How to make your recurring revenues oil and not glue
Berkonomics
DECEMBER 29, 2016
Some types of businesses generate more and more recurring revenues over time, often growing to a size where recurring revenues pay all of the overhead of the company – an enviable position. There is a phenomenon I have observed time after time with mature companies receiving over 75% of their revenues from recurring sources. Management undertakes a simple exercise of calculating the increased profitability of shutting down all R&D, sales and subordinate operations, and universally notes wit
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