You’ve spent years—perhaps decades—building, scaling, and pouring your energy into your business. Now, you’re beginning to think about an exit. For most founders, going to market is uncharted territory. It brings up critical questions: What is my business actually worth? Is it ready for sale? Who will buy it, and what will the deal structure […]
private equity
private equity
How Private Equity Looks Beyond EBITDA: The Importance of Free Cash Flow and Financial Consistency
One of the most common misconceptions among business owners preparing for a sale is that EBITDA alone determines valuation. While EBITDA is an important metric, sophisticated private equity investors and lenders view it as only the starting point in evaluating an acquisition opportunity. EBITDA is often described as a measure of operating profitability, but […]
Beyond EBITDA: Why AI Integration is the New Frontier of Quality of Earnings (QofE) Due Diligence
From a Q of E standpoint, AI integration cuts both ways during due diligence: