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Own It · Monet Business Simulator

Is that offer actually worth it?

Put your offer, the earnings and the financing in one place and see what is left after the debt, your pay and the capex. Basic simulations are free. This fictional case is for education only. It is not an appraisal, lending decision or recommendation.

The deal

Verdict at these inputs

Workable on these numbers

Coverage and cash cushion both look reasonable at these assumptions. Diligence is what turns assumptions into facts.

Price multiple

3.00x

Debt coverage (DSCR)

1.58x

Cash needed at close

$180,000

Annual debt service

$183,959

Cash flow after debt & tax

$79,531

Cash-on-cash return

44.2%

Payback on your cash

2.3 years

Earnings cushion

27%

What Monet would flag

  • Nothing structural jumps out at these inputs. Verify the earnings in diligence before you trust them.
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Scenario Lab

Five invented cases, each one built around a pattern that catches buyers out. Read the facts, name the flags you see, choose the questions you would ask and say what you would do. You are scored on working the case through and on the flags you spot — never on the decision you take, and never on how much risk you are willing to carry.

Every business, owner and number in the Scenario Lab is invented for teaching. Nothing here is a listing, a valuation or advice about a real deal. This fictional case is for education only. It is not an appraisal, lending decision or recommendation.

Strong cash flow, one very large customer

Cash flow can look excellent and still sit on one relationship.

Asking price
$1,450,000
Reported SDE
$430,000
Revenue
$3,100,000
Largest customer
62% of revenue
  • Bayou Pallet Works (fictional) is a pallet repair shop the owner started 14 years ago.
  • One regional grocery distributor is 62% of revenue and has been a customer for nine years, on a contract that renews annually each March.
  • The next four customers together are 21% of revenue; the rest is walk-in work.
  • The grocery distributor was bought by a national group last year; the buying decisions now happen at a head office in another state.
  • Margins on the big account are three points lower than the rest of the book.

Change any assumption up top and run it again — that is the point of the case.

What would you flag in these facts?
Which questions would you take into diligence?
On these facts, what would you do next?

Not scored. All three are defensible on a case like this.

Explanations stay hidden until you submit — reading them first would teach you nothing.

Checking your access…
Checking your access…
Educational guidance, not personal advice. Outputs are illustrative, may contain errors, and should be independently verified before material decisions.

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