How to Structure an Earn Out and Avoid Big & Expensive Mistakes
Todd Taskey is an investment banker and M&A Advisor at Potomac Business Capital, a company focused on helping businesses with company evolution, exit planning, and M&A investing. Before joining Potomac, Todd was the Principal (Certified Financial Planner) at Solutions Planning Group, Inc. Todd is an Angel Investor for many companies including Zoomph, StreetShares, and LiveSafe.
In this episode…
What are the advantages and disadvantages of setting up an earn-out for your business acquisition? How can you make sure you don’t lose money in the process?
Investment banker and M&A Advisor at Potomac Business Capital, Todd Taskey, talks about how to avoid the common pitfalls that can happen when structuring an earn-out. With Dr. Jeremy Weisz of Rise25, Todd discusses the criteria for a successful earn-out, tips for negotiating with a private equity firm, and the Waterfall principle of acquisition.