Interest on long term debt is a generally recognized adjustment. Is interest on a Line of Credit considered an add-back? I've not seen that included before, but just encountered it. This is a small deal so is being valued by SDE.
Thoughts?
Is interest on a Line of Credit an add-back
![](https://55550cf88fb9105859d2-ecc273435fde99d2e690dfef78341117.ssl.cf5.rackcdn.com/img/defaultprofile.png)
by a professional from Western Washington University
More on Searchfunder
Searchfunder is an online community and toolkit for searchfunds. Over 80% of those involved in searchfunds maintain a Searchfunder.com account to help them network, problem solve challenges, and keep up with the industry.
We maintain partnerships with database providers that make searching more effective, efficient and affordable along with features that help searchers find deals and investors and vice versa.
We maintain partnerships with database providers that make searching more effective, efficient and affordable along with features that help searchers find deals and investors and vice versa.
Value of a firm i(aka Enterprise Value or CFDF value) is independent of its existing capital structure.