10/16/2026
Could one customer have a major impact on the value of your business?
A business can be profitable and growing, yet still face a valuation challenge if a significant portion of its revenue depends on one customer or a small group of customers.
Customer concentration doesn’t automatically mean there’s a problem. What matters is how durable that revenue is.
Contracts, customer retention, switching costs, multiple relationships within the account, and a diversified revenue base can all help reduce perceived risk.
If you’re considering selling your business, understanding your customer concentration before you go to market can give you more time to address potential risks.
Read the full George & Company blog to learn more about customer concentration and business value.
www.georgeandco.com/customer-concentration-risk-business-value/