CEPA (Certified Exit Planning Advisor) Exam
Prep 2025-2026 Guide
1. What is the calculation for Recast- Addbacks + EBITDA = Recasted EBITDA
ed EBITDA?
2. What does EBITDA stand for? Earnings Before Interest, Taxes, Depreciation, & Amorti-
zation
3. What are the three gaps within the Wealth Gap, Value Gap, & Profit Gap
Value Acceleration Methodology?
4. What are the Five Stages of Value Identify, Protect, Build, Harvest, Manage
Maturity in order?
5. In the Five Stages of Value Matu- Identify and asses the business value. Understand how
rity, what occurs in the "Identify" ready and attractive the business is. What is the current
stage? value? What is it's potential value? What are the gaps?
6. What are considered the "Value Protect Value and Build Value
Creation" stages within the Five
Stages of Value Maturity?
7. In the Five Stages of Value Matu- Protect what you have because "build" means more risk.
rity, what occurs in the "Protect" Make sure the right systems are in place: the right finan-
stage? cial advisor, right financial plan, documented standard
operating procedures within the business, insurance,
etc. Protect always comes before Build. Non-strategic
actions are ALWAYS before strategic actions.
8. In the Five Stages of Value Ma- This is made up of strategic actions including culture
turity, what occurs in the "Build" building, communication building, personnel changes,
stage? new products/improvements, etc.
9. This is when the owner exits the company and harvests
its value
, CEPA (Certified Exit Planning Advisor) Exam
Prep 2025-2026 Guide
In the Five Stages of Value Matu-
rity, what occurs in the "Harvest"
stage?
10. Simply put, what is exit planning? Good Business strategy
11. What are the Four intangible Cap- Human Capital, Structural Capital, Customer Capital, &
itals or "Four C's"? Social Capital
12. How much of a business' value (in 80%
percentage) is trapped inside the
four intangible capitals or "Four
C's"?
13. What is Human Capital? It's the people in the business. Employee tenure, expe-
rience / talent level, management team succession plan,
management team strength, etc.
14. What is Structural Capital? The most robust of the "Four C's", this includes every-
thing from the real estate, intellectual property, equip-
ment, process & documentation, IT, systems (including
financial & accounting systems), etc.
15. What is Customer Captial? Depth of customer relationships, customer entangle-
ment, customer concentration / diversification, con-
tracts, etc.
16. What is Social Capital? Culture within & outside the company. How people relate
outside of the company. This is developed over time after
all other intangible capitals are established/improved.
17. What are the three gates (in order) Discover, Prepare, & Decide
of the Value Acceleration Method-
ology?
,18. What are the Three Legs of the Business, Financial, & Personal
Stool?
19. What is the Wealth Gap? Understanding the owner's wealth goal (how much
money they'll need to fulfill personal needs) and the cur-
rent value of their assets (not including their business).
The gap or ditterence between these two is usually filled
by the business' value.
20. What is the Value Gap? The ditterence between the owner's current business
value and the Best-In-Class business value.
21. What is the Profit Gap? The ditterence between the owner's current business
profit (or recasted EBITDA) and the Best-In-Class busi-
ness profit (or recasted EBITDA)
22. The two concurrent paths are in The Prepare Gate
which gate within the Value Accel-
eration Methodology?
23. What are the two concurrent The risk mitigation (De-risk) / business improvement
paths within the Prepare Gate? path
AND
The personal/financial ("Vision") path
24. What is the ONE goal of the Value To drive value across all three legs of the stool (business,
Acceleration Methodology? financial & personal)
25. How much of an owner's wealth 80-90%
(in percentage) is locked in their
business?
, 26. What's the difference between a Lifestyle business = good income; not transferrable
Lifestyle Business and Value Cre-
ator Business? Value creator business = good income; transferable
(owners treat their business like an asset)
27. Most owners don't address what personal planning
kind of planning?
28. What kind of planning could be personal planning
the key to making an exit success-
ful?
29. What is the number one reason seller's cold feet
deals fail?
30. The Value Maturity Index teach- value AND income (as long as the owner focuses on
es owner's the concept that VALUE first)
they can have and
.
31. What is the formula to calculate Cash (Recasted EBITDA) x MM (market multiple) = Val-
value? ue
Sales X MM (market multiple) = Value
32. Every business trades in a range of value
.
33. Value Acceleration focuses on accounting systems; intangible assets
working with
while
improving
.
