Im evaluating NPV, IRR and payback. If we are buying a portion (60%) of the company, should I consider only 60% of the cash flows for the evaluation of the metrics of the DCF?

like
Posting as :
works at
You are currently posting as works at

I would say yes but no. Consider 100% of the cash flows and then consider your share of them accordingly just like you would when buying a stock.

like

No

The company has to be valued in its entirety (100% of the cash flows) for the DCF. The % stake of the equity value is calculated after.
For the IRR analysis you take into account the 40% entry equity value, cash flows associated to these shareholders during the period (40%, assuming these are fully distributed ) and the 40% exit equity value.

Yes exactly, my mistake.

like

Related Posts

Mortgage rates are quite low. Are you guys buying homes? If so, where are you buying?(assuming we are in endless remote work situation) Good real-estate investment places?

likehelpful

Has anyone invested in cask of whisky before? What was your experience? Did you make a good ROI? If yes in what duration of time?

like

I live in California, and the taxes are pretty high. Has anyone done the Cali -> Texas move, and would you recommend it?

like

So I have have been investing and saving money since I was 18 at least 500 a week now I’m 30 and have about 312000 saved I was looking to buy 5 acres of land to have a rv storage and charge 500 to 643 a month what you guys think! It’s about 350 units x 500 a month each

like

Any Recs for a HYSA that I can set up as joint with $26,000 that has debit card attached and low fee transfers if I need to move money around?

To buy or rent (in LA)? I’m sick of shitty landlords and feeling like I’m throwing money away every month. But how do I know when it’s financially time to buy? 85k salary. No debt. 15k cash. 33k in Roth IRA. 22k in investments/saving for down payment.

like

I have a 5 year car loan with a 1.9 APR that I can repay by next year (in a year) if I increase my monthly payments. I would like to start saving up for a house down payment. Is it better to save up for a house now and pay off the car loan in five years since the APR is decently low? Or should I repay the car loan by next year?

like

First year in consulting, is it worth purchasing a car this early? I’m living at home and about a 45 minute car ride away from my home office. Any suggestions? What have you done?

like

Running the numbers, and even if you have med school debt still I think it could still make sense to invest in the market at these low levels. Could provide returns above your interest rate

like

Hi FIRE 🐟 thinking to buy my first house next year and I’ve read advice here that says to buy the first property and then rent it out (and put little down), but given the current high interest rates, if I put little down, the mortgage will be really high. I also live in a HCOL area so is this advice for LCOL/MCOL or am I missing something? Advice is appreciated!

like

Are there any flexi benefits in the payroll management system to get the tax exemptions in BA Continuum?

I feel like I've been living under a rock for ~5 yrs. I was happy and blowing off money with the thinking that I'll start saving once I start earning more.

Just realised that could've started early. I'm in mid 20s and thinking about investment. Tried watching YouTube videos. But I have pretty basic questions :
1. Where do I even start?
2. What %age of income should I invest?

I hope I'm not late.

like

Guys.....

any guess how much it would cost to have 1rk or 1bhk flat i this area?


1st Main Rd, 8th Block, Jayanagar, Bengaluru, Karnataka 560082

like

America is screwed up: if you have a kid with someone that's over 65, the 65 year old will get social security and the kid will get the same social security payment till they are 18?!? WtF!

Can I open a new roth ira without directing contributing to it, even tho I make over the income threshold? I need to close my current one because of the residency requirement and also rollover my roth 401k

like

Hello folks, any credit card suggestions with good benefits and cash-back? Please advise. TIA

like

I want to hit six figures this year, but I’m about $24,000 short - what are side jobs that you guys have done to supplement your 9-5 income? I need some inspiration- my work background is restaurants, reselling clothes(I love thrifting) & prop mgmt

like

Leisure travel is still a bit out of my budget, but I’ve gotten a lot of points from referring friends to my travel credit card by making a post on Facebook. That feels like a once and done opportunity. Does anyone here have tips on getting large amounts of credit card points to use for travel?

like

Avoiding US fishes who live in a different reality. How do the london fishes earn (level, company). What % are you able to save monthly?

My own
~10 years total with ~2 years consulting
Pay 100k base + bonus
Realistically saving 40% net take home for house in future

like

More Posts

Any suggestions for how to get into a consulting position? I am seeking a medical device consultant role. Not sales, rather teaching, training, consulting. I’ve been contacted by a few consulting companies that match up an “expert” with the company that needs consulting. However, these are few and far between. Love to make it a permanent gig.

