Financial diligence for small-business buyers

Check the seller's earnings before you make an offer.

In our fictional example, $180,000 of add-backs lack support. At the stated financing assumptions, the $2.4M asking price is about $287,000 above the modeled purchase price at 1.25× debt coverage.

Sergei Mochtchenkov, CFA, reviews the seller's earnings, checks each add-back against the documents you provide and models debt coverage. Get a written Deal Screen and a 30-minute review call. Flat $750, within 3 business days of complete documents.

Start the $750 screen Book a free fit call

See the sample report · free call covers fit and availability · full refund before work if it isn't a fit

Every engagement is done by Sergei Mochtchenkov, CFA. Charterholder since 2016 · 5.0 from 135 Upwork reviews (finance and modeling work) · 304 jobs · check the record

Deal Screen · add-back traceIllustrative deal

Seller's stated SDE includes the add-backs below		$720,000
Owner salary & payroll tax W-2 + payroll register	✓Supported	142,000
Owner health insurance Sep–Dec 2025 invoices pending	◐Partly supported	18,000
Depreciation & amortization tax returns	✓Supported	64,000
Interest	✓Supported	22,000
"One-time" compressor rebuild recurs 2 of 3 years	✗Not supported	48,000
Spouse and son on payroll both dispatch daily	✗Not supported	66,000
"Cash sales" not on the tax return P&L runs $66K above the filed return	✗Not supported	66,000
Base scenario SDE $522K supported by documents provided + $18K partly supported		$540,000

1.10×Coverage at the $2.4M asking price

$2.11MModeled price at 1.25× coverage

$287KModeled purchase-price difference

Illustrative figures, invented to show the method. 10% equity, 10-year loan at 10.5%, $110K replacement manager, $45K maintenance capex. At the seller's $720K the deal shows 1.62×. Equity is 10% of the purchase price; closing costs and working capital are excluded. No seller note is modeled. This is a financing scenario, not a valuation or lending decision. See the full sample report

SBA acquisition loans got stricter on October 1, 2026

SBA SOP 50 10 8.1 applies to 7(a) applications that get an SBA loan number on or after October 1, 2026. Three of its change-of-ownership rules decide whether your deal closes at the price you agreed.

1.25×

Coverage on past numbers

For an initial acquisition, debt service coverage must be at least 1.25 times, measured on the last fiscal year or the average of the last two, on a historical or adjusted basis, not on projections (special-purpose real estate deals aside).

Every deal

A valuation done for the lender

Every change of ownership needs a business valuation from a Qualified Source, requested by and prepared for the lender. Total debt for the deal, including seller notes that aren't on full standby, can't exceed that valuation.

$3M+

A quality of earnings report

For an initial acquisition or expansion where the business purchase price is $3 million or more (not counting owner-occupied real estate), the lender must obtain a QoE that includes a cash proof for the trailing twelve months and the last two fiscal years.

Summarized from U.S. Small Business Administration, SOP 50 10 8.1, Appendix 15: 7(a) Changes of Ownership (checked against SBA's published text, October 7, 2026), effective for applications given an SBA loan number on or after October 1, 2026 (Information Notice 5000-880695). Your lender's credit policy can be stricter, so confirm specifics with them. Bankable Deal is not affiliated with the U.S. Small Business Administration.

Will your deal clear 1.25×?

Put in the seller's numbers and the add-backs you're unsure about. The calculator shows coverage both ways and the modeled purchase price at 1.25× coverage on your inputs. It runs in your browser. Nothing leaves this page unless you ask for a copy.

Coverage checkestimate, not a lender decision

Annual debt service	–
Coverage on the seller's numbers	–
Coverage without the doubtful add-backs	–
Modeled purchase price at 1.25×, excluding doubtful add-backs	–

Simplified, and it assumes every add-back you don't list as doubtful is real. Level payments; equity is a percentage of purchase price; closing costs and working capital are excluded; no seller note is modeled. Cash flow = SDE − replacement salary − capex. This is a financing scenario, not a valuation or loan offer. Lenders apply their own adjustments.

Check my add-backs · $750

Where this fits next to the lender's reports

Lender-ordered reports serve the lender's underwriting process. This buyer-paid screen helps you question the earnings before committing further. Ask your lender about its required reports and timing.

