Class VI Partner

NOVEMBER 14, 2022

Average EBITDA multiples have consequently dropped in comparison to last year’s frenzied M&A period. Large strategic buyers with strong balance sheets and well-funded private equity groups have gained favor. Many buyers have also had to take on a higher proportion of equity to fund deals.

Equity 52

Equity Normalized Earnings Finance EBITDA 52

Valutico

DECEMBER 16, 2024

Enhanced Normalization Adjustments for Earnings What? Weve introduced a new adjustments feature within ValuPlan Plus, enabling users to account for extraordinary items that may distort historical earnings. EV/Sales, EV/EBITDA) and financial metrics (e.g., Sales, EBITDA, Net Income).

Normalized Earnings 52

Normalized Earnings EBITDA Equity Marketability 52

Chris Mercer

NOVEMBER 15, 2022

Assume a company has reported an EBITDA of $2.0 Assume further that the appropriate EBITDA multiple is 6x and that the underlying equity discount rate is 14%. Then, based on reported EBITDA, the company is worth $12.0 Normalized EBITDA is, therefore, $3.0 million based on normalized EBITDA.

Business Valuation 52

Business Valuation Normalized Earnings EBITDA Terminal Value 52

Class VI Partner

JULY 28, 2021

Balance Sheet A Balance Sheet is an accounting record for a company that lists a company’s assets, liabilities, and shareholders’ equity. In particular, a Buy-Sell Agreement will typically provide for what happens in the event that one of the shareholders leaves the business and he or she needs to dispose of an equity stake in the business.

Book Value 52

Book Value Equity Enterprise Value Fair Market Value 52