The Step-by-Step Process of a QoE Engagement
In U.S. business sales, a Quality of Earnings (QoE) report is often the difference between a smooth closing and a deal breakdown. It provides transparency and builds buyer trust.
The QoE process includes:
Data Collection – Gathering tax returns, financials, contracts, and management reports.
Adjustments & Normalization – Removing anomalies and one-time events.
Revenue & Expense Review – Analyzing recurring earnings and profitability trends.
Risk Assessment – Identifying red flags or hidden liabilities.
Final Report Delivery – A trusted, independent report buyers can rely on.
Seller’s QoE Checklist (U.S.):
3 years of financials and tax filings
Monthly management accounts
AR and AP aging reports
Debt schedules and credit agreements
Customer, supplier, and lease contracts
Operating forecasts
The value:
By preparing these documents in advance, sellers save time, strengthen buyer confidence, and often secure a higher sale value.
At Aspen Valuations, we deliver comprehensive QoE reports that align with U.S. transaction standards