In this episode, Sean Smith (Managing Partner at Search Fund Ventures and CEO of SMB Investor Network) sits down with Caleb Basile, CPA and founder of QoE Prep, a firm specializing in fast-turnaround buy-side Quality of Earnings (QoE) reports for the lower-middle market.Caleb breaks down what investors and operators *really* need to understand about revenue quality, working capital, and cost structure when evaluating a small business acquisition. He shares frameworks for assessing recurring revenue, customer concentration, revenue recognition, and the risks of owner-driven sales. Caleb also highlights red flags in working capital manipulation and the most common missteps in gross margin diligence.Whether you’re an investor backing searchers or a buyer diving into diligence, this is a must-watch breakdown of how financial quality drives deal outcomes.👉 Subscribe for more interviews like this.💬 Leave your takeaways or questions in the comments.🛜 Connect with Caleb:- Caleb Basile LinkedIn: https://www.linkedin.com/in/qoeprep/- QoE Prep: https://qoeprep.com/quality-of-earnings- Contact Caleb: [email protected]🛜 Connect with SMB Investor Network:- Sean Smith LinkedIn: https://www.linkedin.com/in/sean-smith-47ab2a70/- SMB Investor Network: https://www.smbinvestornetwork.com/