Lesson60 seconds
What is Earnout?
Part of sale price paid later if targets are hit.
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Simple Definition
An earnout is deferred consideration paid if the business hits agreed post-deal milestones such as or retention targets.
Explanation level
Tap a persona to hear the same idea in a totally different voice.
Try “Like I'm 5™” for a picture-book version - not the grown-up wording above.
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