Screening
Source: Playbook v2 EN — Ch. 4 + 5
Score thesis fit first using playbook-thesis. Run all four lenses before going to IC.
4.1 Thesis Fit Check (15 minutes — stop if any item fails)
- ☐ Company minimum 5 years old
- ☐ Profit at least €100,000/year
- ☐ Minimum 5 employees
- ☐ Target sector (see
playbook-thesis) - ☐ SWOT completed
4.2 Financial Screening
- ☐ 3 years of financial statements requested and received
- ☐ Income statement + balance sheet in full view
- ☐ Cost structure — top 3 largest costs identified (labour, fuel, rent, supplies)
- ☐ Top 10 customers listed (B2B/B2C, recurring revenue flagged)
- ☐ Monthly cash flow understood
- ☐ Seasonal variation understood
- ☐ Portfolio Company — Cost Structure Template completed
Cost Structure Template (Appendix B of v2 EN):
| Line Item | Year −2 (€) | Year −1 (€) | Latest Year (€) | Notes |
|---|---|---|---|---|
| Revenue | ||||
| COGS — Labour | ||||
| COGS — Materials / Supplies | ||||
| COGS — Fuel / Transport | ||||
| Gross Profit | = Revenue − COGS | |||
| Rent | ||||
| Utilities | ||||
| Marketing & Sales | ||||
| Admin / Software / IT | ||||
| Other Operating Costs | ||||
| EBITDA | = Gross Profit − Overheads | |||
| Gross Margin % | = Gross Profit ÷ Revenue | |||
| EBITDA Margin % | = EBITDA ÷ Revenue |
4.3 Market Research
- ☐ Top 3 local competitors identified (asiakastieto.fi)
- ☐ Three international competitors identified for benchmarking
- ☐ AI/tech adoption in sector understood
- ☐ Customer register size known
- ☐ Customer profile known (B2B vs B2C split)
- ☐ Development Plan template completed
4.4 Resources — People & Assets
- ☐ In-person meeting scheduled — seller motivation understood
- ☐ Psychological profile of seller completed (CPT Sheet — see below)
- ☐ Team evaluated: roles, seller's tasks
- ☐ Assets Inventory Template completed (see below)
- ☐ Recruitment need and KPIs clear
Assets Inventory Template (Appendix C of v2 EN):
| Asset Category | Description / Make / Model | Est. Value (€) | Condition | Included in Sale? |
|---|---|---|---|---|
| Vehicle 1 | ☐ Yes ☐ No | |||
| Vehicle 2 | ☐ Yes ☐ No | |||
| Equipment / Machinery | ☐ Yes ☐ No | |||
| IT Systems / Software | ☐ Yes ☐ No | |||
| Customer Register | Number of contacts: ___ | ☐ Yes ☐ No | ||
| Brand / Domain / Website | ☐ Yes ☐ No | |||
| Supplier / Customer Contracts | Number: ___ | ☐ Yes ☐ No | ||
| Permits & Licences | ☐ Yes ☐ No | |||
| Other | ☐ Yes ☐ No |
4.5 Deal Terms
- ☐ How long seller stays post-sale confirmed
- ☐ Seller's consulting terms post-employment confirmed
- ☐ Customer register + marketing lists transfer confirmed
- ☐ Business transfer or share transfer determined
- ☐ Preliminary deal structure negotiated
- ☐ Offer sent to seller
- → Run the Valuation Risk Scoring Tool (
playbook-valuation) before finalising any offer price.
Chapter 5: Psychological Factors in Negotiation
All deals are made with emotions first. Understand the seller's emotional drivers — never challenge them, acknowledge and redirect.
Psychological Driver Matrix (CPT Sheet):
| Psychological Driver | Behaviour | Underlying Fear | What They Need to Hear |
|---|---|---|---|
| Identity fusion | Mixing personal worth with company value | "I'll be forgotten." | "Your legacy continues through us." |
| Control preservation | Itemising, micromanaging the deal | "I'm powerless." | "We'll handle it your way where possible." |
| Sunk-cost emotion | Overvaluing old projects | "My effort was wasted." | "You laid the groundwork — we're finishing it." |
| Mortality salience | Indecision, nostalgia | "This is the end." | "This is a continuation, not a closure." |
| Need for fairness | Anchoring on numbers | "They're tricking me." | "We want this fair for both sides." |
Complete this table for the primary seller before IC. Copy for each deal.