Ultimate Guide to M&A Dashboard Design
- Brandon Chicotsky
- Jan 9
- 14 min read
M&A dashboards are essential tools for managing mergers and acquisitions efficiently. They consolidate data from deal sourcing to post-merger integration, providing real-time insights and reducing reliance on error-prone spreadsheets. For businesses with under $25 million in EBITDA, these dashboards streamline processes, standardize inconsistent data, and highlight risks like customer concentration or valuation discrepancies.
Key Highlights:
Uses: Track deal pipelines, financial performance, due diligence, and post-merger integration.
Benefits: Automates data collection, ensures confidentiality, and accelerates decision-making.
Metrics: Includes EBITDA, valuation multiples, working capital adjustments, and customer retention rates.
Design Tips: Tailor dashboards to the audience, focus on 3-5 key metrics, and ensure clear, actionable visuals.
Tools: Power BI, Tableau, and M&A-specific platforms like DealRoom.
By eliminating manual updates and centralizing data, M&A dashboards save time, reduce errors, and improve transaction outcomes.
Primary Use Cases for M&A Dashboards
Deal Sourcing and Origination Dashboards
Deal sourcing dashboards are designed to oversee every stage, from initial outreach to signed NDAs. These tools keep tabs on buyer and seller interactions, making it clear which prospects are actively engaging and which have gone silent. Some advanced platforms even use algorithms to align buy-side preferences with sell-side details, helping prioritize the most promising targets [4].
Historical examples from 2012 and 2016 illustrate how these dashboards replace guesswork with targeted, data-driven strategies [4]. By shifting relationship-building into a structured process, these tools have reshaped how deals are sourced.
The insights gathered here often serve as the foundation for the financial analysis provided by Valuation and Financial Performance Dashboards.
Valuation and Financial Performance Dashboards
Valuation dashboards dig into the financial story behind a deal. They monitor key metrics like EBITDA trends, valuation multiples, and working capital adjustments. They also pinpoint which customer segments or product lines are fueling growth [3]. This level of precision is especially important in the lower mid-market, where 92% of transactions involve a Purchase Price Adjustment (PPA) [6].
To assess potential acquisitions, these dashboards often use weighted scorecards to rank opportunities based on strategic alignment, synergy potential, growth prospects, and profit margins. This systematic approach helps brokers and buyers avoid overpaying for businesses that may look appealing on the surface but come with hidden risks. As one source puts it, the goal is to turn deal-making into an "industrial process" rather than an emotional gamble [5].
Deal Execution Pipeline Dashboards
Once a letter of intent is signed, execution dashboards take the reins, managing the process from due diligence to closing. These tools track information requests across various workstreams - such as finance, legal, and IT - using status labels like "Open", "In data room", or "Red-flag" [5]. With due diligence windows typically lasting just 30 to 60 days [9], these real-time trackers are essential for avoiding delays and keeping the process on track.
Execution dashboards also monitor workstream milestones, task completion rates, and RAID logs (Risks, Actions, Issues, Decisions) [7]. This transparency ensures all stakeholders have a clear view of the deal's progress, reducing the likelihood of last-minute surprises.
Once the deal is finalized, Post-Merger Integration Dashboards step in to ensure the acquisition delivers on its promises.
Post-Merger Integration Dashboards
After the deal is done, integration dashboards play a critical role in tracking whether the expected synergies are being achieved. They monitor milestone completion, budget variances, and cash realization compared to the baseline model set during the signing phase [5][7]. With integration spending typically accounting for 8% to 12% of gross cost synergies [5], keeping a close eye on these costs can prevent budget overruns.
These dashboards also go beyond financial metrics, tracking non-financial KPIs like maintaining a 95% retention rate for key roles within the first year [5] and monitoring customer churn. For example, in October 2023, Emerson began integration planning for National Instruments during the diligence phase. By establishing synergy targets and tech roadmaps before closing, dashboards help accelerate value creation post-acquisition [11]. Considering that poor integration is a leading cause of failure in 83% of unsuccessful acquisitions [11], these tools are indispensable for safeguarding the investment and ensuring the deal meets its objectives.
