Despite increases in revenue earnings were impacted by the margins being squeezed, Adjusted EBITDA for 2022 was a loss, TTM is basically $0/breakeven, and too early to predict if 2023 earnings will be positive. Company expects the low margin work to be completed Q3 and higher margin work to return in Q4.

Debt doesn't seem appropriate with earnings in flux. Looking for suggestions on structuring an earnout.

2019: $3.75M Revenue / (-$175K) Adjusted EBITDA
2020: $5M Revenue / $325K Adjusted EBITDA
2021: $5M Revenue / $395 Adjusted EBITDA
2022: $5M Revenue / (-150K) Adjusted EBITDA
TTM: $5.8M Revenue / $0 Adjusted EBITDA
Projections: $6M Revenue / TBD Adjusted EBITDA

Balance Sheet (Major Items):
AR: $900K
Inventory: $1.2M

Customer Deposits: $1.1M

How would you structure an earnout.....or is there no choice but to wait for TTM earnings to return, so debt is an option?? Looking for any suggestions.