CEO Exit Potential Score Explained

What Is the CEO Exit Potential Score?

The CEO Exit Potential Score is a predictive metric that estimates the likelihood of a CEO guiding their company to a successful exit. This score considers the CEO’s biography, professional background, and how they measure up against peers. For investors, it can be a valuable piece of the puzzle when evaluating leadership’s ability to drive meaningful outcomes.

What Is the Average Score?

On average, CEOs tend to have a score of around 650. A score at or near 650 suggests that the CEO’s exit potential is roughly in the middle of the pack compared to other leaders assessed.

What Is the Range of the CEO Exit Potential Score?

The score spans from 350 to 900, reflecting the broad spectrum of exit potential. The lower end indicates a comparatively modest likelihood of leading a successful exit, while the higher end signifies a stronger probability.

How Is the Score Calculated?

Hatcher uses a sophisticated proprietary scoring engine powered by machine learning and data analysis to arrive at each CEO’s Exit Potential Score. By examining factors such as: 

• The CEO’s education 
• The CEO’s professional history
• The CEO's biography; including their past accomplishments
• The CEO’s relative standing among peers

The system generates a data-driven insight that helps investors gauge the potential for a successful exit.

How Should I Use This Score as an Investor?

The CEO Exit Potential Score can be a useful gauge, but it shouldn’t be viewed as a definitive “go” or “no-go” signal. Instead, consider it one part of your overall due diligence. By weighing this score alongside other important factors, like your investment strategy, risk appetite, and sector knowledge, you can make more informed choices in the dynamic world of startup investing.

What other proprietary analytics does Hatcher+Score provide?

While the CEO Exit Potential Score is a significant tool, it’s just one component of Hatcher’s comprehensive analytics suite. We also offer:

• The Other Components of the Hatcher Score (eight in total)
• Valuation Projection

Together, these tools give both investors and startups a more complete perspective on a venture’s prospects, making it easier to spot opportunities that align with specific goals and risk profiles.

Whether you’re new to startup investing or a seasoned pro, the CEO Exit Potential Score – along with Hatcher’s other analytics – can help you make smarter, more strategic decisions.