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Tech Due Diligence: Your Financial Model Sucks.

Beyond M&A

The Financial Model Challenge in Tech Due Diligence It’s no secret that the current economic climate is challenging. The M&A world is feeling the squeeze, and nowhere is this more apparent than in the financial models being presented during Tech Due Diligence (DD). That’s just the reality of the market today.

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Statement of Cash Flow

Wall Street Mojo

Financial Modeling & Valuation Courses Bundle (25+ Hours Video Series) –>> If you want to learn Financial Modeling & Valuation professionally , then do check this ​ Financial Modeling & Valuation Course Bundle ​ ( 25+ hours of video tutorials with step by step McDonald’s Financial Model ).

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The Collapse of Silicon Valley Bank: The Start of Great Financial Crisis 2.0?

Mergers and Inquisitions

Look at any financial model for a bank, and you’ll see that loans – not deposits – are the key top-line driver. They could have just left the funds in cash, but cash yielded ~0% in 2020 – 2021, so SVB put most of these funds in mortgage-backed securities and other U.S. to back them.

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M&A Lessons from Mars: Better, Faster, Leaner Integration

M&A Leadership Council

In fact, beginning in late 2021 and early 2022, we started hearing from many deeply experienced M&A Leadership Council alumni companies facing a similar mandate to get better, faster, leaner. “Either find a way to do integration 50% better, faster and leaner than we’ve ever done it before, or we’ll find a team that can!”

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Growth Equity: The Child Prodigy of Private Equity and Venture Capital, or an Artifact of Easy Money?

Mergers and Inquisitions

Others would counter that growth equity’s rapid ascent was mostly due to the easy money that persisted between 2008 and 2021. Financial Modeling: Like private equity, 3-statement models are common, as are valuations and DCF models , but LBO models are less common since not all deals use debt.

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Keeping Up with Delaware Appraisal Jurisprudence Since Aruba: Deal Price Reigns Supreme, But Will Recent Decision Lead to More Arbitrage?

Cooley M&A

May 13, 2021), may provide new fodder for appraisal arbitrage. Key Takeaway : As courts increasingly rely on deal price as the most reliable indicator of fair value in an appraisal proceeding, buyers should carefully document and quantify any expected synergies reflected in their financial models used to support the deal price.

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The Best Enhancements for Integration Success

M&A Leadership Council

In 2021 we began offering two outstanding online trainings, The Art of M&A® Integration Strategy and Change Management and The Art of M&A® Executing Integration for Maximum Results. Without planning these essential inputs into the financial model from the outset, many deals never have a chance to hit their desired business results.

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