Exploring search - some excel analysis
October 24, 2024
by a searcher from University of Sheffield in London, UK
I have no idea if this will be useful to anyone, I have only recently learnt about search funds and was doing some basic analysis on the economic model. I was trying to gauge under what circumstances I would be worse off vs. maintaining my corporate career and consider how much equity I would require for different sized transactions. Being so new, I'm sure there will be a few things I've messed up (let me know if you see anything). but as a simplified model of the potential economic outcomes of an investment I don't think it will be too far off.
I created it in a flexible manner, and anyone who wants to tweak the scenarios or outcome weightings to what makes sense to them, or that they're seeing in the market can do so and get a something similar to a Net Promoter Score.
Anyway, as a new member to a community, I thought I'd share. I hope it's helpful to some.
https://tobybishop-my.sharepoint.com/:x:/g/personal/email_tobybishop_co_uk/EZCn8sVLhmpGtW_DGiJl0OMBdM5EgjictxE1zbtFbBWoKw?e=Etozzb
from The University of Chicago in Chicago, IL, USA
Clearly, you have mastery of Excel. I did not know about the RoundDown function. And do not understand the Sequence function for quick table creation.
The model is great for what if analysis.
Unclear about taxes, how is DSCR is calculated, what happens to interim cash flow, working capital, etc., Also, "Hold period" and debt amortization seem to be the same. Very often these are different.
from Imperial College London in London, UK