Why Perform a SWOT Analysis When Buying a Business
Why Perform a SWOT Analysis? Gain Deep Insight: Understand the true value and challenges of the business. Uncover Competitive Advantages: Identify assets and strengths you can leverage. Spot…
SWOT Analysis
When buying a business, performing a SWOT analysis helps assess its current position, identify risks, and uncover growth potential. Here's how each component applies: 1. Strengths (Internal, Positive)…
ROI – Return of Investment
How to Calculate ROI (Return on Investment) ROI, or Return on Investment, is a financial metric used to evaluate the profitability of an investment. It measures how much…
EBITDA (Earnings Before Interest,Taxes, Amortization, and Depreciation
What is EBITDA? EBITDA stands for Earnings Before Interest, Taxes, Depreciation, and Amortization. It is a financial metric used to evaluate a company's profitability from its core operations,…
Seller’s Discretionary Earnings
How to Calculate Seller's Discretionary Earnings (SDE) Seller’s Discretionary Earnings (SDE) is a key metric used to evaluate the true earning power of a small business. It adjusts…
Basic Profitability Formula
How to Calculate Basic Profitability Profitability measures how much profit a business makes compared to its revenue. The basic formula is: Profitability = (Revenue - Costs) / Revenue…