Earn-Outs Explained | Why Buyers Use Them in Business Sales | EIN Business Brokers (EINBB) | Enterprise Industry Network (EIN)
Earn-outs are common in business sales, especially when buyers and sellers have differing expectations about future performance. While they can bridge valuation gaps, earn-outs also introduce post-closing risk. In this video, EIN Business Brokers (EINBB) explains how earn-outs work, why buyers use them, and what sellers must evaluate before agreeing to this structure. What Is…
