Mergers and Inquisitions

OCTOBER 30, 2024

Corporate finance jobs at normal companies are bad … …if you’re using them to break into a deal-based field, such as investment banking , private equity , or venture capital , or as a “Plan B” if you interview around but do not get into one of these. not banks or investment firms). What Are Corporate Finance Jobs?

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OfficeHours

JUNE 12, 2023

Additionally, you are financially incentivized to work in private equity as firms have carried interest in the funds and share in the profits of their investments alongside the firm’s investors. At the junior level, running the model and valuation analyses will be one of your primary workstreams as a private equity professional.

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Private Equity Equities Investment Valuation 147

How2Exit

NOVEMBER 17, 2023

rn Valuation is based on comparable past deals and the specific variables of the business model. rn Valuation is based on comparable past deals and the specific variables of the business model. rn rn Quotes: rn rn "Valuation tends to be based on real estate. rn "Valuation tends to be based on real estate," Smale explains.

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M&A Mergers and Acquisitions Valuation Business 130

Devensoft

AUGUST 22, 2023

Navigating M&A valuations with precision is paramount for informed decision-making. Our guide equips you with step-by-step instructions on employing the Enterprise Value Calculator effectively, complete with insights into optimal practices for precision valuations. Let’s dive into the intricacies of this invaluable resource.

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Valuation M&A Utilities Mergers and Acquisitions 52

Focus Investment Banking

APRIL 7, 2024

One aspect that is often talked about and significantly impacts the business landscape is the relationship between interest rates, private equity groups, and business valuations. This can lead to a more cautious approach from PE firms, as higher rates can impact the future cash flows and growth prospects of potential investment targets.

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Private Equity Valuation Equities Business 52

Focus Investment Banking

MARCH 10, 2025

Shifting focus to profitable, reliable customers strengthens cash flowwhat buyers ultimately value. This target is negotiated and agreed upon, and the investment banking advisor will play a large role here. These are called addbacks, and are extremely important to valuation. Buyer confidence is gained through visibility.

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Investment Book-building Sale Business 52

Focus Investment Banking

MARCH 24, 2024

In the dynamic realm of direct-to-consumer (DTC) businesses, a clear hierarchy emerges in private equity valuations, largely based on the perceived stability, scalability, control over supply chains and customer experiences. The hierarchy in DTC business valuations reflects a balance between risk and reward.

Private Equity 52

Private Equity Valuation Equities Business 52

Focus Investment Banking

MAY 29, 2025

Focus on Profitability and Growth : These two factors drive the highest valuations. Clean Up the Financials : Ensure financial statements are accurate, organized, and easy to explain. Remove personal expenses from business operations, or at least clearly separate them to facilitate buyer diligence.

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Mergers and Inquisitions

APRIL 19, 2023

Metals & mining investment banking used to be a “sleepy” group. But let’s forget about the children temporarily and focus on the verticals, the drivers, deal examples, and the exit opportunities if you escape from the underground mines: What Is Metals & Mining Investment Banking?

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Investment Banking Banking Bank Investment 52

Mergers and Inquisitions

MAY 3, 2023

But people who aim for investment banking roles are very much into those bells and whistles, so questions about the DDM and other “exotic” methodologies began rolling in. To be fair, in some industries – like commercial banks and insurance within FIG – the DDM is a core valuation methodology.

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Valuation DCF Debt Financial Modeling 64

How2Exit

FEBRUARY 27, 2023

With the help of services like Flippa, as well as resources like the How2Exit podcast, entrepreneurs and investors can find the right resources to make informed decisions about their investments. Concept 2: Investment bank for the 99%. Concept 8: Build boring businesses for profit. The blog was sold for $5.2

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Profitability Business Investors Investment 130

OfficeHours

JUNE 5, 2023

Occasionally, once a potential acquisition is identified, consultants help private equity firms structure investment deals by advising on optimal capital structures, negotiating terms and conditions, and evaluating potential exit strategies, while also sometimes providing valuation services to determine the fair value of target companies.

Private Equity 147

Private Equity Consulting Portfolio Equities 147

Wizenius

SEPTEMBER 28, 2024

Private equity funds strive to achieve compelling returns by procuring or investing in companies and actively enhancing their growth and profitability. This valuation process dictates the purchase price that the financial sponsor must pay.

