Add-Back is an expense added back to reported profit because it is personal, exceptional, non-recurring, or unnecessary for a new owner.

What Does Add-Back Mean?

An expense added back to reported profit because it is personal, exceptional, non-recurring, or unnecessary for a new owner.

Why Is Add-Back Important When Selling an Online Business?

This term can affect how buyers evaluate risk, value, transferability, payment structure, or the practical completion of an online business acquisition. Founders should understand it before entering negotiations or signing transaction documents.

Related Terms

• Adjusted Profit
• Seller's Discretionary Earnings
• Due Diligence
• Valuation

Next step: Explore the related glossary terms above or request a confidential online business valuation from Company-Seller.