Using the case of Brentwood Associate - Exiting Zoes Kitchen

Use the information and assumptions posted here to estimate ranges for the potential payouts to Brentwood Associates under each of the following three exit scenarios.

Include the costs of IPO, being public, or the cost of an acquisition:

a. An IPO in early 2014 that values Zos Kitchen at a multiple of its 2013 Adjusted EBITDA.

b. A sale to a strategic acquirer in early 2014 that values Zos Kitchen at a multiple of its 2013 Adjusted EBITDA.

c. An IPO in early 2016 that values Zos Kitchen at a multiple of its projected 2015 Adjusted EBITDA.

Assume that Brentwood owns 100% of Zos Kitchens equity, and that Zos has no debt or excess cash at the time of exit.