Category Archives: Blog

  1. Deferred Revenue

    By: Billy Pritchard What is Deferred Revenue? If a software company offers its customers the ability to prepay on longer-term contracts, Deferred Revenue becomes an important consideration during the transaction process.  Generally, a prepayment from the customer creates a future liability for that company to service the customer over the life or term of the…

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  2. The Highest Offer Doesn’t Always Seal the Deal with Founders

    By: Wesley Legg Cash is king; however, the highest offer doesn’t always seal the deal. This is especially the case when the seller is a founder-based company, i.e., the seller is the founder or an heir of the founder. Most founders, of course, want to maximize value, but that is generally not their sole focus,…

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  3. When Selling a Business, Size Matters

    By: Zane Tarence Companies are generally valued based on their risk adjusted future cash flows. Therefore as cash flows increase (bottom line), the value of the company increases. Normally companies are valued as a multiple of this bottom line, EBITDA (earnings before interest, tax, depreciation, and amortization). If a company generates $10mm in EBITDA and…

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  4. 4 Trends Driving Industrial Technology

    By: Gene Bazemore This article was originally published in Control Design. The biggest trend affecting all businesses, but especially the industrial automation business, is the extremely tight labor market. Other important trends affecting this sector are supply chain problems, the push for more safety and reliability in manufacturing, and the increasing complexity of the automation…

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  5. Multi-Unit Community Buzz: Q1 2022

    Multi-Unit Community Buzz: Inflation, Rate Hikes, War… Are Valuations Cresting?  “Russia’s invasion of Ukraine has set the stage for faster-rising consumer prices, with the mayhem of war driving up manufacturing costs for food, consumer goods and machinery in places far from the battlefield.”  -Patrick Thomas, Reporter at The Wall Street Journal  “Tech-savvy consumers demand digital…

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