One hour modeling test for lower middle market fund
I've got a modeling test coming up for a lower MM PE fund. I have one hour and fifteen minutes and it is onsite. Any ideas what I will be up against? Currently in middle market IB and have built many lbo models in the past. Can run through a paper LBO in 20 minutes. Just worried that it's something more complicated than we typically build.
If it's only ~ an hour it will probably be very straightforward. All the 60-80m LBO tests my friends and I have come across were template based, 100% cash sweep LBOs
It's possible that you could have to do it from scratch in that time- always be prepared for that possibility. That being said, it won't be anything too crazy. I would plan for basic sources & uses, income statement, FCF calculation, debt schedule, interest expense and exit in year 5 with sensitized returns. Likelihood of a 3-statement model in that time will be unrealistic.
Velit provident sint sit assumenda earum. Nobis facere repellat ullam ipsa enim.
Voluptates nisi saepe quia. Libero tempora est nisi reprehenderit. Eos vitae corrupti aperiam autem quia quia.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...