Andrew Stolz

APRIL 3, 2020

The LBO ratios can go to 90% of debt and 10% of equity. A private equity firm aims a target return of around 20 – 25% (WallStreetMojo, 2018). Senior Bank Debt / EBITDA 3.0x. A general partner in a private equity firm usually earns 20% of the profit.

Private Equity Firm 52

Private Equity Firm EBITDA Equity Finance 52

Equilest

NOVEMBER 25, 2024

Leveraged Buyouts (LBOs) are powerful tools in the financial world, used by private equity firms and savvy investors to maximize returns. They involve acquiring a company using a mix of debt and equity, where the acquired company’s cash flows are used to service the debt. Ready to master the art of LBOs?

Private Equity Firm 40

Private Equity Firm Debt Financing EBITDA Equity 40

Scott Mashuda

JUNE 26, 2024

REAG specializes in the lower middle market , focusing on companies with profitability and growth potential, with an emphasis on serving: Regional, national and global markets $2M+ EBITDA Scalable businesses We provide tailored solutions for companies across diverse geographic scales, matching each business’s unique scope and ambitions.

Banking 52

Banking EBITDA Private Equity Firm Marketability 52

Brian DeChesare

MAY 29, 2024

Debt Service = Interest + Scheduled Principal Repayment; CFADS = EBITDA – Cash Taxes +/- Change in Working Capital – Maintenance CapEx +/- various Reserve line items.) And in the final period of an LBO model, you assume an Exit Value for the company, which is also based on an EBITDA multiple. an equity IRR of 7% to 13%).

Corporate Finance 59

Corporate Finance Finance Terminal Value EBITDA 59

Benzinga

DECEMBER 13, 2022

" Since Montage Partners' investment in 2016, revenue and EBITDA at Boundary Devices have each grown approximately fourfold, driven entirely by organic growth initiatives. LAKE FOREST, Calif.,

Private Equity Firm 40

Private Equity Firm EBITDA Equity Marketability 40

Scott Mashuda

SEPTEMBER 5, 2023

MCM Capital Partners (MCM) is a lower-middle market private equity fund. Founded in 1992, MCM is a Cleveland-based private equity firm focused on acquiring niche manufacturers, value-added distributors and service companies generating up to $75 million in annual revenues and having enterprise values of less than $50 million.

Private Equity Firm 52

Private Equity Firm Enterprise Value Banking EBITDA 52

Global Finance

JUNE 4, 2024

GF: Are you seeing more mergers and acquisitions involving self-funded public companies and private equity firms? Eventually, private equity will lead coming out of this. We’re in a relatively stable environment, and it provides an opportunity for private equity firms to step back into the deal arena.

Private Equity Firm 59

Private Equity Firm Start-ups Finance Equity 59

Musings on Markets

OCTOBER 12, 2023

In the chart below, I look at the pricing of fossil fuel companies over time, using EV to sales and EV to EBITDA as pricing metrics: While the pricing metrics swing from year to year, that has always been true at oil companies, since earnings and revenues vary, with oil prices. in the 1998-2010 time period to 5.95

Market Capitalization 103

Market Capitalization Enterprise Value Start-ups Marketability 103

Valutico

MAY 6, 2024

These ratios, like the EBITDA multiple, compare a company’s financial performance (EBITDA, revenue, etc.) These multiples are applied to target company’s latest financials such as revenue, earnings and book value of equity to arrive at an estimate of enterprise value or equity value. to its market value.

Discounted Cash Flow 52

Discounted Cash Flow Precedent Transaction Analysis Weighted Average Cost of Capital Comparable Company Analysis 52

Equidam

FEBRUARY 7, 2024

For example, corporate investors or private equity firms can be interested in a more mature company with slower growth, if it corresponds to less risk, compared to venture capital or angel investors who are generally looking for younger startups with the potential to become billion dollar companies.

Private Equity Firm 65

Private Equity Firm Marketability EBITDA Equity 65

FE International

APRIL 13, 2022

At the lower end of the market, individuals are still leaving their jobs to buy businesses and, at the higher end, institutional investors and private equity firms have more capital available than ever before. When your SaaS is effectively implemented and protected, your risk for disruption becomes much more minimal.

Private Equity Firm 52

Private Equity Firm Equity B2C Start-ups 52

Scott Mashuda

DECEMBER 22, 2021

Financial buyers are typically private equity firms or family offices. Financial buyers often prioritize increasing EBITDA and market share over a shorter investment period (usually three to seven years). The Financial Buyer. Many sellers confuse financial buyers with strategic buyers , but the two are very different. .

Private Equity Firm 52

Private Equity Firm Marketability EBITDA Technology 52

IBG Business

FEBRUARY 25, 2022

While some corporate buyers and private equity firms see the advantages of purchasing smaller businesses, companies with less than $5 million in sales and an EBITDA of less than $1 million may be more dependent on continuing outside financing and lack the critical mass for both buying and selling power. Grow in size.

Private Equity Firm 40

Private Equity Firm Start-ups Marketability EBITDA 40

IBG Business

JANUARY 31, 2023

Such reports are increasingly common in larger transactions, especially where the buyer is a private equity firm. “A It shows a buyer the business’s true profitability by adjusting EBITDA to reflect any non-recurring revenues and expenses.

