{"content":[{"text":"Blue sky: much more than a numbers game \n Posted By: Joseph Aboyounon: March 14, 2018In: Contributors \n Print","bbox":{"left":0.117686,"top":0.451999,"width":0.728066,"height":0.06974200000000003}},{"text":"By Joseph S. Aboyoun, Esq.","bbox":{"left":0.117686,"top":0.545897,"width":0.196063,"height":0.017786999999999997}},{"text":"A Subaru dealership purchased five years ago for three times earnings was obviously a phenomenal investment \n for the Buyer and a poor decision on the part of the Seller. Conversely, the purchase of a Hyundai store at that \n time for the same multiple was likely an ill-advised acquisition and a blessing for the Seller. How does one \n ensure that it is on the right (successful) side of such scenarios?","bbox":{"left":0.117686,"top":0.587867,"width":0.763491,"height":0.09051399999999998}},{"text":"The clear and important lesson learned from such scenarios is that blue sky is not simply a multiple of \n earnings. Rather, it entails a complex consideration of a myriad of factors and a reasoned allocation of weight \n to each to make a true (and safe) assessment.","bbox":{"left":0.117686,"top":0.702564,"width":0.757058,"height":0.06630900000000006}},{"text":"The widely-publicized reports on blue sky multiples for automotive franchises, both regular and high-line, are \n a good starting point in your evaluation. However, the pure reliance on multiples can be extremely risky and, \n in certain instances, completely inaccurate. For example, what if a high-line dealership reflects no or negative \n profits? Would a BMW franchise in such condition have no value? Conversely, what if the dealership is a","bbox":{"left":0.117686,"top":0.793056,"width":0.757166,"height":0.09050900000000006}}],"images_bbox":[{"left":0.117647,"top":0.090909,"width":0.747549,"height":0.359848}],"images_bbox_not_text_overlap":[{"left":0.117647,"top":0.090909,"width":0.747549,"height":0.359848}]}