Multiples for Shipping Logistics Company

by a searcher from Rice University - Jesse H. Jones Graduate School of Business

3 months ago

Hi all - 
Looking to submit an LOI for a Freight Forwarding/Shipping Logistics company however I'm unsure what a fair EBITDA/FCF multiple would be. Does anyone have any experience with deals in this industry they'd be willing to share? Much appreciated!

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searcher from London School of Economics and Political Science, University of London

In addition to all the good feedback above, I would also consider the underlying industry vertical(s) the business is serving as there could be notable tail or headwinds

2 months ago | like reply | 0 likes

searcher from University of Central Missouri

^Searchfunder member‌ lot of good feedback above. Depends heavily on the specific attributions, but based on what you're shared, I would be thinking 3x-4x as an opening range. Even in the best case scenario, I wouldn't push up to 5x a small FF business. The details matter a lot, but I suggest leaning toward the lower end so you're better positioned to survive this part of the business and freight cycle. Happy to discuss further as well.

3 months ago | like reply | 0 likes

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