Positive news surrounding middle market M&A continues to swell as well as continue into 2023. A recent survey conducted by Citizens Bank revealed a great deal of optimism for middle-market M&A activity this year. Essentially, businesses have remained resilient even during challenging economic times. In addition, interest in M&A deals continues to be a top priority by both middle-market companies and private equity (PE) firms as both buyer and seller pipelines return to pre-covid levels. To summarize, all indications point to 2023 being a great year to consider selling your business. So if you have been hesitantly holding off, it is time to start the conversation.
READ MORE >>Archives
Why 2023 Is The Time To Sell Your Company
Posted on March 20, 2023 By
Benchmark International in
Benchmark International +
middle-market +
Mergers and Acquisitions +
Selling Your Business +
exit strategy +
2023 +
Sellersmarket +
Company Valuation +
Selling A Business +
Valuations
Applying EBITDA Multiples To Your Company Valuation
Posted on May 23, 2022 By
Benchmark International in
Benchmark International +
middle-market +
EBITDA +
Mergers and Acquisitions +
multiples +
Exit planning +
exit strategy +
growth strategy +
#SellerMandATips +
#TransitionABusiness +
#MandAOptions +
#GrowABusiness +
Sellersmarket +
Recurring Revenue +
Company Valuation +
EBITDA Multiples
If you are considering selling your business, you undoubtedly need to understand its value. Unfortunately, arriving at that answer can entail many different methodologies, and it often involves the familiar valuation formula of applying a multiple of Earnings Before Interest, Tax, Depreciation, and Amortization (EBTIDA).
For example, if a company boasts EBITDA of $1 million, and a five times EBITDA multiple is applied, the company’s estimated value is $5 million. But how do we know what multiple applies to your business? And how do we know if the EBITDA number is even accurate? After all, EBITDA will not be the same for every business.
Share this:
Content not found