The Silent Deal Killer: Owner Dependence

If the seller is the business, you don’t have one yet

🧠 Lead Story

You close the deal. Day 1, everything runs fine.
Week 3? The founder is on vacation, and nobody knows how to run payroll.

This is owner-dependence — the silent killer of small business acquisitions.
It hides in plain sight. And it will tank your deal if you don’t fix it fast.

📈 Acquisition Insight

Here’s how to spot it:

• No org chart

• Every client calls the owner directly

• SOPs live in the seller’s brain

• Seller approves every expense over $100

Mitigate by:

• Documenting key processes pre-close

• Identifying the true second-in-command

• Structuring your deal to incentivize seller transition support

🔧 Behind the Scenes

We now include an “Owner Dependency Matrix” in every diligence checklist.
It scores the business across 5 areas: customer, vendor, ops, cash, and people — to surface where the risk lives.

We’re building a template version to share soon.

👀 Call to Action

Want the matrix we use to spot owner traps before we close?
👉 Get early access here