You're likely familiar with the term "EBITDA."
But what is EBITDA, exactly? And how can it affect your business?
This article is for business owners, CFOs, or strategic finance (FP&A professionals) who want to use EBITDA to understand their company's profitability.
In it, you'll learn:
- Two ways of calculating EBITDA, plus a few bonus tricks
- How to use EBITDA to compare apples and oranges
- Why Warren Buffet doesn't like this certain metric, and what to use instead