Unlock the SDE vs EBITDA Business Valuation Formula

sde vs ebitda business valuation formula

We cut through the noise so founders can pick the metric that fits their exit path. This short guide clarifies what each measure captures and when each one matters. EBITDA stands for Earnings Before Interest, Taxes, Depreciation, and Amortization. It gives a clean view of operating cash flow for financial buyers. SDE reflects the total […]

How to Calculate Working Capital When Selling a Business

how to calculate working capital when selling a business

We guide founder-led owners through the financial details that shape final proceeds. Understanding working capital is not optional. It affects the purchase price and the buyer’s confidence in the deal. Too many sellers leave this issue until the last minute. That can derail the entire sale process. We help owners set a clear target, align […]

How to Value a Business with Rapid Growth

How to value a business with rapid growth

How to Value a Business with Rapid Growth Determining fair market value matters more than ever in today’s fast deal cycle. We cut through noise and show clear steps. Short, pragmatic analysis. Real metrics. Real outcomes. We focus on the precise number that defines your company value. That number ties cash flow, price expectations, and […]

Quality of Earnings: What Buyers Need to Know

How quality of earnings reports work and why buyers require them

Quality of Earnings: What Buyers Need to Know We cut through noise. Selling a business is a major life event that calls for clear financial signals. A focused quality earnings review helps you present reliable financial data to potential buyers and positions a sale for a stronger outcome. Prepare early. A thorough accounting analysis surfaces […]

Valuation Multiples: Unlocking the Key to Business Valuation

What is a valuation multiple and how is it calculated

Valuation Multiples: Unlocking the Key to Business Valuation We use valuation multiples as a practical lens to judge what a firm is worth today. This method stays central in market work because it ties price to real, comparable figures. It is simple in math. The choice of peers matters most. Valutico updated guidance on March […]

Accountant vs. M&A Advisor: Why They Value Your Business Differently

Why your accountant and your M&A advisor value your business differently

Accountant vs. M&A Advisor: Why They Value Your Business Differently We cut through the noise. Selling a company asks for clarity about valuation methods and buyer motives. Robert Evans, who has led over 100 valuation engagements, warns that historical numbers often miss market value. Two lenses matter. One looks at standalone earnings, EBITDA, and cash […]

Trailing Twelve Months: The Metric That Matters Most for M&A

Why trailing twelve months matters more than annual financials

Trailing Twelve Months: The Metric That Matters Most for M&A We use TTM as the single best snapshot of a target’s recent revenue momentum. Short, rolling figures beat a fixed year when you need to judge current health. This metric helps us see trajectory instead of old, stale statements. When we assess a company, we […]

Comparing Revenue Multiples and EBITDA Multiples: Which Matters More?

Revenue multiples vs EBITDA multiples which matters more

Comparing Revenue Multiples and EBITDA Multiples: Which Matters More? We cut through valuation noise to give you a clear view of two common ways to price a company. This introduction frames the choice between top-line-based measures and cash-flow-focused metrics. Both shape final value. Both influence investor decisions. Our goal is practical. We show when each […]

How Private Equity Evaluates Small Businesses Behind Closed Doors

how private equity evaluates small businesses

How Private Equity Evaluates Small Businesses Behind Closed Doors When private equity firms consider investing in small businesses, they conduct a thorough assessment to determine the potential for growth and returns. This evaluation process involves a detailed examination of various factors, including the company’s financial health, market position, and the quality of its management team. […]