Negotiating Net Working Capital Adjustments in M&A – Definitions and How to Calculate

FinanceKid
FinanceKid
17.5 هزار بار بازدید - 3 سال پیش - What is net working capital
What is net working capital (NWC) and why are adjustments required in an M&A transaction? How do you determine the average working capital required for a business? If a business is declining or growing quickly, what are the best methods to calculate a working capital target? How do you negotiate a fair working capital adjustment? At what stage of the process do you begin to negotiate and analyze working capital trends?

In todays’ video we will review the high level definitions of net working capital and understand the process of calculating net working capital using a formulaic and process-oriented approach best suited for small and mid-market businesses. We will also walk through two case studies and discuss the M&A process and timing in terms of when to begin negotiations.

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If you have any other questions, please comment below. If you enjoyed the video and found it helpful, please like and subscribe to FinanceKid for more videos soon! If you want to reach out, contact me at;

[email protected]

If you are looking to sell your business and would like to learn more about Roblee Capital, please reach out to me for an introductory call. You can contact me through email or through my LinkedIn at;

LinkedIn: robert-be..

Roblee Capital is a Toronto-based M&A Investment Bank focused on serving companies with revenues between $1MM to $100MM primarily offering sell and buy-side M&A services. We work with Canadian-based business owners looking to sell their lower mid-market business. If you are a Canadian business owner looking to sell or buy, please reach out so we can connect at the link below:

https://www.robleecapital.ca/
3 سال پیش در تاریخ 1400/08/25 منتشر شده است.
17,534 بـار بازدید شده
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