Depending on the business, the analysis may consider Seller’s Discretionary
Earnings, EBITDA, documented owner compensation and benefits, nonrecurring
expenses, recurring revenue, customer concentration, owner dependence,
lease terms, equipment, working capital needs, growth, risk, and transferability.
KMF also reviews available market evidence and financing considerations.
No single multiple applies to every Tampa business, and proposed add-backs
should be documented and evaluated individually. A valuation discussion helps
connect the financial records with how the business operates and what a buyer
would need to maintain its performance.