Debt 52

Debt Funds Private Equity IPO 52

Focus Investment Banking

MAY 23, 2024

The worth of a business, or valuation, is primarily based on EBITDA (Earnings before Interest, Taxes, Depreciation, & Amortization). companies, but it is how buyers in most industries determine the “true profitability” of any business. Both involve finding your gross profits and subtracting expenses and taxes as outlined below.

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Mergers and Acquisitions Mergers Acquisitions Valuation 52

Wizenius

JULY 2, 2023

For instance, when a fast-growing e-commerce player like Shopify reaches its peak, an exit via an Initial Public Offering (IPO) can yield substantial profits. Throughout the investment journey, PE firms keep a close eye on the Internal Rate of Return (IRR), utilizing sophisticated financial models to predict future returns accurately.

Private Equity 52

Private Equity Equities Investment Financial Modeling 52

How2Exit

MAY 20, 2024

At the age of 21, he entered the realm of investment banking, starting his career with Bank of America and quickly delving into the M&A team. He actively invests in and funds student deals through his private equity fund. Wealth managers are not trained in the art of business valuation."

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M&A Mergers and Acquisitions Book-building Business 130

Focus Investment Banking

JANUARY 10, 2025

And in a lot of cases, these are very profitable services, but that specialization is going to lead to massive efficiencies throughout your organization. About 3 years ago, I joined the team at Focus Investment Banking, where I spend my time on mergers and acquisitions and capital raising within the collision repair industry.

Private Equity 52

Private Equity Mergers and Acquisitions M&A Equities 52

MergersCorp M&A International

NOVEMBER 1, 2024

A common approach to valuation is to consider the fee structure: AMCs may charge a percentage of AUM (often ranging from 0.5% Net Income and Profit Margins: Net income provides insight into the profitability of the business. Technological Advancements and Innovation: Technological disruption in finance can impact valuations.

Asset Management 52

Asset Management Management Valuation Discounted Cash Flow 52

How2Exit

SEPTEMBER 22, 2024

With over 15 years of experience in investment banking, primarily in London, Ian has led numerous successful M&A transactions. Ian highlights how focusing on these areas not only prepares a business for a profitable exit but also ensures its scalability and sustainability.

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Mergers and Acquisitions Business Sale M&A 130

Mergers and Inquisitions

MARCH 8, 2023

Commodity Hedge Fund Definition: A commodity hedge fund buys and sells futures contracts and other derivatives based on mining, energy, power, and agricultural products and earns profits via fundamental and technical analysis; the trading may be systematic, discretionary, or both. If you deliver 5,000 bushels, that’s a profit of $5,000.

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Funds Finance Finance Trading 119

Focus Investment Banking

DECEMBER 4, 2023

When a seller conducts a Quality of Earnings analysis, the upfront investment, which is lower than the cost of an audit, can yield significant returns, including a higher valuation and a smoother transaction process. A seller that conducts a QofE can often experience a higher valuation. What is a Quality of Earnings?

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Valuation Financial Statement M&A Food 52

Focus Investment Banking

JUNE 25, 2023

A business segment’s place in my hierarchy of value is determined by a mix of things, like profitability and margins, recent market activity, positive or negative long-term trends and threats to the business model. The primary driving factors here are EBITDA, gross profit margins and recent market activity for these businesses.

Business 52

Business Retail Valuation Middle Market 52

Wall Street Mojo

JANUARY 17, 2024

Accounting For Revenue Sharing Arrangements Examples Advantages And Disadvantages Revenue Sharing Vs Profit Sharing Vs Equity Frequently Asked Questions (FAQs) Recommended Articles Key Takeaways Revenue sharing is the distribution of a company’s revenue among stakeholders, shareholders, and other contributors.

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Shares Financial Modeling Financial Models Profitability 52

OfficeHours

JULY 4, 2023

Now, it is time Case Study From Public Markets To Private Markets In this case study, learn how Officehours transitioned from a public market to a private market and achieved profitability in the process. Celebrating 5 Years of Placements (2020-2024) – Empowering Dreams and Unlocking Opportunities!

Sale 130

Sale Private Equity Recruitment Equities 130

Focus Investment Banking

JANUARY 22, 2024

Some owners will only include half of Mary’s salary in Cost of Goods Sold, (as those were the only hours where Mary generated revenue) and put the rest of her salary in Sales, General and Administrative (SG&A) costs, below Gross Profit/Gross Margin. Contact Kelly at Kelly.Kittrell@focusbankers.com.

