Customer Concentration Workaround?

intermediary profile

July 08, 2025

by an intermediary from University of Colorado at Boulder in Charlotte, NC, USA

I have a client with significant customer concentration in###-###-#### % to one customer over dozens of jobs). While 2025 is better, that customer will still be their #1 client. SBA lenders won't touch the deal, but the seller is willing to finance the vast majority of the deal either through a note or rollover equity. He was at $3.2M EBITDA in 2024 and is trending higher than that in###-###-#### He was consistently between $1.6M and $2.0M in EBITDA prior to###-###-#### What are your thoughts on a deal structure that will work? Or is the customer concentration a deal killer?
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Reply by a searcher
from University of Virginia in Newport Beach, CA, USA
Hi Greg, would you mind sharing how this turned out?
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Reply by an member
from University of Rochester in Rochester, NY, USA
great info!
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