Quality of Earnings Report Portside Valuation provides independent Quality of Earnings Reports for SBA lending purposes.
In addition to a business valuation, the Small Business Administration will require a Quality of Earnings Report for businesses with a purchase price of $3 million or more in a Business Acquisition transaction, not including partial ownership sales or ESOP sales. This new requirement is scheduled to take effect on October 1, 2026.
As a former business banker, Mike Size is determined to create a streamlined process to make this transition as smooth as possible for lenders and clients.
Quality of Earnings Process
Step 1: Call or email for more information, a price and date of completion (406) 493-1651.
Step 2: You will receive an email response with the information we need to begin the quality of earnings report.
Step 3: In addition to the due diligence normally provided for the valuation, Portside will further analyze the company's financial history to look for trends and consistency in historical earnings, adjustments, and add-backs. Completed reports will include a Proof of Cash and Debt Service Coverage. The quality of earnings report shows a more accurate view of how a company should generate revenue into the future.
Step 4: The business valuation and quality of earnings report will be emailed to you by the due date (hard copies mailed by request.)
