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What exactly is EBITDA, and why do business owners, buyers, investors, and lenders pay so much attention to it? In this Quick Hit from The Biz Show, Barry breaks down EBITDA in plain English, what the acronym stands for, how it is calculated, and why it can provide a clearer picture of a company's operating performance.
Whether you're running a business, preparing to sell, raising capital, or evaluating an acquisition, understanding EBITDA is Business 101. Learn why EBITDA matters, how it differs from net income and cash flow, and why simply having revenue doesn't tell you what a business is really producing.
