Does anyone know what is considered “high” customer / supplier concentration? What’s the threshold for top 5 / top 10?

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Strongly depends on the industry

KPMG is correct, BUT as a bank we view any customer concentration over 10% to be POSSIBLY problematic. I say POSSIBLY because we have some clients who have a single customer, but they have 3 year auto renewing contract with that customer and the customer happens to be a large multinational, multi billion dollar company that buys roughly $70MM of product from the client. In that case, we simply structure each deal to be 90 days inside the expiration of the contract should the contract not be renewed for any reason.

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