Most mid-market companies are perfectly positioned to unlock significant business value—yet they overlook one of the most important steps in doing so: valuation planning.

Whether you'd like the option to sell at a premium or simply want to maximize your business’s impact, taking control of your valuation today is one of the smartest moves you can make. Here are five compelling reasons why mid-market companies stand to gain the most from this strategic focus.

1. Most haven’t done it

According to the National Center for the Middle Market, only 40% of mid-market companies have had a valuation done in the past three years. That means the majority of business owners are operating without a clear picture of what their business is worth—or how to increase that value.

Valuation planning provides clarity. It helps owners understand not just their current value, but what their business could be worth if it reached best-in-class performance. That knowledge unlocks powerful, targeted decision-making.

“The difference between your current value and the best-in-class value represents your opportunity to grow value!” — The Business Owner’s Guide to Maximize Business Valuation

2. Huge delta between current and best-in-class value

Mid-market companies often have the infrastructure, customer base, and leadership talent to achieve much higher valuations—if they intentionally pursue them. By improving EBITDA margins and optimizing their intangible value, these companies can often double or even quadruple their value over a few years.

For example, a business with $20M in revenue that improves EBITDA and moves up in valuation multiple might be able to grow from a $5.6M valuation to over $24M in just three years. That’s the power of valuation planning with intention. (See a real-world example in The Business Owner's Guide to Maximize Business Valuation.)

3. Agility + resources = perfect conditions for transformation

Mid-market companies sit in a unique sweet spot. They are:

• Large enough to afford investments in people, technology, and systems.

• Small enough to make decisions quickly and implement change without excessive red tape.

This combination makes mid-market firms ideal candidates for activating the Four Value Creation Engines:

1. Revenue Growth

2. Process Optimization

3. Culture Development

4. Strategic Innovation

Each engine not only drives growth but also increases the quality of earnings, improving both the EBITDA AND the multiple a buyer is willing to pay. (Learn more at Value Creation Engines.)

4. Vulnerability to unplanned exits

According to research conducted by the Exit Planning Institute, over 50% of business exits are unplanned—triggered by sudden life events like death, disability, divorce, or disagreement. Without valuation planning, many owners are forced to sell under pressure, often at a deep discount.

By planning ahead, business owners ensure their companies are ready to sell, even if the timing isn’t ideal. This preparation increases both the attractiveness and readiness of the business to buyers—two key factors in commanding a premium valuation.

5. Enables long-term freedom and legacy

Valuation planning isn’t just about a future sale—it’s about creating a business that works for the owner, not because of them. When a company is built for value, the owner gains:

• Freedom to spend less time in daily operations.

• Options to sell, transfer, or scale.

• Legacy by leaving a sustainable business that continues to make an impact.

“The ultimate goal of every business owner should be to maximize value—not just profit.” — The Business Owner’s Guide to Maximize Business Valuation

Ready to discover your potential?

Mid-market business owners don’t need to settle for incremental improvements. With a proactive valuation plan, they can unlock exponential growth—and build a company that provides freedom, options, and impact.

Start by discovering what your business is worth today and what it could be worth. Schedule a confidential consultation at measure.valuecreationengines.com.

Originally published on Darrell Amy's LinkedIn.