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A typical phrase you will hear from customers at this point is "We don't want to be your biggest client." This is not something you can get around easily. Some
by shin_lao 12y ago
A typical phrase you will hear from customers at this point is "We don't want to be your biggest client."
This is not something you can get around easily. Some companies have strict rules such as "we can't be more than 30% of your revenue".
The reason behind that is that if a customer represents a very large amount of your revenue, you can be considered as a de facto subsidiary.
The real way around it is to work with a larger intermediary company.
Patrick's story is interesting but it won't work against hard formal processes.
- Moto7451 12y agoHuh, interesting. I googled around but couldn't find any info about a de facto subsidiary. Can you add some color to that?
- logicallee 12y agowhere would the client get this information? (can't you say whatever you want?) Also this seems easy to massage, you can just resell a commodity under cost to generate all the 'revenue' you want (at negative margin.)
- shin_lao 12y agoObviously I don't know the laws of every country in the world but I would be surprised that lying about the revenues of your company isn't at least a felony.