10/15/2026
One big customer could be costing your distribution business millions in valuation.
How?
Let's say you land a major account. Pop the ch*****ne, time to celebrate!
But what if that customer represents 18% of your company's revenue? Is customer concentration going to tank your upcoming acquisition?
When a potential buyer evaluates a wholesale distributor, they're looking beyond annual revenue and profitability. They're asking things like how much revenue depends on your largest customers, how financially stable are those customers, or what happens if a major customer closes, changes suppliers, or reduces purchasing?
TL;DR: revenue growth and business valuation aren't always the same thing.
Listen & subscribe to Around The Horn in Wholesale Distribution to learn more: https://podlink.com/1669657224