Customer Concentration Risk Calculator

Customer Concentration Risk: a planned Super Calculator tool. Covers revenue by customer (currency). Stub page while the tool and its worked example are.

Customer Concentration Risk Calculator is a planned calculator in the business section of Super Calculator, covering business valuation.

What this calculator will compute

Inputs: revenue by customer (currency), total revenue and contract terms.

Outputs: top customer share (%), top five share, Herfindahl index, revenue at risk and concentration flag.

Formula, recorded as scope and not yet verified against a primary source: Concentration = largest customer revenue / total revenue, with the Herfindahl index (sum of squared revenue shares) giving a fuller measure across the base. Valuation discounts are commonly applied above a concentration threshold in transactions.

Status

This page is a stub. The calculator is not built, no figure on this page has been verified against the authority that sets it, and nothing here should be used to make a decision. The page exists so that the site structure is complete and so that articles can link this concept on first mention.

The stub carries noindex, nofollow and is excluded from the sitemap.