The One-Page P and L Checklist Buyers Love

August 13, 2024•2 min read

One sentence takeaway: a crisp one-page profit and loss sheet builds instant trust and speeds due diligence because buyers see the real earnings story at a glance.

Why a one-page P and L matters

• Shows you run a tight ship and know your numbers
• Shortens the buyer’s first review from hours to minutes
• Flags normalised earnings before deeper due diligence starts

What to include on the sheet

1 Revenue breakdown

• Total revenue by year for the last three years
• Split recurring versus one-off sales
• Top three customer segments with percentages

2 Cost of goods or direct labour

• Material or subcontractor costs only
• Gross profit margin clearly shown as a percentage

3 Operating expenses in three buckets

• Staff costs
• Premises and utilities
• Marketing and other overheads

4 Normalised EBITDA

• Add back owner salary above market rate
• Add back one-time legal or consulting fees
• Remove any personal expenses run through the company

5 Working capital snapshot

• Debtor days
• Creditor days
• Inventory turn if relevant

6 Year-on-year trends

• Revenue growth rate
• Gross margin trend
• EBITDA margin trend

7 Cash conversion ratio

Operating cash flow divided by EBITDA for each year shows earnings quality.

Layout tips buyers appreciate

• Use a single A4 page in landscape PDF format
• Columns for the last three financial years plus year-to-date
• Simple fonts and no colours beyond black and grey
• Footnotes for every add back, numbered for quick reference

Common pitfalls to avoid

Pitfall: hiding owner perks in operating expenses
Fix: list them as separate add backs so buyers do not hunt for them.

Pitfall: mixing VAT inclusive and exclusive figures
Fix: present every number net of VAT.

Pitfall: rounding inconsistently
Fix: round all figures to the nearest thousand for clean comparison.

Quick self-check before you send the sheet

Do the totals match your filed accounts exactly?
Are all add backs explained in one line footnotes?
Does the EBITDA margin improve, stay flat, or drop? Be ready to explain.
Can you provide source documents inside twenty-four hours if asked?

Next step

Draft the one-page P and L this week, run it past your accountant for accuracy, and attach it to every teaser you send to serious buyers.

profit and loss checklist profit and loss

Mark Guy Gerard Camilleri

I’m an SME investor with a background in social housing and over five years of experience working closely with government bodies to provide safe, high-quality housing for vulnerable communities. Through this work, I’ve developed a deep understanding of the essential services that support the housing sector — from pest control to electrical, plumbing, and HVAC services. My current focus is on acquiring and scaling established businesses in these core areas, especially those with strong local reputations and long-standing customer relationships. I’m not a corporate buyer looking to strip away what makes a business special. I take a human, collaborative approach to M&A — whether that means a full exit for the owner, a phased transition, or finding ways to work together post-sale to grow the business. If you’re a business owner thinking about the next chapter, I’d love to have a no-pressure conversation about what that could look like — and whether there’s a way we can align.