How long did it take for your s/o to invite you as a plus one to hangouts and events? Been in a defined relationship for 6mo now and I still don’t get invited. I invite her to almost everything because she’s always welcome to be my plus one for events deemed appropriate. And if she doesn’t want to go, cool. I don’t expect to be invited to everything, but I get invited to anything

like

No one:
Me: I think we should stop saying FAANG and call them MAANG or MAANA.

like

Can anyone help me with Honest Reviews, good and bad for working in Flipkart Operations Team. Specifically Last Mile Operations as a manager or above ? Flipkart

Commercial finance / strategic finance exists, how did you find the move?

like

Appropriate salary ask for a CW in NYC?

like

Producer on set: “OK, so what you’re basically asking is...how can we spit-roast this bottle?”

likefunny

I’m dying to go in-house. Any advice/tips/help/connections/anything? I’m located in NYC!

like

What’s your gender, age, & city? After dropping your info, respond to others in your area

like

Anyone interested in learning more about conversational AI automating the customer and employee journey?

Motivation is so much needed.
My fellow, I think I’m drained. It has become very hard to make it to work. I have no motivation, feel disconnected and stagnant. I do not know how to get myself back on.

likehelpful

Hi All,
What is Talent market place in Cognizant ,How to use it in a better way,Is there any criteria of TMP if yes what are they ?..

like

Is getting an ICF certification really with it? Pros and cons, please.

like

Hello everyone, I work with GM as Production Group Leader/ Production Supervisor. I am looking to switch. I have masters in manufacturing engineering. With my profile which roles I should be aiming at ?

like

Does BCG Dallas do any PIP work?

like

Is ncino considered a good skill to have ?

like

How do i know which cost center code i am? I’m trying to enter time for virtual DLaunch, but not sure which CED code to use

like

How much does a product developer for a commercial insurance company make?

like

Hi folks, I have joined GDS in Nov 2021. Am I eligible to get hike and variable pay (bonus) for this year ? What is the minimum percentage annual hike and bonus GDS gives.

like

Additional Posts in Investment Banking - IBD

IBD New hires: how long is the timeframe from date of written offer to first day of work?

like

How is Wedbush viewed as on the street? What are their strengths and weaknesses?

like

Do middle market mezz lenders still tend to get equity warrants on most deals these days?

like

London-based bankers: how often do you work past midnight? At what type of bank are you (BB, mm, etc.)? I'm thinking of lateraling at the analyst level. OK working quite long hours but I want to avoid all-nighters

like

Would it be possible to start a small VC fund as an analyst in IB. By possible I mean would compliance allow for that? If anyone has tried it

like

Differences between Europe and US in IB?

like

Does anyone’s firm let you coninvest on the sell side? I’ve seen heard of this happening at smaller firms but curious how common it is and what the logistics are for contributing to the deal

like

Im 26 years old and have a series 66, and series 7. I am wanting to get into investment banking. I have 2 years of advisory experience as a high performing financial advisor. Where should I look to get into IB and what salary can I expect?

like

What platform does Brian from BIWS use for his online courses? Wordpress? Curious because I’m thinking of creating online courses too (different niche) and I really like how BIWS functions.

If you have success selling online courses/digital products, would be interesting to hear about your experience.

like

Anyone here working within IB in Copenhagen? I am most likely starting my master’s in finance at CBS this fall and am extremely eager to land a part-time analyst role.

like

Anyone looking for more liquidity with the stocks they currently have? If you want more information on non recourse leverage stock loans, contact me.

like

What is latest on front office return to office in NYC? European BB - no change yet from previously announced butts in seats post-Labor Day, 5 days a week. No change to mask guidelines either.

like

Is it okay to get completely ghosted by IB firm after multiple rounds of interview?
HRs just do not respond to any emails.
All interviews went well

like

Anyone know anything about Houlihan’s Boston office? Sweaty?

like

What are some good questions to ask the interviewer during/at the end of an interview? (For entry level positions, if that is relevant)

like

Kind of off topic but how often do you all check your personal bank account for money management purposes?

like

Any advice, what to expect from a technical interview for a SR. Manager position at AMEX? Fraud & Credit Risk. Im trying to leave IB/IWM so any help is greatly appreciated.

like

A coworker of mine briefly mentioned that it’s the absolute size of short positions that matters, opposed to the relative size. Was she right?

like

hi! I have a first round interview for an Advisory and Financing IB role at a French bank (super happy bc it’s my dream role)
How should I prepare? Any advice regarding the behavioral and technical part is highly appreciated! ❤️ Thanks

like

Do you guys ever feel like our lives are a series of Saturday’s owing to IB? I get torn between taking time to myself and maintaining my social life, too much to cram into one day.