Assess whether a top customer is actually sticky (5044c4)

Situation

In a PE platform evaluating a founder-led SaaS add-on, carve-out stranded-cost model is the evidence after a founder who will not sign a non-compete. Carve-out separation lead has to pick Proceed or Reprice for this M&A Due Diligence Separation and Integration close using carve-out stranded-cost model.

Decision

Carve-out separation lead in a PE platform evaluating a founder-led SaaS add-on must choose Proceed / Reprice / Walk / Hold using carve-out stranded-cost model after a founder who will not sign a non-compete.

Hypotheses to test

• Carve-out separation lead can defend Proceed from carve-out stranded-cost model after a founder who will not sign a non-compete in a M&A Due Diligence challenge.
• Carve-out separation lead cannot defend Proceed from carve-out stranded-cost model; Reprice is what the extract actually supports after a founder who will not sign a non-compete.
• A founder who will not sign a non-compete never reached the population in carve-out stranded-cost model — reopen intake, do not close a top customer is actually sticky.
• Two facts in carve-out stranded-cost model after a founder who will not sign a non-compete conflict for carve-out separation lead; hold this Separation and Integration file.

Analysis required

• Separate a one-off add-back from a recurring earnings issue in carve-out stranded-cost model.
• Map reps, earnout mechanics, and integration risk a PE platform evaluating a founder-led SaaS add-on would inherit.
• Tie quality-of-earnings, working-capital, and contingent items in carve-out stranded-cost model to a top customer is actually sticky.
• For this M&A Due Diligence Separation and Integration file, read carve-out stranded-cost model against a founder who will not sign a non-compete and write the one fact that would move a top customer is actually sticky for carve-out separation lead.

Recommendation

Choose Proceed / Reprice / Walk / Hold on this M&A Due Diligence / Separation and Integration packet (carve-out stranded-cost model after a founder who will not sign a non-compete). If carve-out stranded-cost model cannot force a M&A Due Diligence label under Separation and Integration, stop. If carve-out stranded-cost model after a founder who will not sign a non-compete cannot support Proceed versus Reprice on this M&A Due Diligence Separation and Integration close, carve-out separation lead must do not proceed, reprice, or walk on a quality-of-earnings fact the packet does not carry.