, and I don’t believe that this will ever happen. However, what we do see very often are happy corporate sellers on the business pages in the newspaper, a few years after we helped them get started with Complete Control”.
Thorstein Berg, Chairman of the Board of House of Control