In valuation, a rule of thumb is a common procedure or practice used to value a company. These procedures are based on past valuation experiences and estimates in that industry, rather than specific calculations. Rule of thumbs typically involve using multiples that are relevant to whichever… View Full Term
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How does working capital impact the value of my business? Firstly, an overriding principle of valuation, particularly in valuing operational going concerns businesses,…
By: Equicapita Income LP
About the HostRyan is an entrepreneur, podcast host of the show Life After Business and the co-owner of Solidity Financial. Having personally experienced the hazards of…
By: Ryan Tansom
Helping business owners understand what drives an enterprise valuation and what specific actions should be taken in order to enhance that value are two of the most…
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For a business owner, partnering with a private equity firm is a bit like getting married. While there may not be a clear consensus about how many months or years you…
By: Heather Madland
About the Host Ryan is an entrepreneur, podcast host of the show Life After Business and the co-owner of Solidity Financial. Having personally experienced the hazards…
I listened to Gary Vanerchuk’s podcast with Ray Dalio the other day, and his opening question to his guest was awesome: What’s your origin story?An origin…
By: John Carvalho | President, Divestopedia Inc.
Over the years, I've spent a lot of time thinking about and working on business valuations across a broad range of transactions. Given that I'm a visual learner,…
By: Tim Vipond | Co-founder
Recasting EBITDA is an accepted practice in the presentation documents that are produced to facilitate a business sale by a sell-side M&A firm. The purpose is to…
By: Dave Kauppi
Recurring revenue is the holy grail for business owners looking to have a valuable and sellable company. A customer base with a subset of recurring revenue that is…
By: Rose Stabler
I pulled an old valuation text book off the shelf the other day titled The Valuation of Business Interests by Ian Campbell and Howard Johnson. I hadn't opened it in…
When people ask about the payback period their intended question is "When will I get my money back?" In order to answer this question, the payback period must…
By: Yiannis Empeoglou
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