How a Small IT Firm Hit 18x EBITDA by Recurring Revenue

In this episode, Lucas and Luna break down how a 12-person managed IT services provider in Greenville, South Carolina, sold for 18 times EBITDA — nearly double the industry average — by converting its client base from break-fix to 100 percent recurring contracts over eighteen months. They walk through the three specific changes the owner made: a tiered pricing model with hardware-as-a-service add-ons, a quarterly business review cadence that reduced churn to under 3 percent, and a documented runbook that let the buyer see exactly how each client was serviced. Lucas explains why buyers pay a premium for predictable revenue streams, and Luna shares her own experience working with a similar business that couldn't get past 4x because it never standardized its service delivery. These three concrete tactics are ones any service business could borrow. #ITServices #MSP #RecurringRevenue #BusinessExit #EBITDA #GreenvilleSC #BreakFix #HardwareAsAService #ServiceBusiness #BusinessBroker #BusinessValuation #SmallBusiness #PrivateSale #ClientRetention #Standardization #FexingoBusiness #BusinessPodcast #TheBuyerAndSellerPodcast Keep every episode free: buymeacoffee.com/fexingo