Professional Services 52

Professional Services Corporate Finance Mergers and Acquisitions Consulting 52

Focus Investment Banking

AUGUST 6, 2023

While increasing revenue and profits are almost always the corporate goal, ESG can expedite the process and make it sustainable. Among other advantages, executing ESG effectively can help combat rising operating expenses (such as raw-material costs and the true cost of water or carbon), which can affect operating profits by as much as 60%.”

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Middle Market Business Government Profitability 52

Focus Investment Banking

MAY 16, 2025

Timing Kills Deals: Why Government Contractors Cant Afford to Wait In the world of M&A, especially in the government contracting sector , the biggest threat to a successful transaction isnt price, valuation gaps, or competitionits time. If youre growing, profitable, and performing well, dont wait for another year of proof.

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Government M&A Valuation Underwriting 52

OfficeHours

OCTOBER 16, 2023

Some of the other positives of an IPO exit include the potential for higher valuations (as public markets might offer a higher valuation than a sale to another private entity) and liquidity (as the PE firm can convert existing shares into cash). investment banking, private equity , VC, etc.) and how our process works.

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Peak Frameworks

OCTOBER 30, 2023

A business structure defines the legal and operational boundaries of the business, stipulating how activities such as governance, taxation, liabilities, and profit-sharing are to be approached. Some entities allow profits and losses to pass directly to owners' personal income, while others tax profits at the corporate level.

Business 52

Business Mergers and Acquisitions Corporation Profitability 52

PCO M&A Specialists

DECEMBER 15, 2021

As I write this article, I’m watching shares of Terminix in real time at $43.86, significantly below the $55 valuation but up $6.44 Rentokil estimates annual cost saving synergies of $150 million by year three with significant profit addition in the first year post-close. Where do valuations go from here? times revenue.

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Valuation M&A Private Equity Stock 52

Sica Fletcher

MARCH 26, 2024

Buyers want to acquire your agency and intend to sell it after several years for a profit, typically as part of a larger portfolio of purchased companies (e.g., private equity firms, investment banks, individual investors). Valuation is a process in and of itself.

M&A 52

M&A Insurance Valuation Advisory 52

Solganick & Co.

OCTOBER 6, 2023

Business Valuation: Understand and obtain a professional valuation or estimate to understand the worth of your technology business. Running a compresensive and targeted M&A auction process will help to maximize the outcome including receiving multiple offers and driving valuation higher.

Sale 52

Sale Business Valuation M&A 52

Sica Fletcher

APRIL 11, 2024

Your agency valuation will play a large role in influencing how buyers perceive your agency’s worth. Take time before bringing your agency to market to optimize your daily operations, thus increasing the likelihood of a higher valuation. Generally, these fall into two distinct categories of advisory firms or investment banks.

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Insurance Advisory M&A Investment Banking 52

Focus Investment Banking

OCTOBER 23, 2023

In the commercial tire business, the quest for profitability can sometimes feel like a struggle. In this column, I’ll be exploring real estate ownership and retirement planning, followed by the benefits of investing in index funds. For more information, contact him at michael.mcgregor@focusbankers.com.

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Funds S&P Investment Business 52

Solganick & Co.

APRIL 24, 2024

Solganick is a data-driven investment bank that specializes in IT services and software companies and has advised on multiple M&A transactions within the covered sector verticals. Shift to Profitability over Growth: The market is shifting away from “growth at all costs” to a focus on profitability.

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Mergers and Inquisitions

MAY 24, 2023

You could even say that a long-only fund that invests in undervalued companies based on their earnings announcements is “event-driven.” They have their investment thesis and valuation, and the earnings announcement is the event that unlocks value… …but this is not what “event-driven” means in most cases.

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Funds Investors Mergers and Acquisitions Mergers 64

Peak Frameworks

JUNE 7, 2023

And if you are interested in learning more about essential finance concepts, you should check out our , Investment Banking Course. Cash Flow from Operations vs Earnings While both earnings (net income) and CFO reflect a company's profitability, CFO can be a more reliable indicator.

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Financial Analysis Discounted Cash Flow DCF Finance 52