Like, what are the things that you might find in the QOE for this business, a vertically integrated, created baseball bat manufacturing business, that's going to blow up my deal? What should I be looking

for? Yeah.

Yeah.

Yeah, that's a good question.

I think there's a few things I would be looking at.

I mean, one is I think the first thing we all saw was the margins on this business.

And so to really understand that and is that a true margin or is it just inflated by the seller's broker? Because I'm trying to think about what cost will be incurred by this business.

Right, Will? So what that's a quality of earnings report and why do you want

And what about a hard count? When you go to review something like this, would you say if the seller does a hard count once a year, that's enough? Or what would you sort of look for?

Yeah, I would say at least once a year, maybe quarterly for something like this.

And to be honest, a lot of businesses I see like this may not even do a count at all.

Um, so it's really, if they even do it once a year, I'm, I'm happy to see that.

That's, that's great.

Um, that you can, there's one number that's reliable at one point in the year.

Um, so, um, Yeah, and that's on the inventory.

Yeah.

be determined

right he might he looks out he looks at the lot he sees that there's some wood out there it's eighty thousand dollars um But it is interesting, the COGS being free, if it is free, and I'm just trying to think about what other costs are included or does this business incur benefits to get to 376,000 of cashflow because the, the rent is only $1,400 a month.

And then the equipment, you know, that's, that's all should be on the balance sheet, um, and depreciated.

Um, so yeah, Yeah, I don't know.

Payroll is probably a big piece here.

They probably have employees that are doing the chopping, the seasoning the wood and things.

But I'd be curious what the actual P&L looks like for this.

But like Bill just said, there are some times that it's such a killer that it can also unlock like creativity like that.

So maybe take a minute and tell us all about the, uh, the Will McCurdy current venture and journey to get here.

Yeah, definitely.

So I'll give a little bit of background about myself before diving into Bedrock, but, um, I'm a CPA.

I started my career in the Big Four doing financial statement audits.

Um, I love numbers.

I love number crunching.

That's what I've been doing my whole career, and the last five years, I have been working at a- another large national accounting firm focused primarily on quality of earnings and financial due diligence engagements, and our clients were mostly private equity firms, um, uh, on deals from 50 million up to a few hundreds of millions of dollars.

Will, how would you go about doing the financial diligence on this? Like, what would be the process and what questions would you have?