Owner Dependence
Owner dependence is how far revenue, customer relationships and day-to-day control sit with the owner personally.
A business is highly owner-dependent when the owner holds the key customer relationships, takes the critical decisions without a second tier of management, and leaves processes largely undocumented. When the owner leaves, some of that value can walk out with them. An established second line of management, orderly customer relationships and written processes reduce the risk.
In this calculator, owner dependence is one of three quality levers. Low dependence lifts the multiple by 10 percent, medium leaves it unchanged, high cuts it by 20 percent. The lever shifts where the company sits inside the band; it is not a condition of reaching the upper half.