Add Inventory to Valuation only if Working Capital Requires It
When valuing a business using a cashflow multiple (SDE or EBITDA), do you ADD inventory on top of that price? Answer: Sometimes yes. Sometimes no. It depends on how the working capital actually functions.
Paramount Ups Bid, Netflix Faces Critical Decision
Axios Pro Rata on Feb. 11: "It feels like the next act already has been written. The 'Davids' get over themselves, Paramount raises its bid and then Netflix has a decision to make."
Warner Says Paramount Offer Outpaces Netflix, Challenges Sarandos
WBD says Paramount bid > Netflix. Mr Sarandos, the ball is now in your court.
New Free Guide: Buying a Business for Beginners
We just did a bunch of work to update the free resource page about buying a business over on our website. Lots of links to further resources (videos) great place for a beginner to start... link in comment.
Blue Owl’s Rise Marred by Internal Fractiousness
Blue Owl climbed quickly on Wall Street. One of its arms floated an idea to create a Mt Rushmore of private equity. But those pitched saw the firm’s own fractiousness as the plan’s big flaw. @EricGPlatt & I look at the...
Blackstone's Medallia Loan Downgrade Erases $5B Equity
Surprised no journalists have read $BXSL's 10-K filed this am, but I'll front run them with the story: Blackstone marked the Medallia loan at 78 in Q4, down from 82 in Q3. It's safe to say the PE sponsor's (and co-investors') $5...
Sharing Your Deal Story Inspires New Acquirers
Important message for folks acquiring $2-15M EBITDA businesses, especially those who are willing to share their story and lessons down to the detail. Thanks to you, others are willing to take the leap. Just received a DM from a listener of the...
Crestview and Gersh Eye Full or Partial Wasserman Sale
One of the more interesting things from my recent story on the @Wasserman sale. Crestview Partners and @TheGershAgency are looking at Wasserman in whole and or in parts #sportico https://t.co/swU8ey2FGO
Rare Glimpse Into Secretive Thrive's Performance Data
got my hands on Thrive's performance. secretive firm so this provides a rare snapshot of how they're doing https://t.co/5dbvPfrUF1
AGI Privatization Falters; Stock Trades Above $1 Bid
As expected, $AGI.AX privatization failed - Novomatic (67%) failed to reach 75% delisting threshold - Stock now ~15% above the A$1.00/sh bid since Sep - Activist argues for ~A$3.00/sh (likely stretched) - Novo can re-bid in a few months, overbid thesis looks enticing now.
ByteDance Valued at $550 Billion in Proposed Sale
Exclusive: ByteDance valued at $550 billion in proposed share sale by General Atlantic, sources say With the national emergency finally over.... https://t.co/meRO3PXF22
Closing Short: When Business Sales Lack Funds
What happens when a small business is sold… and there isn’t enough money at the closing table? https://t.co/2PBFSkyCNC #SmallBusiness #BusinessSale #BuyingABusiness #SellMyBusiness #BusinessBroker #Entrepreneurship https://t.co/skl9JQoWaW
Fund 1 Takes 10% Stake, Presses FNKO Sale
Fund 1 pops a 10% stake in $FNKO. Pushing for a sale of the struggling branded collectibles biz. Co trades ~5x Q3 run-rate EBITDA w/ room for further normalization. Staggered board though, so tough to see real movement unless mgmt is open to...
Buffett Chooses Companies with Durable, Layered Foundations
Vic Keller on Warren Buffett and Berkshire Hathaway acquiring three of his companies, and what he looked at in his companies: "Mr. Buffett acquired businesses that I was fortunate enough to be part of founding. I don't think anybody sells a...
SPAC IPO of $
I hadn't realized that $OWL came public via SPAC. It's now right back to its original price. Turns out it was all priced in. EMH undefeated https://t.co/Q6eyG9hYLM
KKR Co‑founder Relaxes Poolside, Scouting High‑debt Deals
A perfect weekend for George R. Roberts, the co-founder of KKR. > Sit by the pool > Read annual reports > Look for deals in the high-debt world https://t.co/MfCdQn4Ba1
Small Businesses Need Corporate‑style Risk Safeguards
Corporate Risk Practices Are Not Applied to Small Business. Large institutions protect cash flow with layered security—collateral, personal guarantees, and cash flow analysis. Most entrepreneurs don’t think this way. The Business Fortress: https://t.co/cgIOurdGHq https://t.co/t6gGZlE72H
Franchise Fallout: Burnt Pizzeria Exposes Family Illusion
The Burnt-Down Pizzeria — And the Franchise Wake-Up Call. When the “franchise family” reveals what the relationship really is. https://t.co/1YT6sJkFQQ #SmallBusiness & Deal Making #SMB https://t.co/dvveSMhfU0