Cost of Goods Sold vs Expense: Key Differences & Accounting Impact
A lot of business owners get tripped up by the difference between cost of goods sold and regular business expenses when they look at their financial statements. It’s easy to see why, mixing these up can lead to some pretty lousy decisions and skewed financial analysis. Cost of goods sold covers the direct costs tied […]
What Is Net Revenue Retention? How It Works & Why It Matters
Most businesses wonder if they’re really growing revenue from existing customers, or just plugging holes left by churn with new sales. Net revenue retention gets straight to the heart of this by showing the full story of customer revenue over time. Net revenue retention measures the percentage of recurring revenue a company keeps from existing […]
Adjusted EBITDA: Comprehensive Guide to Calculation and Value
By Jeff Barrington, Managing Director · Windsor Drake When business owners and investors want to compare companies or figure out true operating performance, the usual financial metrics often miss the mark. One-time expenses and oddball items can really mess with the numbers. Adjusted EBITDA removes non-recurring, irregular and one-time items to give a clearer view […]
Reps and Warranties: Key Concepts, Risks, and Best Practices
By Jeff Barrington, Managing Director · Windsor Drake When companies buy or sell businesses, they want protection from hidden problems and misleading information. Representations and warranties are legal statements where sellers promise that key facts about their business are true. If those facts turn out to be wrong, buyers can seek compensation. These promises cover […]
SDE vs EBITDA: Key Metrics for Business Valuation and Profitability
By Jeff Barrington, Managing Director · Windsor Drake When business owners want to sell their companies or attract investors, they have to decide which financial metric tells their story best. The two big players? Seller’s Discretionary Earnings (SDE) and Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA). Each one fits a different business size and […]
Tech M&A Negotiation Tips
By Jeff Barrington, Managing Director · Windsor Drake The world of mergers and acquisitions (M&A) in the tech industry is a fast-paced and high-stakes environment. Companies merge for various reasons: scaling operations, acquiring innovative technologies, or entering new markets. At the heart of every successful M&A lies the negotiation process, where the terms of the […]
Understanding M&A Due Diligence: A Complete Guide
By Jeff Barrington, Managing Director · Windsor Drake Mergers and acquisitions (M&A) due diligence is a critical process for verifying the financial, legal, operational, and strategic viability of an acquisition. Thorough due diligence helps mitigate risks, align with company goals, and ensure the target business adds value. This guide explores essential components and best practices […]
Tech M&A Deal Structures: Key Types and Considerations
By Jeff Barrington, Managing Director · Windsor Drake In tech mergers and acquisitions (M&A), deal structures are vital to shaping outcomes and aligning with strategic goals. This guide explores the primary deal structures, focusing on when each structure is suitable and the critical considerations for success. Contents Introduction to Tech M&A Deal Structures A deal […]
Key Factors in Tech M&A: A Comprehensive Guide
By Jeff Barrington, Managing Director · Windsor Drake Tech mergers and acquisitions (M&A) are dynamic processes with high stakes and unique complexities. Understanding the key factors in tech M&A is essential for companies aiming to create value, reduce risk, and achieve a smooth integration. This guide explores these factors and offers best practices to enhance […]
The Top 7 Tech M&A Trends to Watch in 2024
By Jeff Barrington, Managing Director · Windsor Drake As we look ahead to 2024, the world of tech mergers and acquisitions (M&A) is poised for an exciting and dynamic year. From the continued rise of private equity to the growing importance of environmental, social, and governance (ESG) factors, the tech M&A landscape is evolving rapidly. […]