Thoughts on a fair working capital ratio for APA

by an intermediary from Ohio State University

1 year ago

For all my broker colleagues, trying to come up with a current market working capital ratio for my seller. and the APA. Thinking 1.2x to 1.3x is reasonable. What are people seeing these days?

Thanks Much!

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22 comments

searcher

Great question. Always try to negotiate working capital in the front end. The past###-###-#### months of the P&L will give you an idea of how much working capital you will need.

4 months ago | like reply | 1 like

searcher from Pennsylvania State University

following

1 year ago | like reply | 0 likes

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