In this episode of Venture Journey, Pamela Miranda, Director at First West Capital, shares her views on management buyouts (MBO). Pamela highlights how MBO differs from LBO (Leveraged Buyout), with debt being a common denominator and various aspects that management should consider before planning a buyout, especially the cash flows. We also discuss how bridging the skill gap is a crucial factor that needs to be considered by the management when any key shareholder(s) departs from the company.