There’s no magic method, however right here’s a easy benchmark to make use of as a place to begin when taking a look to obtain a trade below £2m PBT:
1x-4x PBT
+ Belongings
– Liabilities
+ Loose money
Components that build up multiples:
• Forged pipeline of long run paintings
• Low buyer focus
• Blank, constant monetary reporting
• Documented methods and processes
• Sturdy, solid second-tier control
• Ordinary income or long-term contracts
• Minimum proprietor involvement day by day
