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Why Recurring Revenue Is Highly Valuable
Recurring revenue companies have higher values They're literally worth more because they're more consistent. Recurring revenue is predictable and as predictability goes up the valuation of the business goes up. The likelihood of those cash flows being there every single month goes up when it's already contracted versus when I have to go out And sell a whole new bunch of customers. Sometimes membership sites are better because you can spend less time acquiring new customers and spend more time creating content to service Your existing customers.