The sample spread

Harrow Creek Mechanical is a fictional HVAC company, built to show what a seller's discretionary earnings (SDE) Recast actually looks like once it is run: three years of tax returns spread out, the broker's SDE, and the buyer-side number next to it, with the gap between them explained line by line. A CIM (the broker's confidential information memorandum) is not required to see this; it only takes the tax returns.

What the sample shows

Three years of the business tax return, spread line by line, side by side
SDE as reported by the broker's CIM
SDE excluding clearly one-time items
The buyer-adjusted SDE, with every adjustment shown separately
The seller bridge: the line-by-line walk from the buyer-adjusted number back to the broker's original number

See the worked example

The worked sample lives in the demo room, inside a real Diligence Room on the same fictional deal. Sign up free to open it.