The Valuation Doesn’t Kill Deals. Weak Economics Do.

I’ve heard people say: “That valuation killed the deal.”

Usually, that’s not accurate.

The valuation didn’t kill it.

The business’s ability to support the price killed it.

The valuation just said it out loud.

And in lending contexts, that distinction matters.

Because you don’t want a deal that only survives if everyone agrees to ignore the same reality.