Tools

Screen a deal before you fall in love with it

Twelve checks from the stage-6 playbook, applied to the deal in front of you. Answer honestly — the screen only works if the wishful thinking waits outside. Nothing is stored or sent anywhere.

Financial

Largest customer's share of revenue?

Under ~15%15–30%Over 30%

How do the add-backs read?

Few and defensibleAggressive but arguableEarnings collapse without them

Revenue over the last three years?

Flat to growingOne down year, explainedDeclining without a story

Quality of the financial records?

Clean books, tax returns matchMessy but reconcilableCash-heavy and unverifiable

Does it cover debt service at the asking price (run the calculator)?

Covers with roomCovers thinlyDoesn't cover at the ask

Operational

How central is the owner day-to-day?

Manager runs operationsOwner-led with a real second layerThe owner is the business

Key employees and their flight risk?

Bench with tenureOne critical person, likely staysOne critical person, likely leaves

Licenses or certifications the business needs?

None, or ones you holdObtainable within monthsTied to the seller, hard to transfer

Premises and lease situation?

Long lease or relocatableShort lease, cooperative landlordLocation-critical with no lease security

Deal dynamics

Does the stated reason for selling hold up?

Verifiable (retirement, health, relocation)Vague but plausibleStory keeps changing

Seller's pace?

Deliberate and responsiveSlow but engagedRushing you past diligence

Seller's willingness to support the transition?

Committed in writingVerbal willingnessGone at closing

0/12 answered · 0 kill · 0 flags

Clean screen — move with normal diligence discipline

No screen replaces QoE and legal review — but nothing here says stop. Speed is now your advantage.

A screen is not diligence — real deals still earn QoE and legal review. Companion reading: Stage 6: Screen & value · financeability check: SBA calculator.

The searcher's map to buying a small business.

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