TSPS MAY 2025 FINAL - Flipbook - Page 24
MEMBER ARTICLE
WHAT REALLY INCREASES THE
VALUE OF YOUR ENGINEERING &
LAND SURVEYING BUSINESS
very business owner eventually faces the same big question: What is my business worth—and who will take it
over?
For Texas land surveyors, the answer hinges on a few key factors that most owners overlook until it’s time to sell. Whether
you’re thinking about retirement or planning ahead, one truth
can’t be ignored: your business is only as valuable as the cash
昀氀ow it generates and will generate for a new owner, especially
after you step away.
Every quali昀椀ed buyer will ask, “Who will be the licensed surveyor after the current owner leaves?” No one will invest or take
out a bank loan unless they know your business can continue to
operate legally and pro昀椀tably on day one. Unless the buyer is a
licensed surveyor or has one lined up, they won’t have the bandwidth—or credentials—to run the business.
That’s why your employee is often the best buyer.
E
THE LICENSED SURVEYOR REQUIREMENT IS A DEALBREAKER
Buyers—whether individuals or companies—may
be interested in your land surveying business, but
22 THE TEXAS SURVEYOR May 2025
the deal is dead on arrival without a licensed surveyor post-sale.
Even larger 昀椀rms acquiring for growth or geographic expansion
will insist that licensure be covered locally.
If you’re nearing retirement and want to maximize value, the
best thing you can do is identify and mentor your internal successor—someone already licensed (or on the path), who understands your clients, your process, and your team.
WHAT MAKES A LAND SURVEYING BUSINESS MORE VALUABLE?
Here are the elements that increase the value of your business:
1. A Licensed Successor on Staff
The single biggest factor in preserving value post-sale is having a
licensed surveyor who will stay with the company. If that person
is your employee—great. You’ve already solved the buyer’s biggest concern.
2. Delegated Responsibilities
Businesses where the owner is involved in every
project, proposal, and phone call are harder to sell.
JOHN ALLEN,
Allen Business
The more you can delegate—to project managers,
Advisors
crew chiefs, and of昀椀ce staff—the more valuable your
