It has been a while since Insider has checked in with Kalil, how is business? Good to hear from you Dave. Business has been strong. We have had two closings so far in July, and have a few more upcoming shortly. Can you tell us about the deals? Certainly. A […]
Author: Dave Westburg
Dave Westburg on Billboard Lending
Jim Johnsen of Johnsen Fretty interviewed Dave Westburg of Billboard Loans about billboard lending. We’ve reproduced the interview below. Dave, you’ve done a terrific job building Billboard Insider into a great source of information. I enjoy reading it first thing each morning. I feel very honored to sit in your seat […]
Drachman on Recent Outdoor Deals
Max Drachman is a outdoor advertising industry investment banker with Kalil and Co. We interviewed Drachman about about trends in the outdoor advertising M&A market. Max, have you closed any transactions since the last time we checked in with you in early September? Yes, we have closed four more deals […]
Outdoor Valuations September 2016
Public outdoor company valuations shrank slightly during the third quarter of 2016 as this chart demonstrates: Public Company Outdoor Values September 2016 The average revenue multiple for the four public outdoor companies shrank from 3.74 times to 3.60 times. JCDecaux, Clear Channel Outdoor and Outfront trade at a lower revenue […]
Shareholder Agreements and Succession Plans
Billboard Loans has seen a lot of small outdoor companies who don’t have shareholder succession agreements. This is a big mistake. We’ve had two lending clients die suddenly. In each case their company was protected by a succession plan which allowed the business to function without disruption. What should a […]
Avoid the Equipment Leasing Death Penalty
Almost all equipment leasing companies except Billboard Loans have prepayment penalties. Sometimes the prepayment penalties are called yield maintenance clauses. Sometimes the prepayment penalty is a fixed % of the lease amount (5% in year 1, 4% in year 2, 3% in year 3…). The death penalty prepayment clause says […]
The Pros and Cons of Equipment Leasing
Many of you got your start leasing your billboards from Courtesy Finance. Courtesy is no longer around but companies like Geneva Capital write equipment leases. Here are the pros and cons of equipment leases. Pros of Equipment Leasing 100% financing. Because leasing companies understand equipment they will often lend 100% […]
Drachman says outdoor values 8-14 times cashflow
Max Drachman is an outdoor industry investment banker with Kalil and Co. We talked recently with Drachman about the M&A market last week. What transactions have you closed recently Max? So far this year we have closed seven Outdoor deals. Our most recent closing was the Lindmark/Newman deal in New […]
Outdoor Values Are 9-12X Cashflow
I talked with Gabe Oliverio of outdoor investment banking firm Johnsen Fretty about outdoor values. Sounds to Insider like now is a good time to sell your company. Seems like values are 5-6 times run rate revenue and 8-12 times run rate cashflow in the outdoor advertising market. What’s your view? […]
8 Items Your Outdoor Lender Wants
I take at least a phone call a week from a small outdoor company looking for financing. Sometimes the process drags on because the outdoor company doesn’t have the information Insider needs to evaluate the loan request. Here’s the information you should put together before you approach a lender. By […]
