As part of Deal Execution week, on Monday I promised you a piece on the criticality of forecasting cash flows at this point in the process.
Well, that post is SO important that I decided to reveal it on Friday as the crown jewel of our theme week.
So today I’m talking to you about another part of the deal execution process — the legal contracts that you’ll be asked to sign when purchasing a business…
In particular, the contract with your financier or lender (if you have one.)
You see, your lender will want you to ensure you have a minimum cash balance and EBITDA in the business at all times so they know they’ll get paid.
If not, well… prepare to pay the piper. Watch today’s video to learn more.
Next time, I’ll teach you how to make sure you forecast those minimum levels accordingly
Until then, bye for now.