How to Sell Your Business With Investment Banker Greg Smith
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The Differences Between Venture and Private Equity
When we start talking about EBITDA, we put all companies up on a level playing field in terms of what sort of cash flow do they generate. Reported net income is after all that stuff. Amortization is not a cash expense. Those are just bookkeeping entries to give life to a fixed asset. Interest is variable. A company may be financed and have interest expense or it may have no debt. It has no interest expense. We like to look at companies on an EBITDA basis. And then in terms of family offices that reference we've made earlier today, that's just simply what we should imagine for a family many times multi-generational that owns a business or
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