A dry cleaning business was listed for sale at $495K on $130K “cash flow.”

But… ❌ Owner worked 50+ hrs/week managing customer flow
❌ Utilities grossly understated – no allocation for solvent disposal
❌ Boiler and shirt unit both past useful life
❌ Route revenue overstated without contracts

✅ Normalized FCF: ~$45K
✅ Final value estimate: $290K (after labor, CapEx, and utility adjustments)

📌 When the boiler’s about to blow, the valuation shouldn’t stay inflated.