Assess whether related-party sales should be backed out of valuation (7d031d)

SITUATION People and Contracts work in a roll-up of three regional service companies now turns on related-party sales should be because a founder who will not sign a non-compete put earnout metric definitions that invite dispute in play. Buy-side QoE lead should say what earnout metric definitions that invite dispute proves.

DECISION Buy-side QoE lead in a roll-up of three regional service companies must choose Proceed / Reprice / Walk / Hold using earnout metric definitions that invite dispute after a founder who will not sign a non-compete.

HYPOTHESES TO TEST 1. Buy-side QoE lead can defend Proceed from earnout metric definitions that invite dispute after a founder who will not sign a non-compete in a M&A Due Diligence challenge. 2. Buy-side QoE lead cannot defend Proceed from earnout metric definitions that invite dispute; Reprice is what the extract actually supports after a founder who will not sign a non-compete. 3. A founder who will not sign a non-compete never reached the population in earnout metric definitions that invite dispute — reopen intake, do not close related-party sales should be. 4. Two facts in earnout metric definitions that invite dispute after a founder who will not sign a non-compete conflict for buy-side QoE lead; hold this People and Contracts file.

ANALYSIS REQUIRED 1. Test whether a founder who will not sign a non-compete is a diligence gap, a price chip, or a walk-away. 2. Separate a one-off add-back from a recurring earnings issue in earnout metric definitions that invite dispute. 3. Map reps, earnout mechanics, and integration risk a roll-up of three regional service companies would inherit. 4. For this M&A Due Diligence People and Contracts file, read earnout metric definitions that invite dispute against a founder who will not sign a non-compete and write the one fact that would move related-party sales should be for buy-side QoE lead.

RECOMMENDATION Choose Proceed / Reprice / Walk / Hold on this M&A Due Diligence / People and Contracts packet (earnout metric definitions that invite dispute after a founder who will not sign a non-compete). The follow-on People and Contracts action is what buy-side QoE lead does next: implement the option, assign an owner, and log the missing fact.

COMMAND RETURNS - Bottom-line M&A Due Diligence option on related-party sales should be, then the evidence in earnout metric definitions that invite dispute, then the action for buy-side QoE lead - Hypothesis scorecard against earnout metric definitions that invite dispute: supported / rejected / untestable - Named option among Proceed, Reprice, Walk and the fact that kills the others - Owner and next date for buy-side QoE lead in a roll-up of three regional service companies