Beyond EBITDA: Key Metrics That Matter to Investors

Understanding the Bigger Picture When evaluating potential investments, many private equity firms instinctively gravitate towards EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization). It’s a quick snapshot of operating profitability that often dominates financial conversations. However, savvy investors recognize EBITDA as merely a starting point—not the whole story. Here’s the reality: EBITDA can obscure critical … Read more

Cash vs. Accrual: How Should You Really Evaluate Your Business?

In the world of private equity, accurate financial reporting is the lifeblood that informs deal structures, valuations, and exit strategies. Yet many businesses—even some beyond the startup stage—still rely on the cash basis of accounting to gauge performance. Others swear by accrual. The choice might seem trivial, but in fact, it can drastically alter your … Read more

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