I used to meet once a week with my senior team and the first item on our agenda was always the same: renewal rate.

Each week, we’d discuss how many subscribers had decided to re-up. We would try to understand why each former subscriber left and come up with ideas to “save” anyone teetering.

Although I didn’t say it at the time, I knew the single most important statistic in a negotiation to sell my company was going to be our renewal rate because it was the one gauge that would allow acquirers to project our revenue into the future.

I have ranked 6 different recurring revenue business models — from least to most valuable  in the eyes of an acquirer– in the articles below. Please use the comments field to share your own examples of creating an annuity stream.

Three valuable forms of recurring revenue

~ published June 15, 2010 Globe and Mail

The single biggest thing you can do to increase the value of your business — no matter the size — is to create a recurring stream of revenue that an acquirer can count on into the future.

Although all recurring revenue will have a positive impact on your company’s value, some forms are more desirable than others. Starting today and continuing tomorrow, I’ll present six forms of recurring revenue from least to most valuable: »more

The top three forms of recurring revenue

~ published June 16, 2010 Globe and Mail

Renewable revenue is the holy grail for business owners looking to create a valuable — and sellable — company.

Whether your business is large or small, acquirers need to know it will keep going after you’re gone, so the best way to get an attractive cash offer is to give the acquirer visibility into the future revenue of your company. »more