📊 How much is your MSP really worth? The answer is more complicated than most owners think—and getting it wrong can cost you millions.

In this episode, we break down the real financial mechanics behind selling a business, including EBITDA, adjusted EBITDA, and why those numbers alone don’t determine your valuation. Many founders rely on simple formulas, but buyers look deeper—analyzing recurring revenue, growth trends, staffing structure, and future potential.

💰 One of the biggest mistakes? Assuming your current earnings translate directly into value. In reality, buyers often adjust those numbers—sometimes downward—based on risk, missing investments, or operational gaps.

⚠️ The key takeaway: valuation is not just about what you made—it’s about what a buyer can do next. If your business doesn’t show clear growth or predictability, expectations and outcomes won’t align.

🔥 Top 3 Highlights

• 📊 EBITDA Isn’t the Full Story: It’s just the starting point
• ⚠️ Adjusted Numbers Matter: Buyers often recalculate your value
• 🚀 Future > Past: Growth and predictability drive real valuation

🔷 About Cogent Conversations

Cogent Conversations is a straight-talk podcast focused on IT mergers and acquisitions for Managed Service Providers (MSPs) and technology services firms.

Hosted by Rick Murphy, CEO of Cogent Growth Partners, the show dives deep into the realities of MSP growth, valuation, acquisition strategy, leadership transitions, and exit planning. 💼📈

This is not theory. It’s practical, real-world insight from years of buy-side and sell-side experience in the IT services space.

Whether you're:

✔️ Scaling your MSP

✔️ Preparing for a future exit

✔️ Exploring mergers or acquisitions

✔️ Looking to increase EBITDA and enterprise value

Cogent Conversations delivers clarity on what buyers actually look for — and how to run your business today so you’re ready tomorrow.

If you’re serious about growth, valuation, and long-term strategy in the MSP industry, this podcast belongs in your regular rotation.

🎥 YouTube: https://www.youtube.com/channel/UCfQZUgOM_11e6AHcS-dlqYg

🌐 Web: https://cogentmergers.com/

🔗 Company LinkedIn: https://www.linkedin.com/company/cogent-growth-partners-llc/

👤 Rick Murphy LinkedIn: https://www.linkedin.com/in/ramurph/

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