While an upward sloping bridge might initially raise red flags some factors can validate its legitimacy:
- A significant increase in revenue from new, solid customer relationships with long-term contracts can justify growth.
- A high percentage of recurring revenue from existing, stable customers indicates a predictable and reliable income stream.
- Successful expansion into a new, promising market with demonstrated traction can support projected growth.
- Revenue and cash flow growth stemming from a successful and well-integrated company acquisition can validate projections.