- To get the best deal when you sell your business you must normalize EBITDA to present to your company.
- Especially if buyers calculate valuations in your industry on multiples of EBITDA.
- After all a multiple of a higher EBITDA is better.
- Nothing prevents you from reviewing your own financial before you decide to sell
An add back, for the uninitiated in M&A numbers, is an expense that is added back to the profits (most often earnings before interest, taxes, depreciation, and amortization, or EBITDA) of the business for the express purpose of improving the profit situation of the company.
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