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Cash Flow Profiles of Different Business Models
Plus: Why a $5M Deal Isn't Just a Smaller $50M Deal
Derek Avdul
April 07, 2026
Quick M&A Insights, Infographics, & Interesting Info Every Week!
Welcome to the M&A Mindset!
This Week:
This week we’re digging into how businesses consume their cash and how a lower value deal is not the same as a bigger deal.
First, EBITDA leads to cash flow, but what type of business you have impacts how much of that EBITDA actually turns into cash. Then, we break down the differences of a small deal vs. a bigger deal.
Plus, as always: curated articles, practical learning resources, M&A merch, and something to lighten things up at the end.
Let’s dive in.
– Derek
Table of Contents
INTERESTING INFOGRAPHIC
Each week, I feature a visually engaging infographic that distills a key M&A subject area into an easy-to-digest format. These quick reference guides aim to deliver clarity, insight, and practical understanding at a glance.
Cash Flow Profiles of Different Business Models
M&A TOPIC BRIEFING
In this section, I provide a clear, concise overview of a specific topic, trend, or concept within the realm of M&A. The goal is to educate, inform, and spark discussions on relevant subjects, helping you deepen your knowledge and better navigate the complexities of M&A more confidently.
Why a $5M Deal Isn’t Just a Smaller $50M Deal
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ARTICLES OF INTEREST
The Forces Driving M&A on Main Street - Most M&A activity happens in small-business transactions, driven primarily by ownership transitions, entrepreneurship-through-acquisition, and the need for growth, scale, or continuity.
M&A Outlook Continues to Be Sunny in California - M&A activity in the lower middle market is expected to remain strong in California with increasing investor interest and private equity involvement.
Why M&A Always Matters - M&A is a key signal of economic confidence and a driver of growth while also impacting everyday investors and small businesses.
How To Sell The Company You Built Without Regret - Selling without regret requires aligning the decision with personal goals by considering timing, legacy, employee impact, and life after the deal.
The Last Deal You’ll Ever Make - Selling your business is often the most important financial decision an owner will make, requiring careful valuation, preparation, and patience to ensure the outcome reflects the business’s true worth.
EDUCATIONAL RESOURCES
SPREADSHEET TIPS & TRICKS
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GOOD READS THIS WEEK
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FROM THE BENCHMARK BLOG
My firm, Benchmark International, a global, award-winning sell-side M&A company, has a ton of great resources that help anyone considering selling or buying a business get more educated on all aspects of the process. Below is just one helpful article. Check out Benchmark International for many more useful articles, news, and resources.
INDUSTRY ASSOCIATIONS
Trade Associations in the M&A Industry
FRIENDS OF THE M&A MINDSET
From time to time, we’ll highlight newsletters and podcasts we genuinely read, listen to, and respect across M&A, PE, and the broader deal ecosystem.
No paid placements. No mass promotions. Just thoughtful, high-quality content that complements the M&A Mindset.
Here’s a few newsletters that I’ve signed up for and found interesting. Thought you might enjoy checking them out.
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LIGHTEN UP!
In the fast-paced world of M&A, we can sometimes take things (and ourselves) a bit too seriously, so it’s good to remember to enjoy a lighter moment now and then.
Billionaire Brainwaves
M&A MERCH
Here’s a find for us finance folks to grab some M&A-inspired swag. Stuff for those of us that speak fluent EBITDA. If you find others that have great deal-themed gear, send them this way so we can let everyone know. Enjoy!
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Stay Curious,
Derek Avdul
New to the M&A Mindset? This weekly newsletter cuts through the noise with concise insights, infographics, and resources on middle-market M&A—trusted by 5,500+ deal professionals, business owners, and investors. Whether you're planning a transaction, building your expertise, or just fascinated by deals, you'll find something valuable here every week.
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