When evaluating a deal, I categorize my findings in 3:
🚩 Red flags: Deal killers.
⚠️ Yellow flags: Every deal has them, but hopefully (1) there aren't more than a small handful, and (2) there is a strong & credible plan to manage each.
✅ Green flags: These are the X-factors that motivate and excite you to do the deal. The more, the better.
