Let’s say you’re selling snow shovels.

You can design the strongest snow shovel on the market, price it perfectly, run the best ads money can buy, but it still won’t sell in Florida. 

This is where so many business owners stall: they focus all their energy on building the perfect product, but forget the golden rule:

If your product doesn’t solve a burning problem for a specific group of people, your business won’t scale (and it definitely won’t sell).

Step 1: Know Exactly Who You’re Selling To

One of the first things investors ask is: Who are your customers, and why do they keep coming back? 

Strong businesses have crystal-clear customer profiles.

They understand: 

• What their customers value

• What problems they’re solving

• Why customers choose them over competitors

• And how to retain them (not just acquire and churn) 

Your job is to identify the right customers, the ones who are profitable, loyal, and aligned with your brand. Then build around them.

Repeat customers = predictable revenue = higher business value. Predictable, trackable recurring revenue is one of the most valuable assets investors look for, and it should be one of your top priorities, too. 

Smart ways to build recurring revenue:

• Subscription services

• Recurring contracts

• Ongoing service bundles

• Strategic upsells and cross-sells 

The goal is to turn one-time buyers into long-term relationships. Think about it: you put resources into acquiring that customer, so make sure they keep buying.

Step 2: Understand Where You Fit in the Market

Are you the premium option or the cost leader? Do you compete on service, speed, or customization?

You need to know your positioning and how you stack up to all of your competitors. Investors want to see that you’ve carved out a clear lane and that you own it.

It’s also important to recognize demand:

• If demand is rising: How will you scale to meet it?

• If demand is shrinking: How will you pivot to stay relevant? 

Ignoring these questions can be fatal for business. 

Step 3: Future-Proof Your Business 

Buyers are buying what you’ve built. They evaluate how you’ve positioned it for the future.

That means staying in tune with:

• Customer expectations

• Industry shifts

• Competitive threats

• New technology 

Blockbuster dominated home movie rentals… until they didn’t. Netflix succeeded because they paid attention to what people actually wanted: convenience, no late fees, and eventually, instant access. Their streaming tech came years after they soundly finessed their way to the top slot. 

You don’t have to be the next Netflix, but you do have to evolve.

Smart buyers want to know if you can expand your product line, enter new markets, respond to environmental or social trends, and most importantly, listen to your customers and act on their feedback.

Future-proofing shows you’re anticipating the next move rather than reacting to it. And that’s something buyers are willing to pay a premium for.

Your business isn’t just about what you sell. It’s about who you sell to, why it matters, and how you’ll keep winning as the market changes. 

A better product means better margins, loyal customers, scalable operations, and a business that runs smoother (and sells faster).

Oh, and if you already have a great product and customer base, stick around. Next week, I’ll share the secret to selling even more.