	Bankable Deal	Lender-ordered valuation (and QoE at $3M+)	CPA-firm QoE you commission	Reading the CIM yourself
When	Before the LOI, or right after it	After the loan application	After the LOI	Any time
Typical cost	$750, then $4,500–6,500	Paid by you through the lender	Quoted by provider; depends on scope	$0
Turnaround	3 business days, then 7–10 business days	Confirm with your lender	Agreed with provider	Your evenings
Works for	You, the buyer	The lender	You	You
Question it answers	Which earnings have support, and what does modeled debt coverage show?	Can the lender make this loan?	Are the earnings real, in full depth?	Does the story sound right?

Compare written scopes as well as fees. A provider's price and timing depend on the documents, complexity and work included.

Flat fees, published. Pay for depth only when the deal earns it.

Each step answers one question. Stop as soon as the answer is no. No hourly billing.

Most buyers start with the Deal Screen. If the earnings don't hold up, you have spent $750 instead of weeks of exclusivity and a lender's fees. You don't need bank statements, a signed LOI or a chosen lender to start.

How it works

1. Buy now. Pay $750 by card through Stripe. It takes a minute; tell us the business and the asking price at checkout.
2. Fit check, same or next business day. Sergei replies personally with an NDA and a private upload folder. If the deal isn't a fit (priced around $1M–15M, roughly $300K–3M in SDE) or your documents aren't enough to start, you get a full refund before any work.
3. Your Deal Screen within 3 business days of complete documents, plus a 30-minute call. Sergei takes two screens at a time; if both are taken you get a start date, or a full refund if it doesn't work for you.
4. If it isn't useful: tell Sergei within 14 days of delivery for a full refund. Keep the report.

Is it worth pursuing?

Start here

Deal Screen

$750

Within 3 business days of complete documents · before the LOI

Earnings recast from the CIM, P&L and tax returns
Each add-back marked supported, partly supported or not supported, based on the documents you have
Modeled debt coverage against 1.25×, using historical cash flow and stated assumptions
A modeled purchase-price range at 1.25× coverage, with every assumption shown
Your side of the loan: the 10% equity, how much a standby seller note can cover, and what the lender will ask about you
Red flags, the questions to send the seller, and a 30-minute call

Buy now · $750

Secure card payment by Stripe. Not a fit? Full refund before any work. Your statement shows THE CFO ANALYST. By paying you agree to the terms. Questions first?

Will the lender see what I see?

Bankability Diligence

$4,500 under $2M price

$6,500 for $2–5M, quoted above $5M · 7–10 business days after the data list is complete · $750 credited if you start within 60 days of the screen's delivery

Proof of cash: bank deposits tied to reported revenue, trailing twelve months plus two years
Add-backs traced to the general ledger and tax returns
Customer and vendor concentration
Net working capital and a proposed peg
Coverage model under the 2026 SBA tests, with downside cases
Excel workbook and a written memo you can share with your lender

Ask about your deal

Not sure it's worth $750?

Free 30-minute fit call

Pick a time on Sergei's calendar · no documents needed

Discuss the deal, fit and current availability
Confirm scope and which documents you will need
No document or earnings review on the free call

Book a free fit call

After closing

Fractional CFO

Quoted to fit

Priced to the size of the business after a short call · month to month

Monthly close review and management reporting pack
Rolling 13-week cash flow
Lender covenant and coverage tracking
One 60-minute monthly call with Sergei

Selling instead?

Sale-readiness review

Quoted to fit

Priced to the size and complexity of the business · before you list

Every add-back documented to its source
Proof of cash for the trailing twelve months and two years
Mock lender 1.25× coverage test at your asking price
Fix list before a buyer's lender looks at it

Also available: lender package support after Bankability Diligence, monthly bookkeeping and month-end close (QuickBooks Online, Xero), accounting cleanup, financial models, and lender packages for refinancing. These are scoped and priced with you. Deals above $15M or with unusual structures can be discussed too.

See exactly what you get

A complete sample Deal Screen for a fictional commercial HVAC company, done the way a pre-LOI screen is: from the CIM, the P&L and three years of tax returns. Recast earnings, each add-back checked against those documents, coverage, a supportable price range and the questions to send the seller.

Read the sample report

Sergei takes on two screens at a time

One person does every screen, start to finish, so there is a cap. After purchase, Sergei confirms fit and a start date within one business day. If the date doesn't work, you can get a full refund before work starts. Prefer to check availability first? Book the free fit call.

