M&A Talk (Mergers & Acquisitions), by Morgan & Westfield cover image

M&A Talk (Mergers & Acquisitions), by Morgan & Westfield

Optimizing Financial Health Before Selling Your Business

Jun 27, 2024
59:43

View the complete show notes for this episode.

Accountant Kyle Smith shares expert insights into optimizing a business’s financial health before going to market. This includes understanding and tracking five key performance indicators (KPIs) and financial metrics to evaluate a business’s financial health and valuation, the need for cost control analysis, benchmarking against industry averages, and monitoring revenue, gross profit, and sales mix to identify areas for improvement and maximize profits.

What You’ll Learn:

  • Pre-Sale Financial Due Diligence: Strategies for optimizing your company’s financial performance before a potential sale.
  • KPIs: Critical key performance indicators (KPIs) every business owner should track regularly.
  • Revenue Metrics: Techniques for understanding trends in your gross profit percentage and revenue drivers. 
  • Financial Documents: Importance of analyzing discrepancies between your income statement and cash flow statement.
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