Scope comparison
QoE Lite vs full QoE
Both verify that the earnings you're buying are real. A QoE Lite covers the core — proof of cash, add-back testing, NWC peg — for deals under $10M revenue. A full Quality of Earnings adds the EBITDA bridge, concentration analysis, and policy review larger deals need.
What is a QoE Lite?
A QoE Lite (also called a quality of earnings lite) is a focused quality of earnings report that verifies cash earnings, tests seller add-backs, and sets a working-capital peg — the analysis lenders actually rely on — without the full-scope extras. Verning delivers it in 4 days median for $2,500 flat, CPA-reviewed.
What is a full Quality of Earnings?
A full quality of earnings is the complete diligence package: everything in the Lite plus a monthly EBITDA bridge, customer concentration analysis, accounting policy review, and a findings memo. It is the standard for larger, multi-entity, or institutionally funded transactions.
Side by side
Scope, line by line
| Workstream | QoE Lite | Full QoE |
|---|---|---|
| Proof of cash | ✓ | ✓ |
| Revenue tie-out to bank deposits | ✓ | ✓ |
| Add-back testing | ✓ | ✓ |
| Working-capital (NWC) peg | ✓ | ✓ |
| Excel-native databook | ✓ | ✓ |
| CPA review on every output | ✓ | ✓ |
| Monthly EBITDA bridge | — | ✓ |
| Customer concentration analysis | — | ✓ |
| Accounting policy review (ASC 606) | — | ✓ |
| Findings memo with management responses | — | ✓ |
| Typical price | $2,500 flat | Custom, scoped to the deal |
| Median turnaround | 4 days | 1 – 2 weeks |
| Deal size | Under $10M revenue | Any size |
| Best for | SBA / SMB acquisitions, search funds | Larger or complex transactions |
Decision rule
Which one does your deal need?
Choose QoE Lite when
- ✓The target is under $10M in revenue
- ✓You're financing with an SBA 7(a) loan
- ✓You're a search fund or independent sponsor on a budget
- ✓You need an answer in days, not weeks
Choose full QoE when
- ✓The target is over $10M revenue or multi-entity
- ✓Institutional investors or committees will review the deal
- ✓Revenue recognition is complex (ASC 606, percentage-of-completion)
- ✓You need a findings memo with management responses
FAQ