Start-ups 52

Start-ups EBITDA Private Equity Firm Compliance 52

Class VI Partner

JULY 28, 2021

EBITDA EBITDA refers to Earnings Before deducting Interest, Taxes, Depreciation, and Amortization costs, and is often used by buyers and sellers as a proxy for operating cash flow in a business (i.e., EBITDA Multiple EBITDA Multiple refers to the multiple of EBITDA used to determine a company’s enterprise value.

Book Value 52

Book Value Equity Enterprise Value Fair Market Value 52

Musings on Markets

OCTOBER 6, 2023

One way to measure progress on this issue is to look at the portion of the book value of equity at US companies that comes from tangible assets, in the chart below: Looking across all US firms from 1980 to 2022, the portion of book value of equity that comes tangible assets has dropped from more than 70% in 1998 to about 30% in 2022.

Intangible Assets 125

Intangible Assets Book Value Equity Start-ups 125

Brian DeChesare

JULY 26, 2023

You can think of a search fund as a private equity firm meets a SPAC , minus the celebrity sponsor who’s there to swindle retail investors. Like a PE firm, a search fund raises capital from outside investors and aims to multiply that capital by investing it – but like a SPAC, it makes only one acquisition.

Banking 52

Banking Equity Start-ups Private Equity Firm 52

Brian DeChesare

JANUARY 19, 2022

According to some, you do almost no modeling or technical work in this group, and it’s one of the easier jobs in IB, similar equity or debt capital markets. But if you read other accounts, FSG runs models, Analysts get hands-on technical work, and the hours could be longer and more stressful because your clients are private equity firms.

Private Equity Firm 94

Private Equity Firm Banking Equity Finance 94

Brian DeChesare

MAY 17, 2023

I’ll cover the top firms, deals, recruiting, and career differences here, but as with any superhero saga, I’ll start with the origin story: Definitions: What is a Technology Private Equity Firm? billion buyout of Duck Creek Technologies (insurance SaaS) in early 2023 for a seemingly nonsensical 234x EBITDA multiple and 7.6x

Equity 64

Equity Technology Private Equity Firm Start-ups 64

Brian DeChesare

NOVEMBER 1, 2023

In most of the world, healthcare is either government-run or a mixed public/private sector. Are there many private healthcare companies for PE firms to acquire? Before delving into these nuances, we should take a step back and define the sector: Definitions: What is a Healthcare Private Equity Firm?

Equity 59

Equity Private Equity Firm Start-ups Banking 59

Brian DeChesare

SEPTEMBER 11, 2024

If you look at the presentations and valuations below, you will still see standard valuation multiples like TEV / Revenue, TEV / EBITDA, and P / E. Many private equity firms and hedge funds invest in renewables or related areas like chemicals, industrials, technology, and power.

Banking 59

Banking Finance Start-ups Equity 59

Brian DeChesare

JUNE 1, 2022

It is 100% possible to use standard valuation multiples, such as P / E and TEV / EBITDA , to value power/utility companies, and you’ll see many examples in the Fairness Opinions below. As a result of these points, you often make CapEx and the Rate Base the key drivers and then “back into” revenue based on allowed price increases.

Banking 98

Banking Equity Book Value Capital Structure 98

Brian DeChesare

AUGUST 10, 2022

If Midstream companies want to grow beyond the fee increases written into their contracts and possible volume growth, they need to spend on Growth CapEx and estimate the incremental EBITDA from that spending: Further adding to the complexity is the GP (General Partner) / LP (Limited Partner) structure used at most MLPs.

Banking 98

Banking EBITDA Dividends Equity 98

IT Valuations

AUGUST 30, 2024

This shift has created a more balanced market, especially for firms with less than $2 million in EBITDA, where multiples are under more pressure. Despite these challenges, top-quartile firms continue to command premiums. In some cases, smaller firms are coming together to bolster their EBITDA and achieve higher multiples.

EBITDA 52

EBITDA Private Equity Firm Marketability Equity 52

IT Valuations

AUGUST 30, 2024

This shift has created a more balanced market, especially for firms with less than $2 million in EBITDA, where multiples are under more pressure. Despite these challenges, top-quartile firms continue to command premiums. In some cases, smaller firms are coming together to bolster their EBITDA and achieve higher multiples.

EBITDA 52

EBITDA Private Equity Firm Marketability Equity 52

Brian DeChesare

APRIL 19, 2023

To value it, we build a standard DCF based on production volumes, CapEx to drive capacity, and assumed steel prices: The valuation multiples are also standard (TEV / Revenue, TEV / EBITDA, and P / E). You can still use the TEV / EBITDA multiple, but it’s more appropriate for the diversified miners since their output fluctuates less.

Banking 52

Banking Start-ups Private Equity Firm Equity 52

Global Finance

OCTOBER 29, 2024

In the second quarter, growth in Ebitda [earnings before interest, taxes, depreciation and amortization] outpaced interest expense growth for high-yield corporates. GF: How does it look for private equity firms? GF: Do you foresee a soft landing? Robson: We are expecting a soft landing.

Start-ups 98

Start-ups Finance Equity Private Equity Firm 98