Hello Friend, Subscriber and Exitpreneur,

“Your business is too dependent on you.”

That’s what the buyer told Mark right before walking away from his $7M technology company. His revenue was strong. His team was solid. His profits were impressive.

But there was a problem: Every major decision needed his input.

Here’s the truth most business owners never learn: The size of your business matters far less than how it runs without you.

Let me show you why.

The 5X Difference

Last quarter, I watched two professional services firms get valued. Both had similar revenues ($4M), similar industries, similar growth rates.

One was valued at $16M. The other? Just $4M.

The difference wasn’t in their numbers. It was in their systems.

The $16M company had: - 70% recurring revenue (vs. 10%) - Decisions made at team level (vs. owner level) - Documented processes (vs. tribal knowledge) - Clear succession plans (vs. owner dependence)

Same size. Radically different value.

The Hidden Multipliers

Here’s what buyers actually care about (and why it matters to you, even if you never plan to sell):

1. Predictable Revenue - Random projects = 1-2X multiple - Recurring contracts = 3-5X multiple Why? Because predictable revenue means sustainable profit.
2. Decision-Making Level - Owner makes calls = lower multiple - Team makes calls = higher multiple Why? Because owner-dependent decisions limit growth.
3. Process Documentation - “We know what to do” = lower multiple - “Here’s our playbook” = higher multiple Why? Because documented systems can be replicated and scaled.

The Real-World Impact

Let me share a quick story that brings this to life.

Jennifer ran a $3M marketing agency. Every client strategy needed her review. Every proposal required her input. Every new hire went through her.

She made one change: Created decision-making frameworks for her team.

For client strategies, she documented: - Her evaluation criteria - Common red flags - Go/no-go triggers - Success parameters

Result? Within 90 days: - Team made 80% of decisions without her - Client satisfaction actually increased - She took her first two-week vacation in years

But here’s the kicker: When she had her business valued six months later, it was worth 40% more than before.

Why? Because she had transformed it from a person into a system.

Your Numbers Matter

The most valuable businesses aren’t just profitable – they’re predictable. They don’t just grow – they scale. They don’t just succeed – they succeed systematically.

This isn’t just about numbers. It’s about: - Freedom to focus on growth - Ability to scale faster - Power to choose your role - Option to step away

Next week, I’ll show you how to transform your revenue model to drive consistent, predictable growth – even if you think your business “doesn’t work that way.” (Trust me, every business can do this.)

Until then, remember: Your business’s value isn’t just what you make – it’s how you make it.

Building systems with you,

The Exitpreneurs

Brian MacDonald

P.S. How many decisions did your team bring to you this week? Hit reply and let me know – your responses help shape our future insights.

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Coming Next Week: “Stop starting from zero: Transform your revenue model in 90 days”

This Week’s Value Builder: Take 10 minutes right now. Write down every decision that landed on your desk this week. Put a star next to the ones that only you can make. For the others, write “T” (needs a template), “F” (needs a framework), or “D” (can be delegated with training). This simple audit will show you exactly where to start building value.

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