Embarc Advisors

💡 Lessons from Macy’s $150M Incident – Insights from Embarc Advisors Our managing partner, Jay Jung, shared his expertise with Inc. Magazine's Brian Contrerasto unpack the shocking $150M accounting mishap at Macy’s. 📊 Three critical lessons for business owners: 1️⃣ Reconcile your balance sheet regularly. - Is uncollected AR piling up? - Are deferred revenues increasing? - What’s happening with prepaid expenses? 👉 Understand your balance sheet (in addition to the P&L) to avoid surprises. 2️⃣ Audits don’t guarantee everything is fine. - Many business owners think their books are clean—until due diligence uncovers issues. - “Purchase price adjustments” like debt, debt-like items, and net working capital changes can be shocking — 𝐚𝐥𝐥 𝐛𝐚𝐥𝐚𝐧𝐜𝐞 𝐬𝐡𝐞𝐞𝐭-𝐫𝐞𝐥𝐚𝐭𝐞𝐝 𝐢𝐬𝐬𝐮𝐞𝐬. 3️⃣ The accounting talent gap is real. - If public companies like Macy’s face such challenges, imagine the strain on SMBs. - This incident underscores the importance of robust financial practices and the critical need for quality accounting. - Read the full story here: Inc. Magazine Article #Accounting #FinancialManagement #EmbarcAdvisors #BusinessGrowth #Entrepreneurship

Our Managing Director, Philip Alberstat, appeared on Live Now from Fox where anchor Austin Westfall asked him to share his thoughts on the recent Google Federal Antitrust Lawsuit. The Department of Justice has ruled that Google illegally monopolized the search market through exclusive deals. Some of the key takeaways from the discussion were: 👉 Industry Implications: This landmark decision is set to reshape the operations of tech companies, emphasizing the need for compliance with antitrust laws and potentially fostering increased competition and innovation. 👉 Regulatory Precedent: The ruling confirms that U.S. antitrust laws can effectively address monopolistic behaviors in the tech sector. 👉 Enhanced Enforcement: The DOJ’s commitment to ensuring fair market practices aims to protect consumer interests. 👉 Impact on Google: Google may need to revise its business practices, which could affect its market strategies and partnerships. Do you think Google is a monopoly or just has the best search engine? Link in the comments below: ⤵

It's been an interesting year for M&A in IT MSP/IT Services. 2023 seems like a down year, but the deals are actually still very robust compared to historical standards. Here's a quick look at what we've seen: 👉 Larger deals have been impacted more (down 40-60%). 👉 Lower middle market is still VERY active. 👉 Strategics are gaining market share back (~40% of deal volume). High-quality deals are going through while fixer-uppers are becoming increasingly difficult to execute. Q4 activity is already picking up. As we head into 2024, quality will still matter. The cost of capital will keep the emphasis on minimizing risk. We also expect to see the buyer universe continue to diversify. What do you think is coming in 2024 for #ITMSP and #ITServices M&A?