The Branching Map

TL;DR

Phased implementation guide for executing a new branch after passing the Four Branching Questions.

Phased implementation guide for executing a new branch after passing the Four Branching Questions. Like a tree adding new branches, covers 36-month timeline from trunk validation through scale/prune decision.

When to Use The Branching Map

Use after deciding to launch a new business line - like a tree extending branches, this 36-month map guides execution from trunk strength validation through the final scale-or-prune decision.

How to Apply

1

Validate Trunk Strength (Month 1-3)

Run trunk diagnostics, assess leadership capacity and cultural readiness

Questions to Ask

  • Do trunk metrics pass scorecard?
  • Does CEO have bandwidth?
  • Can team manage multiple businesses?

Outputs

  • Go/No-Go decision
  • If weak, stop and fix trunk first
2

Define Branch Business Case (Month 3-6)

Build detailed branch plan with market analysis, financial projections, and resource requirements

Questions to Ask

  • Market size, growth rate, competitive landscape?
  • Revenue model same as trunk or different?
  • Capital and team requirements?

Outputs

  • IRR under base/bull/bear scenarios
  • Payback period
  • Opportunity cost analysis
3

Resource Allocation and Leadership (Month 6-9)

Allocate capital, hire branch leader, define operating cadence and decision authority

Questions to Ask

  • What % of company resources?
  • Who leads the branch?
  • What decisions can branch make independently?

Outputs

  • Capital allocation
  • Branch leader hired
  • Decision authority matrix
4

First-Year Execution (Month 9-21)

Build infrastructure, launch MVP, acquire customers, validate product-market fit

Questions to Ask

  • Q1-2: Core team hired? MVP launched? First customers acquired?
  • Q3-4: Retention >80%? NRR >100%? Organic growth >20%?

Outputs

  • CAC, conversion rate, time-to-value metrics
  • Product-market fit assessment
5

Scale or Prune Decision (Month 21-36)

Evaluate branch against targets, make scale/maintain/restructure/prune decision

Questions to Ask

  • Revenue within 70% of targets?
  • Margin trajectory toward target?
  • Team stable (<20% attrition)?
  • Growth shifting to organic?

Outputs

  • 4/4 yes = Scale
  • 3/4 = Maintain
  • 2/4 = Restructure
  • 0-1/4 = Prune

Related Mechanisms for The Branching Map

Related Organisations for The Branching Map

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