An excellent post here by Will Schroeter who questions the view that it’s always better to own a small piece of a big business than a big piece of a small business.
Will concludes that often it’s better to keep growing a closely held small enterprise as the returns outweigh those of the “partner to own a small slice of something bigger” route.
Not so relevant to us here in NZ where achieving scale to “cross the chasm” is paramount, and size of enterprise helps the chasm crossing journey, but interesting nonetheless.
It would be interesting to do some analysis of the fundamentals for NZ businesses and what scale is optimum for achieving momentum.