I have a deal I am working on where there EBITDA in 2018, 2019 and 2020 was $1M and the EBITDA in 2022 is $1.7M.
Could someone please offer their advice on how to approach the EBITDA calculation?
Is there a way that I can give more weight to the 2022 numbers but also take into consideration of the average of the previous years?
Any suggestions would be very much appreciated. Thank you in advance.
Weighted EBITDA average calculation

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You may want also want to forecast the next few years cash flow and use that as the basis of your analysis—if you feel you can make sensible projections. Not a tidy answer but this is a "messy marketplace" to quote Brent Beshore, or a "bizarre bazaar" to quote Robert Slee. I think there are a lot of opinions that masquerade as facts in our industry—this ain't theoretical mathematics with correct answers.