Identifying and Transitioning Key Seller-Client Relationships?
Two part question:
In a lot of small to mid size B2B businesses, especially ones with recurring revenue streams, I've found there tends to be some level of customer concentration. Obviously the seller will have prioritized building a relationship with these key customers (i.e. customers with large contracts or large recurring bills) and a risk to buying a business like this is assessing the extent to which the client relationship depends on the seller being present in the business. That is, if the seller leaves is there a good chance some of these large customers will leave as well.
Q1: (pre-acquisition) Any tips/advice on how to identify how crucial the sellers presence is to retaining key client relationships/business (especially when a seller is hesitant to introducing a potential buyer to a key client before closing on the sale)?
Q2: (post-acquisition) Any tips/advice on how to transition key client relationships from the seller to you (the buyer)? Also, any strategies that folks have tried that did not work well?