Franchising & Real Estate | Second Life Method Podcast FRE | 2LM

“EBITDA” | Exactly How Much Net Profit Does Your Business Make?


Listen Later

What on Earth is EBITDA? It’s an accounting measure that’s calculated using a company’s earnings before interest expenses, taxes, depreciation, and amortization are subtracted as a proxy for the company’s current operating profitability. This has become a very popular form of measurement for valuing investments over the last 20 years. What did the owner make after ALL the vendors got paid? Join Kelly to hear more about this concept today. 

  • EBIDTA fails to account for all earning potential 3:00
  • Selling his first business 8:00
  • Don’t worry too much about it 15:30

“Just know what EBITDA is, but be armed with the knowledge that there are legitimate people out there who think it’s total BS. I think a little bit of both is probably a healthy way to look at that. Don't measure all your investments with it, but don’t ignore it entirely.” 15:50
...more
View all episodesView all episodes
Download on the App Store

Franchising & Real Estate | Second Life Method Podcast FRE | 2LMBy LaunchPod Media inc.

  • 5
  • 5
  • 5
  • 5
  • 5

5

5 ratings