Acquisition Considerations

• Candidate Attributes

  Profitable
  
  Strong customer relations
  Integratable
  Management must stay
  Accept earn-out methodology

• Transaction Mechanics

  Purchase Price: $0.5mm to $50mm
  
  Valuations: 3x-6x Pre-Tax Earnings
  Cash Up-Front: 30%-50% of Total Consideration
  Contingent Purchase Price 50%-70% of Total Consideration

Previous slide

Next slide

Back to first slide

View graphic version