The Forever Transaction: How to Build a Subscription Model So Compelling, Your Customers Will Never Want to Leave

9 Do Acquisitions Make Sense for Your Company?

Evolving your entire business to a Membership Economy model can be challenging, and it can be slow. In most cases, though you’ll need to build momentum as you scale. It’s a huge undertaking to add skills, create a new culture, change your business model, and build a different, highly sophisticated technology platform, especially if you’re transforming while still moving forward in your existing transactional business.

You may be tempted to jump-start scaling through acquisition, buying an organization that’s already figured out these challenges. Small companies are more nimble than larger ones. As Peter Drucker said, “Large organizations cannot be versatile. A large organization is effective through ...