Test Your Model in Less Than 60 Seconds

Entry Assumptions

Valuation

Entry EBITDA Multiple
8.0x
Purchase Price
$m

Purchase Price Sources

Debt
%
120
Interest Rate
%
Equity
40%
80
Total
100%
$200m

Operating Assumptions

Revenue Year 1
$m
Revenue Growth Rate
%
EBITDA Margin
%
Depreciation & Amortization
$m
Tax Rate
%
CapEx
%
Change in NWC (% of Revenue)
%
How to Use the LBO Builder
  1. Enter Purchase Details:
    • Input the total purchase price
    • Adjust the debt percentage and interest rate
    • The equity amount will auto-calculate
  2. Set Operating Assumptions:
    • Enter Year 1 revenue
    • Set growth rate expectations
    • Input EBITDA margin targets
    • Adjust D&A, tax rate, and working capital
  3. Generate the Model:
    • Click "Generate Model" to see projections
    • Review the 5-year financial forecast
    • Adjust exit multiple for different scenarios
  4. Analyze Returns:
    • Check the IRR and equity multiple
    • Review cash flow generation
    • Assess debt paydown capacity

Pro Tip: Use the "Apply Straight Line Assumptions" button to quickly populate growth projections with consistent rates.

Exit Assumptions
Exit EBITDA
$60
Exit EBITDA Multiple
x
Ending Total Enterprise Value
$480
Capital Structure
Purchase Debt
$120
Total Free Cash Flow (FCF)
$55
Net Debt
$65
Return Profile
Ending Equity Value
$415
Purchase Equity Value
$120
MOIC
3.5x
IRR
35%