Purchase Price Allocation: How It Affects Your Taxes
Purchase Price Allocation: How It Affects Your Taxes Quick Answer Purchase price allocation divides the total sale price into separate asset values, which determines tax basis, depreciation schedules, and reported gains or losses for both buyer and seller. The buyer uses the allocation to plan future tax deductions through depreciation and amortization, while the seller […]
Quality of Earnings: What Buyers Need to Know
Quality of Earnings: What Buyers Need to Know Quick Answer Quality of Earnings is a financial review that validates a company’s true earning power by stripping out one-time gains, accounting adjustments, and non-recurring items to show buyers reliable EBITDA and sustainable cash flow. This analysis typically costs between 35,000 and 150,000 dollars depending on complexity […]
How Accounts Receivable Impacts Business Valuation (2026 Closing Mechanics)
AR factors into both your headline valuation and the working capital peg at close. How buyers underwrite collectability, why aged AR gets discounted, and the 3 cleanup steps before sale.
Sell-Side Quality of Earnings — Why Buyers Care So Much
Sell-Side Quality of Earnings — Why Buyers Care So Much Quick Answer A Quality of Earnings study normalizes a company’s financial statements to reveal the true sustainability and reliability of its earnings, which directly impacts buyer confidence and valuation multiples. Buyers use it to identify adjusted EBITDA, spot accounting irregularities, and understand cash flow generation, […]