SaaS M&A Deferred Revenue Haircut Solver

Underwrite ASC 805 business combination purchase accounting rules, calculating fair value write-downs on target company unearned deferred revenue balances and adjusting post-close EBITDA.

Target Deferred Revenue & Fulfill Cost

Haircut Write-Down & Fair Value

Total GAAP Deferred Revenue Fair Value Haircut
$1,376,000 Write-Down (-43.0%)
Post-Closing Fair Value Recognized on Balance Sheet
$1,824,000 Post-Close Balance
Post-Closing Year 1 Revenue & EBITDA Impact
First-Year Reported Revenue Suppressed by $1.38M
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