The Importance of the Owner’s Cash Flow When Buying or Selling a Business
Updated July 2026. Owner’s cash flow, usually measured as seller’s discretionary earnings or SDE, is the number most private business sales are priced on. It starts with net income and adds back owner compensation, benefits, interest, depreciation, and one-time or discretionary expenses, showing what the business truly generates for one owner-operator. When it’s time to […]
The Importance of the Owner’s Cash Flow When Buying or Selling a Business Read More »
