Part of the purchase price that depends on a future performance variable, such as sales or profits.
Related information about earn-outs:
- Earnout - Wikipedia, the free encyclopedia
 Earn out is a variable part of price paid for a company. Price paid for a company,   i.e. for owning the company's equity (usually shares) can be either fixed or ...
 
- Earnout Definition | Investopedia
 A contractual provision stating that the seller of a business is to obtain additional   future compensation based on the business achieving certain future financial ...
 
- Earn-Outs (almost) never work by StartupCFO : Mark MacLeod
 May 13, 2010 ... New York Times reported today that Disney will get a 50% discount on its   purchase of Club Penguin because the company failed to meet the ...
 
- How to Structure an Earn-out | Inc.com
 Mar 11, 2010 ... Many earn-outs depend on an extremely complicated matrix of ... Earn-outs are   most effective as an incentive for the seller when the size of the ...
 
- RCW Mirus Inc.: Earn-Outs: A Worthwhile Tool for Dealmakers?
 Educational articles on the continuum of capital for middle market companies in   targeted technology, manufacturing and service industries. Articles include ...
 
- “Earn-Outs” – The Devil is in the Details | Carr, McClellan, Ingersoll ...
 Aug 27, 2012 ... Earn-Outs – contractual formulas in M&A transactions generally used to give   sellers the opportunity...
 
- Earn Out - Earnout Definition - Earn-out Definition
 earn outs · selling a business · buying a business · business valuation. Definition:   Earnout / Earn-out is a business purchase arrangement in which the seller ...
 
- PLC - Earn-outs
 This Note discusses the use of earn-outs in private M&A transactions, including a   review of their advantages and disadvantages, the various issues to consider ...