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M&A Blog #15 – valuation (tools and data preparation)

Francine Way

Just as any home appraiser or credit officer does before going through the analytical exercise to produce a score for a home or a borrower, valuation professionals go through several steps of preparation before the actual exercise of producing a number that can be used as a value of a company.

Valuation 130
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M&A Blog #24 - Merger Relative Valuation

Francine Way

To pick up where we last left off with valuation, I will cover the topic of a Merger Relative Valuation in this blog post and move on to other non-valuation topics from here. Cash balance on the books without Restricted Cash. Working Capital deficit. Negative equity balance.

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Mastering M&A Valuations: The Comprehensive Guide to Utilizing the Enterprise Value Calculator

Devensoft

Navigating M&A valuations with precision is paramount for informed decision-making. In this guide, we’ll demystify the process of leveraging the Enterprise Value Calculator, a robust tool that considers intricate financial factors to accurately gauge a company’s value.

M&A 52
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M&A Blog #16 – valuation (Discounted Cash Flow)

Francine Way

As I mentioned in my last post, Discounted Cash Flow (DCF) is a valuation method that uses free cash flow projections, a discount rate, and a growth rate to find the present value estimate of a potential investment. Add back / remove the extraordinary, unusual, non-recurring items to historical income statement to normalize the statement.

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Trial Balance

Wall Street Mojo

They are written up in a trial balance (a type of financial report) and finally summed up to see if the total debit balances and the total credit balances should be tallied. At the end of every accounting period the accounting books are to be closed and preparing the trial balance is the first step towards it.

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Understanding SaaS P&L: Improving Operations and Reducing M&A Process Friction  

Software Equity Group

That difference can significantly impact the books of SaaS businesses that rely heavily on subscriptions. In an acquisition, this may lead buyers to assign a lower valuation to the company. 3. million, leading to an $11 million valuation discrepancy.

M&A 52
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Decoding the Investment Banking Interview Process

Wizenius

You are being tested on your abilities to explain a story, concept, or a narrative in detail 2) You may be given a pre-created information memorandum/management presentation and then asked to explain it to the interviewer.