Paper LBO Test — 30‑Minute Template (Printable)
2025-08-21
Technical
LBO
• 1 min readA time‑boxed template with steps, common pitfalls, and a graded example.
Template + pitfalls
Use a simple scaffold: sources/uses → cash flows → debt schedule → returns. Allocate 5 minutes for structure, 20 for math, 5 for checks. Write big, label units, and keep a running list of assumptions to reference in Q&A.
Common mistakes
- Ignoring working capital and maintenance capex
- Mixing enterprise and equity value in bridges
- Not reconciling cash to debt paydown under covenants
Download the printable in the app: Download the 30‑minute LBO template. For more worked examples, see IB Technical Drill‑Downs.
30‑minute plan (at a glance)
| Step | What to write | Time | Checks |
|---|---|---|---|
| Sources & Uses | Equity, debt, fees; EV→Equity bridge | 5 min | Units, bridge ties |
| Operating Case | Revenue, margin, WC, capex | 10 min | Growth vs margin realism |
| Debt Schedule | Tranches, rates, amort/paydown | 5 min | Cash flow ≥ required amort |
| Returns | Entry/exit, MOIC/IRR | 5 min | Sensitivity note |
| Review | Circle assumptions + 1 risk | 5 min | Tie cash to paydown |
Downloads
Get the 30/60‑minute printable templates and a graded example here.