Standard addbacks

by a searcher

1 year ago

Hi

Evalauting a print business, would like to get a view or guidance on what's an acceptable addback and what is not?

Current owner is including a marketing spend which didn't deliver result as an addback, this is not acceptable for me but would like to get a view. 

Regards
Ahsan

0 likes
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16 comments

investor from The University of Chicago - Booth School of Business

Not an addback.

1 year ago | like reply | 0 likes

searcher from Pace University

I've seen this in a prospectus as well and just laughed at it. The business had like $2.3M in sales with a net profit of -$40,000 and add backs of like $800,000 on failed marketing campaigns

1 year ago | like reply | 1 like

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