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Private buyers

What do I look for in a private business?

A scoring system for private companies.

Valius have devised a scoring system which can be used to pre-select any business which is being considered for purchase. Starting from zero, observe the 11 point system below and add or subtract according to the instructions for each question:

  1. Length of time the business has been on the market – add 5 points if over 6 months
  2. Will the existing owner(s) leave equity in on sale ? – add 10 points if yes
  3. Does it have consistent/increasing levels of ebitda ? – add 10 points if so
  4. Are there any current management team members who can join with our buyer to effect a transaction to create a buyin management buyout ? – add 10 points if yes / add 20 points if there is more than one person
  5. Doe

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