Prep 2025-2026 Guide
1. What is the calculation for Recast- Addbacks + EBITDA = Recasted EBITDA
ed EBITDA?
2. What does EBITDA stand for? Earnings Before Interest, Taxes, Depreciation, & Amorti-
zation
3. What are the three gaps within the Wealth Gap, Value Gap, & Profit Gap
Value Acceleration Methodology?
4. What are the Five Stages of Value Identify, Protect, Build, Harvest, Manage
Maturity in order?
5. In the Five Stages of Value Matu- Identify and asses the business value. Understand how
rity, what occurs in the "Identify" ready and attractive the business is. What is the current
stage? value? What is it's potential value? What are the gaps?
6. What are considered the "Value Protect Value and Build Value
Creation" stages within the Five
Stages of Value Maturity?
7. In the Five Stages of Value Matu- Protect what you have because "build" means more risk.
rity, what occurs in the "Protect" Make sure the right systems are in place: the right finan-
stage? cial advisor, right financial plan, documented standard
operating procedures within the business, insurance,
etc. Protect always comes before Build. Non-strategic
actions are ALWAYS before strategic actions.
8. In the Five Stages of Value Ma- This is made up of strategic actions including culture
turity, what occurs in the "Build" building, communication building, personnel changes,
stage? new products/improvements, etc.
9. This is when the owner exits the company and harvests
its value
, CEPA (Certified Exit Planning Advisor) Exam
Prep 2025-2026 Guide
In the Five Stages of Value Matu-
rity, what occurs in the "Harvest"
stage?
10. Simply put, what is exit planning? Good Business strategy
11. What are the Four intangible Cap- Human Capital, Structural Capital, Customer Capital, &
itals or "Four C's"? Social Capital
12. How much of a business' value (in 80%
percentage) is trapped inside the
four intangible capitals or "Four
C's"?
13. What is Human Capital? It's the people in the business. Employee tenure, expe-
rience / talent level, management team succession plan,
management team strength, etc.
14. What is Structural Capital? The most robust of the "Four C's", this includes every-
thing from the real estate, intellectual property, equip-
ment, process & documentation, IT, systems (including
financial & accounting systems), etc.
15. What is Customer Captial? Depth of customer relationships, customer entangle-
ment, customer concentration / diversification, con-
tracts, etc.
16. What is Social Capital? Culture within & outside the company. How people relate
outside of the company. This is developed over time after
all other intangible capitals are established/improved.
17. What are the three gates (in order) Discover, Prepare, & Decide
of the Value Acceleration Method-
ology?
,18. What are the Three Legs of the Business, Financial, & Personal
Stool?
19. What is the Wealth Gap? Understanding the owner's wealth goal (how much
money they'll need to fulfill personal needs) and the cur-
rent value of their assets (not including their business).
The gap or ditterence between these two is usually filled
by the business' value.
20. What is the Value Gap? The ditterence between the owner's current business
value and the Best-In-Class business value.
21. What is the Profit Gap? The ditterence between the owner's current business
profit (or recasted EBITDA) and the Best-In-Class busi-
ness profit (or recasted EBITDA)
22. The two concurrent paths are in The Prepare Gate
which gate within the Value Accel-
eration Methodology?
23. What are the two concurrent The risk mitigation (De-risk) / business improvement
paths within the Prepare Gate? path
AND
The personal/financial ("Vision") path
24. What is the ONE goal of the Value To drive value across all three legs of the stool (business,
Acceleration Methodology? financial & personal)
25. How much of an owner's wealth 80-90%
(in percentage) is locked in their
business?
, 26. What's the difference between a Lifestyle business = good income; not transferrable
Lifestyle Business and Value Cre-
ator Business? Value creator business = good income; transferable
(owners treat their business like an asset)
27. Most owners don't address what personal planning
kind of planning?
28. What kind of planning could be personal planning
the key to making an exit success-
ful?
29. What is the number one reason seller's cold feet
deals fail?
30. The Value Maturity Index teach- value AND income (as long as the owner focuses on
es owner's the concept that VALUE first)
they can have and
.
31. What is the formula to calculate Cash (Recasted EBITDA) x MM (market multiple) = Val-
value? ue
Sales X MM (market multiple) = Value
32. Every business trades in a range of value
.
33. Value Acceleration focuses on accounting systems; intangible assets
working with
while
improving
.
