Quality of Earnings
“Quality of earnings” is a phrase that is becoming more common in M&A lexicon and is often associated with the due diligence process undertaken before an acquisition. However, as we will explore in this article, business owners should consider the quality of earnings of their companies long before a Letter of Intent has been signed. Not to mention, the potential benefits from incorporating this thinking into their everyday processes will result in a healthier and more attractive company, which may potentially fetch higher valuations than otherwise.
ARCHIVES
M&A Markets Update (June 2022)
Private Equity: Tying It All Together (May 2022)
Private Equity: Valuation (May 2022)
Private Equity: Characteristics (February 2022)
Private Equity: An Introduction (January 2022)
A Year-End Checklist for Owners (December 2021)
The State of Owner Readiness (November 2021)
The GRAPES of Value (October 2021)
The State of the M&A Market (2021 Q2) (September 2021)
A Story of Four Owners (August 2021)
A Deeper Dive Into The Market Approach (August 2021)
The Three Primary Methods of Valuing a Business (July 2021)
The Two Big Value Killers (And How to Address Them) (May 2021)
Get a Grip On Your Cash Flows (March 2021)
Grow Your Business With An Exit in Mind (February 2021)
Middle Market M&A-A Summary of 2020 and Outlook for 2021 (January 2021)
What are the Five Things You Should do Next Year to Improve Value (December 2020)
A Holistic Approach to Owner Management Part III (November 2020)
A Holistic Approach to Owner Management Part II (November 2020)
A Holistic Approach to Owner Management Part I (October 2020)
What We Can Learn About The State of Owner Readiness (October 2020)
The Three Things Every Exit Plan Must Consider (September 2020)
The Five Stages of Value Maturity (September 2020)