Assess whether related-party sales should be backed out of valuation (10a3e8)

SITUATION After a QoE that cannot tie revenue to bank cash, QoE add-backs the seller marked 'normalized' is what integration-risk PMO can touch in a PE platform evaluating a founder-led SaaS add-on. M&A Due Diligence will live with Proceed versus Reprice on this People and Contracts file.

DECISION Integration-risk PMO in a PE platform evaluating a founder-led SaaS add-on must choose Proceed / Reprice / Walk / Hold using QoE add-backs the seller marked 'normalized' after a QoE that cannot tie revenue to bank cash.

HYPOTHESES TO TEST 1. A QoE that cannot tie revenue to bank cash is noise around an already-controlled People and Contracts process in a PE platform evaluating a founder-led SaaS add-on, given QoE add-backs the seller marked 'normalized'. 2. A QoE that cannot tie revenue to bank cash is the event in QoE add-backs the seller marked 'normalized' that forces Proceed for integration-risk PMO under M&A Due Diligence. 3. QoE add-backs the seller marked 'normalized' shows a one-file miss after a QoE that cannot tie revenue to bank cash, not a People and Contracts program failure. 4. QoE add-backs the seller marked 'normalized' cannot decide related-party sales should be yet after a QoE that cannot tie revenue to bank cash; hold is the only M&A Due Diligence close a PE platform evaluating a founder-led SaaS add-on can defend.

ANALYSIS REQUIRED 1. Name the document integration-risk PMO still needs before signing. 2. Test whether a QoE that cannot tie revenue to bank cash is a diligence gap, a price chip, or a walk-away. 3. Separate a one-off add-back from a recurring earnings issue in QoE add-backs the seller marked 'normalized'. 4. For this M&A Due Diligence People and Contracts file, read QoE add-backs the seller marked 'normalized' against a QoE that cannot tie revenue to bank cash and write the one fact that would move related-party sales should be for integration-risk PMO.

RECOMMENDATION Choose Proceed / Reprice / Walk / Hold on this M&A Due Diligence / People and Contracts packet (QoE add-backs the seller marked 'normalized' after a QoE that cannot tie revenue to bank cash). Lead with the M&A Due Diligence option QoE add-backs the seller marked 'normalized' can support after a QoE that cannot tie revenue to bank cash, then the two facts that force it, then the Monday action for integration-risk PMO in a PE platform evaluating a founder-led SaaS add-on.

COMMAND RETURNS - Bottom-line M&A Due Diligence option on related-party sales should be, then the evidence in QoE add-backs the seller marked 'normalized', then the action for integration-risk PMO - Hypothesis scorecard against QoE add-backs the seller marked 'normalized': supported / rejected / untestable - Missing page in QoE add-backs the seller marked 'normalized' after a QoE that cannot tie revenue to bank cash, if any - Regulatory or exam hook People and Contracts would cite