Episode description

Andre Ulloa and Doug Walters discuss the importance of having a CPA and an advisor involved in healthcare transactions, specifically in the lower middle market. They highlight how a CPA can ensure the accuracy of financial statements and catch any errors before they are presented to potential buyers. The CPA can also provide insights into operational metrics, such as referral sources, that may affect the valuation of the business. Networking capital is another important aspect of transactions that requires careful analysis and calculation. Additionally, a CPA can help clients understand the tax implications of a sale and navigate any state-specific tax laws. Lastly, they discuss the role of a CPA in responding to quality of earnings analyses conducted by buyers/investors during due diligence. The CPA can provide explanations for adjustments made to EBITDA and ensure accurate information is provided to potential buyers.