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The Diagnostic

Use this diagnostic across eight dimensions as a scoring lens for a business at a moment in time, rather than a one-time grade.

Scoring summary

24/ 40

Good fundamentals with targeted improvement areas

Strongest: Revenue Quality (3/5)

Weakest: Revenue Quality (3/5)

Areas to investigate further

No dimension is currently at 2/5 or lower.

Case overlays

Dimension 01

Revenue Quality

Where does this business sit on the progression from transactional to contractual recurring revenue?

Measures how contractual, durable, and predictable the revenue stream is over time.

12345Revenue QualityCustomer RetentionCompetitive MoatOperating LeverageCapital EfficiencyScalabilityPricing PowerGrowth Sustainability

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Magnitude explanations by score

Case Index

CaseBusiness TypeKey Concept IllustratedDiagnostic ProfileActions
ORCAHealthcare ServicesFounder dependency and operating leverageWeak scalability and variable leverage
NaviaBenefits Third-Party AdministratorChannel dynamics and revenue qualityModerate across dimensions
Paula's ChoiceDirect-to-Consumer Consumer BrandLifetime value and retentionStrong scalability and good retention
TDRWaste ManagementRegulatory moats and operating leverageExcellent moat and leverage
5.11 TacticalTactical ApparelCash-to-Cash Cycle and Growth KillsWeak capital efficiency
ConserviceUtility BillingFloat economics and switching costsExcellent retention and efficiency
PLS (Power Line Services)Infrastructure SoftwareMonopoly pricing and stickinessExcellent across dimensions
Fireclay TileManufacturing and Direct-to-ConsumerValue chain redesign and stakeholder modelModerate with strong scalability