The Importance of Add-Backs to Business Valuations and Future Exits

09/09/2025 42 min Episodio 38
The Importance of Add-Backs to Business Valuations and Future Exits

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Episode Synopsis

Coleman Payne from Viking Mergers discussed the importance of add-backs in business valuations and future exits. Add-backs normalize cash flow by adjusting for non-recurring expenses and owner decisions, such as capital structure, depreciation, and owner salaries. Viking Mergers, with 17 offices across the U.S., helps small business owners maximize their exit value. They emphasize the need for clean financial records, consistent revenue reporting, and accurate bookkeeping. QuickBooks users can leverage class tracking to easily manage add-backs. Payne highlighted the importance of trust and accurate financials to ensure a successful exit process.