Other Income in P&L

by a searcher from Southwest Texas State University

1 month ago

Interested to know others experience with seller having a significant, up to 10% of revenue included in EBITA?  Seems the seller is inclined to believe that all of it should be considered in the companies multiple.

0 likes
57 views
8 comments

searcher from Southwest Texas State University

I believe the significant portion of the FY22 “other income” was the sell of the building to the owner. I am assuming to ensure lease revenue to ow we post sale. It is a bit odd as the building is likely worth (2X) more than the actual income.

1 week ago | like reply | 0 likes

searcher from Indiana State University

Do you mean under the table income?

1 month ago | like reply | 0 likes

More on Searchfunder

Just Closed on My First Deal! Reflections and Takeaways for other Searchers

45,152 transactions are available on Searchfunder (now searchable by keyword)

Self Funded Acquisition: A few Things I Learned

Equity structures in self-funded deals

Self Funded Search - How to price the equity?

How to get brokers / sellers to understand working capital?

How to spot FAKE EBITDA, without spending a nickel on due diligence...

Lessons learned from failed SBA financing

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.