8. Group Risk¶
The group-level exposures — what could break the engine across entities, not any single INC. Per-entity risk sections live in each entity's Value-Creation Plan.
🟢 Confirmed — Structural exposures
- Single-customer concentration — Superior Equipment depends on Superior Truck & Equipment's acquisition pace; if Superior Truck & Equipment slows, Superior Equipment follows. Structural to the build-to-order model.
- Bottleneck-shop risk within Superior Equipment — if one of the four shops is consistently the constraint, it caps total monthly throughput regardless of demand.
- Parts lead-times — China supply (Superior Water Truck Parts) and Cactus Truck Parts teardown velocity both gate build throughput.
- NextGear floor-plan debt against unsold inventory.
- Freight liability — why Desert Equipment Transport is ring-fenced in Brandon's personal ownership.
🔴 Gap — Quantified financial risk
Each exposure quantified in dollar terms:
- Runway — months of cash at current burn (after debt service across all entities)
- Floor-plan balance at risk — NextGear exposure if Superior Truck & Equipment slows
- Customer concentration — Superior Truck & Equipment as % of Superior Equipment revenue, in dollars
- Inventory dead-load — % of Cactus Truck Parts feedstock that becomes unsellable
Can't be quantified until Group Financial Baseline has actuals.
← Group Strategy & Capital Allocation
End of Enterprise Strategy tier. Per-entity Value-Creation Plans live in the Portfolio.