October 17, 2026: O'Connell Advisory Group LLC (OAG), a boutique M&A transaction advisory firm, is pleased to announce the successful closing of a sponsor-led acquisition of a $18,500,000 home services business. OAG served as the buyer's buy-side Quality of Earnings (QoE) advisor, and the deal closed in 120 days.
This was a sponsor-led acquisition of a home services business, valued at $18,500,000. The buyer was supported by an excellent buy-side attorney, and the deal reached closing in 120 days.
OAG completed the buy-side QoE for the sponsor. Most of the work focused on cash to accrual adjustments, working capital, and verifying accounting policies. Around closing, we spent roughly 2.5 weeks making sure the working capital peg was fair and reasonable.
In general terms, a buy-side Quality of Earnings engagement covers adjusted EBITDA, revenue quality, working capital, and normalization adjustments. The goal is to give the buyer an independent view of the business's financial performance before the deal is final. We cover the peg in more depth in Understanding Working Capital in M&A.
A competent diligence team paired with a strong sponsor raises the probability of closing. Sponsors in the lower middle market rely on independent financial analysis to negotiate and structure with confidence, and a well-supported working capital peg is part of getting a deal to the finish line. Clear documentation of accounting policies and a careful look at the timing of cash and accruals help both sides understand what is being bought, which keeps the process moving toward closing.
OAG is a boutique M&A transaction advisory firm specializing in Quality of Earnings, financial due diligence, tax due diligence, and deal advisory services. The firm supports buyers, sellers, private equity sponsors, and lenders across industries and transaction types, delivering the independent financial analysis that deal teams rely on to close with confidence.
Connect with OAG: OAG M&A Transaction Services on LinkedIn