Every quote over £10,000 crosses the founder’s desk. The exit is planned for three years’ time.

Owner dependency rarely shows up in the headline multiple. It shows up somewhere less visible, and usually too late to do anything about it.

By Steve 5 min read
Abstract bridge artwork for Every quote over £10,000 crosses the founder’s desk. The exit is planned for three years’ time.

A business can be profitable, growing, well-reviewed and structurally unsellable at the same time. The usual reason is not the numbers. It is that the thing being sold, a stream of future cash flows that continues without the current owner, does not actually exist yet. What exists is a set of cash flows that depend on one person’s judgement, relationships and willingness to keep turning up. Owners tend to discover this late, because nothing in the management accounts reports it. Revenue does not distinguish between a customer who buys from…

Keep reading for free

Create an account to read the rest.

The whole library is free. No card, no subscription, no trial that quietly ends. An account simply lets us know who we are writing for, and opens every article from here on.

  • Every article, in full, at no cost
  • New articles published every weekday
  • Takes about twenty seconds
Create a free account I already have one

Free means free. We will not charge you for the library, and you can read as much of it as you like.

Important: General information only. Rialto Bridge articles describe patterns and considerations that may apply to a business; they are not financial, legal, tax or accounting advice, and they take no account of your particular circumstances. Consider your own situation and seek advice from a qualified professional before acting.

More on Leadership

Scroll to Top