Critique my deal
September 18, 2024
by a searcher in Chicago, IL, USA
I am under LOI with a concrete company and wanted feedback on the deal structure, particularly from a financing perspective.
Revenue $14,200,000
EBITDA $3,500,000
Multiple x 4
Valuation $14,000,000
Cash at close $9,000,000
Seller note $2,500,###-###-#### years, 7%, balloon payment)
Seller equity roll $2,500,000
Interested to see what ya'll think. Also, would my deal be of interest to non bank/mezzanine lenders?
Thank you.
from The University of Chicago in Chicago, IL, USA
You will have negative cash flow. in y1.
Multiple is good, actually low. Then why negative CF? Deals of this type require a lot more than just traditional financing.
happy to show the model. DM me.
from Eastern Illinois University in 900 E Diehl Rd, Naperville, IL 60563, USA