Does your brand impact business value?

The favourable impact of brand on business value

At Business Partnership we’ve entered the final stages of a 12-month rebranding project. It has been a huge endeavour with input from all our Partners, and includes implementation of a new CRM system that integrates with our website. The upgrade will improve the quality of data gathering and analytics to give us more information and create efficiencies to help us better serve our clients. We also realise updating our brand will add value in other ways.

Building a trustworthy, reputable brand could be invaluable should you decide to sell your business. In this post we explain how branding contributes to business value, how much a strong brand could be worth in financial terms, and share some key points to consider when tackling a rebranding project, based on our own experiences.

How does brand influence business value?

Positive brand perception is a valuable business asset. Creating an emotional and personal connection with your brand inspires trust, loyalty and repeat purchasing decisions. A consistent brand experience throughout every stage of the customer journey is something every business should strive to achieve. Here’s why…

A strong business brand:

1. Attracts new clients and customers through the power of positive perception. When an individual perceives a brand to be relevant, reliable, trustworthy and value for money they will spread the word and help grow your customer base.  
   
2. Increases revenue and market share as the more customers you have, the higher your turnover.
   
3. Builds a loyal following, which in turn allows you to increase prices and average transaction value (which is favourable in the eyes of a potential buyer).

What is the financial value of a strong brand?

When valuing a business, your brand counts as an intangible business asset, similar to things like trademarks, intellectual property, and strength of client/supplier relationships. According to Forbes, brand contributes between 5% and 13% of overall market value, and if you have a strong brand this equates to anywhere from 9-28% higher revenue growth. Above all, your brand reflects your reputation and the quality of connection with your customers. A robust, up-to-date brand can be highly attractive to potential buyers.

How much value does a strong, healthy, reputable brand add to your bottom line?

When you look at the value of global brands such as Nike, Coca-Cola and Apple, it’s quite easy to understand the value a strong brand adds to a business. Take Apple for instance, millions of people across the world trust the Apple brand to keep them connected. Many choose Apple devices for their quality, reliability and durability. The company’s vast technical knowledge and investment into research and development are also held in high esteem. For these reasons people don’t think twice about sharing their most personal data with the company.

The inherent strength of the Apple brand has created one of the world’s most loyal customer followings. Fans are willing to pay over the odds to own the latest version of phone, watch or computer with its technical wizardry and wonder.

Is it worth investing in your brand before selling?

Brand reputation is more than updating a logo, it is built over time. This is why switched-on business owners look to invest in brand development long before they decide to sell. Our advice is to take a long-term view and weigh up the potential returns on investment. What are the costs and benefits of refreshing your brand now versus leaving the job for a new business owner? For more advice on this subject, talk to your local business broker. You may also find these tips for selling a business in 2025 helpful.

What to consider when planning a rebrand

Rebranding is no quick fix. You can’t push a button to make everything change (believe us, we know!). While it’s drummed into us to have a consistent brand and messaging across all our marketing, individual channels are rarely connected. For example, your website is a separate entity to social media platforms, and every item requires a different file type, format, or size of logo. Here are some other helpful points to consider:

• Protect trademarks: an intangible, yet highly valuable business asset and part of your overall brand. If you forget to renew an essential trademark it can be costly and have disastrous impact on business value. Protect the trademarks you own as if your life depends on it!
• Consider third party relationships early on: channels owned by third parties are not under your direct control. You’re reliant upon other organisations and their marketing teams to update your name, logo and business information. It can take a long time to rebrand these channels. Printed materials can take even longer. Also consider third party listings such as directories, membership bodies, sponsorships.
• Start with robust planning and good systems: create a plan detailing every location and platform where your brand appears. Work backwards from launch to build in time for iterations, approvals, and printing. Our own rebrand has taken the best part of 12 months from planning through to launch and beyond to new post launch software integrations, so be realistic with timescales. Good planning will keep you on track.

Ready to explore what your brand is worth in the marketplace?

By investing in your brand you are taking positive steps to grow your customer base, increase revenue, and create a loyal following that could become a valuable business asset. Whether to invest prior to selling is a conundrum best talked through with a business broker. With expert industry knowledge and free valuations, you can trust us to put the interests of you and your business first. Find your local Business Partnership broker here.