Sergei Mochtchenkov, CFA

CFA charterholder since 2016 · Founder, Bankable Deal

Every engagement is done by Sergei personally, start to finish. He has spent more than 19 years in finance, including CFO and VP of Finance seats at operating companies, and builds the models himself: lender packages, debt service coverage, buy-side diligence and valuation work. Models he built have supported clients' debt and equity raises.

Chief Financial Officer, Black Nova2021–2024
Senior project lead, FP&A implementation, OnPlan2020–2022
Head of Financial Engineering, B&R Financial Analyticssince 2018

Check the record yourself

Each record below links to a public profile you can check yourself.

CFA Institute member directoryActive member · charter awarded 24 Oct 2016Open the directory entry UpworkTop Rated Plus · 100% Job Success · 5.0 from 135 reviews · 304 jobs · 20,000+ hoursOpen the Upwork profile LinkedInVerified profile · 16,000+ followers · career historyOpen the LinkedIn profile

Figures as shown on each profile, October 2026.

5.0 on Upwork

“Sergei is absolutely phenomenal to work with. A true professional, he has significantly helped my company and provided invaluable support on multiple important business calls.”

Chantell P. · Sales projections and growth rate · Feb 2025 · view on Upwork

5.0 on Upwork

“Sergei is honest, hardworking and knows what he's doing.”

Matt H. · Financial model for an investment fund · Sep 2024 · view on Upwork

Reviews are from Sergei's Upwork finance and modeling work, not from Deal Screen clients. Bankable Deal is new; the sample report shows the work.

Questions buyers ask first

My lender gets its own valuation and QoE. Why pay for this?

Those reports come after the loan application, are done for the lender, and you pay for them either way. If the earnings don't hold up, you find out after paying for them and after weeks of exclusivity. A Deal Screen gives you an early read within 3 business days of complete documents, while you can still renegotiate or walk.

What do you need from me?

For a Deal Screen: the CIM or the seller's P&L, and three years of tax returns if you have them. Bank statements are not needed at this stage. For Bankability Diligence: bank statements for the last two fiscal years and the trailing twelve months, the general ledger or QuickBooks or Xero access, and payroll records. A data request list goes out on day one.

What if my deal isn't a fit after I pay?

Sergei checks fit within one business day of payment. If the business is outside the range the screen works for, or your documents aren't enough to say something useful, you get a full refund before any work starts. Want to ask first? Book a free fit call or use the form at the bottom; there's no charge for either.

Will you tell me whether the loan gets approved?

No one but the lender can say that. The screen models coverage against 1.25× and a purchase-price range on stated assumptions, with supported and conditional earnings identified. You and your lender can change those assumptions. It is not a valuation or loan approval.

How is Bankability Diligence different from a full quality of earnings report?

It covers what a lender tests: proof of cash, add-back tracing, tax returns against the books, concentration, working capital and coverage. A full QoE from a CPA firm is separately scoped; its fee and delivery time depend on the provider and engagement. If your deal is SBA-financed and priced at $3M or more, the lender's QoE is still required; this work shows you the likely issues first.

Which deals are a good fit?

Businesses with roughly $300K to $3M in seller's discretionary earnings or EBITDA, priced around $1M to $15M (Bankability Diligence above $5M is quoted), financed with an SBA 7(a) loan, a conventional loan or seller financing. Most industries, in the US and Canada.

Do you also help with the loan package?

Lender package support can be quoted after Bankability Diligence. Where SBA rules require it, the fee is disclosed to your lender on SBA Form 159. Fees come only from you.

Is my deal kept confidential?

Sergei is the only person who works on your deal. He will sign your NDA, or a joinder to the seller's NDA, before you send anything sensitive. Files go to a private cloud folder, not email, and are deleted 90 days after delivery unless you ask to keep them longer. The privacy note covers storage providers and backups.

Questions first? Tell us about the deal

Not ready to buy? Tell Sergei about the deal, no documents needed. Or buy the Deal Screen now.

Within one business day Sergei replies personally, with an NDA if you want one.
Or book a free 30-minute fit call to check scope, availability and required documents: pick a time on Sergei's calendar.
When you're ready buy the screen and upload the documents to a private folder.

thecfoanalyst@gmail.com

Please don't send the CIM, tax returns or other sensitive documents by email or through Calendly. Arrange the NDA first; you'll get a private upload folder.

Send to thecfoanalyst@gmail.com

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