EBITDA, adjusted EBITDA, EBITDA addbacks, private equity, mergers and acquisitions, business valuation, leveraged buyout, exit strategy, sell your business, company valuation, deal structure, M&A
A study of 700 M&A and leveraged buyout deals revealed that the bigger the EBITDA addbacks, the worse companies performed on debt repayment. By year one, leverage was 2.3x higher than projected. By year two, 2.7x. In some deals today, adjustments make up nearly 30% of EBITDA versus just 10% a decade ago. In this video, I break down why inflated EBITDA is the fastest way to kill a deal and what smart founders do differently to position their business for a real premium exit.
🔗 Free training on positioning your business for a premium exit: [link]
Like what you hear? Here are some ways I can help:
👉 1. Free Training on How to Make Your Company 10X More Attractive to Buyers and Prepare for a Premium Exit: https://go.presaleprep.com/training
🗓️ 2. Schedule a call to work with me here: https://go.presaleprep.com/talk
Chapters:
You can connect with us here:
💼 www.linkedin.com/company/four-pillars-investors
🖥️ www.fourpillarsinvestors.com
📧 nmclean@fourpillarsinvestors.com
🔎🔎 More about Nick McLean:
Wide ranging business experience from sales and marketing to lean manufacturing to M&A. My primary goals are to 1) buy businesses and help grow them, 2) help business owners prepare their business for a sale. I am not a business broker or investment banker.
🏛️ More About FOUR PILLARS:
Four Pillars has been around for about 15 years and we have completed 10 acquisitions, two of which were bolt-ons. We have used SBA loans as well as traditional private equity funds to fund our deals.
More about Pre-Sale Prep:
Pre-Sale Prep is a program that helps business owners prepare their business for a sale. Ideally, Four Pillars would be the buyer :)
