Insights

Private Equity Fund Structure

  • Peter Lynch

Private equity funds are closed-end investment vehicles, which means that there is a limited window to raise funds and once this window has expired no further funds can be raised. These funds are generally formed as either a Limited Partnership (“LP”) or Limited Liability Company (“LLC”). The advantages of these structures for a private equity fund are as follows:

Continue Reading

Commission Structure & HLOOKUP Practice

  • Peter Lynch

I recently developed a quick template to look at potential commission structures for a business with customer concentration and large contracts. I thought a simple version of the Excel workbook would provide some decent Excel formula practice.

Continue Reading

Excel: =OFFSET() vs. =CHOOSE()

  • Peter Lynch

The two most commonly used functions for scenario selection are =CHOOSE() and =OFFSET(). The =CHOOSE() function is the simpler of the two, and is sufficient for most simple scenario analysis. If, for example, you only intend to run three scenarios, then you may prefer =CHOOSE(). This function can cause frustration, however, if you are constantly adding or deleting the number of scenarios in your model. The reason is that it requires you link directly to the scenario. The image that follows demonstrates:

Continue Reading

Aswath Damodaran Interview

  • Peter Lynch

I generally find it difficult to listen to long interviews and podcasts. One recent exception to this is an interview with Aswath Damodaran titled “Aswath Damodaran on the Art of Corporate Valuation” (click on the link for the interview).

Continue Reading

Business Dashboard for Online Startup: ASimpleModel.com

  • Peter Lynch

We are making baby steps towards profitability at ASimpleModel.com! This month revenue covered all fixed expenses excluding web design / development efforts and my time. A small victory, but it was exciting nonetheless. The most recent installment walks through these updates, and demonstrates how quickly you can update a business dashboard once you have one built. For those that are interested I have included an image of the business dashboard at the bottom of this post.

Continue Reading