Prune revenue to grow faster

Who this is for

Founder led lower middle market companies with 5 to 50 million in annual revenue.

The quick answer

Score each offer on margin, strategic fit, and strain. If an item drags margin and blocks growth of the core, plan a clean exit. Replace revenue through price and mix rather than volume alone.

The framework in six steps

Build the offer list
Units, revenue, gross margin, and delivery strain.
Score and rank
Red for below target, green for strong.
Design the exit path
Substitutions, last order dates, and account notices.
Lift price and mix
Tune core pricing and bundle high margin add ons.
Track results
Margin, capacity freed, and account health.
Share the win
Show the team how pruning helped.

Example

After retiring eight long tail SKUs and raising price on two core lines, a light manufacturer gained one point of margin and freed capacity for faster shipments.

Pitfalls and fixes

Quiet write downs. Communicate the plan.
Sales surprise. Give tools and substitutions.
Service gaps. Keep spares for support windows.

Checklist

Offer scorecard
Exit plan with dates and owners
Price and mix actions defined
Customer communication ready