Key Metrics and KPIs for M&A Dashboards
Financial and Valuation Metrics
When it comes to M&A, EBITDA and Adjusted EBITDA are at the heart of valuations. While EBITDA reflects core profitability, Adjusted EBITDA excludes one-time or irregular items, offering a clearer picture of recurring earnings [12][1].
Enterprise Value (EV) measures the total value of a business’s operations, independent of its financing structure. In contrast, Equity Value represents the amount the seller ultimately receives after accounting for cash, debt, and working capital adjustments [12]. The Working Capital Peg is a negotiated baseline for current assets, ensuring the business has enough resources to maintain operations after the deal closes. If actual working capital deviates from this peg, adjustments to the purchase price may follow.
The Rule of 40 - a formula combining revenue growth and free cash flow margin - has become a key driver in software valuations. For example, high-growth companies scoring above 40% were valued at about 9.7x revenue in mid-2023. As Louis Lehot, Partner at Foley & Lardner LLP, explains:
"Today, 'Rule of 40' growth is the primary driver of software valuations" [13].
Quality of Earnings (QofE) adjustments also play a crucial role, normalizing EBITDA by accounting for items like owner compensation, related-party transactions, and non-recurring expenses [14][15]. These dashboards should also track metrics like Days Sales Outstanding and flag any customer concentration exceeding 10% of revenue, which could indicate risk [15].
While financial metrics set the stage for valuations, deal pipeline metrics shed light on the health and momentum of ongoing transactions.
Deal Pipeline Metrics
Pipeline dashboards are essential for tracking deal flow and identifying bottlenecks. Metrics such as active listings, NDA conversions, and LOIs received provide a snapshot of progress, while monitoring the average time spent in each stage can reveal delays. A funnel report can help brokers evaluate the number of targets screened, their average scores, how many move to the next stage, and the reasons behind rejections [5].
Weighted scorecards are a useful tool for assessing deals objectively, converting qualitative factors into a 1-to-5 scale. For example, criteria like strategic fit (25%), growth potential (15%), and factors such as margin, technology, valuation, and integration complexity (10% each) help minimize bias [15].
RAG (Red/Amber/Green) status indicators offer a quick visual of deal health. Amber signals unresolved issues requiring escalation, while Red highlights critical risks or missed opportunities [5][10]. To ensure consistency, standardizing definitions for terms like "qualified target" and "lead" across teams is essential [2].
Once deals advance past the pipeline stage, diligence and closing metrics take center stage to ensure smooth execution.
Diligence and Closing Metrics
After signing a letter of intent, diligence dashboards track task completion rates across various workstreams using categories like Open, In Data Room, Clarification, Complete, and Red-flag [5]. Since diligence periods often span 30 to 60 days, real-time tracking is crucial to avoid delays.
Maintaining issue logs and identifying red-flag items ensures timely escalation. Amber items that remain unresolved should be flagged during twice-weekly update calls to prevent escalation into critical issues [5]. According to a 2021 survey, poor due diligence was cited as the reason for failure in 56% of deals [10].
Closing probability scores can help prioritize resources by factoring in diligence task completion rates, outstanding red-flag items, and historical close rates. As Gene Godick, CFO of G-Squared, puts it:
"Risk is an intrinsic part of determining value – instinctively, we are all willing to pay more for a sure thing than for a 'maybe' that could be a big winner or a total loss" [15].
By integrating these metrics into dashboards, teams can spot risks early and act quickly.
Post-Merger Integration Metrics
Once the deal is closed, integration dashboards are critical for ensuring the transaction delivers on its promises. Tracking cost synergy realization - from supply chain optimization, office consolidation, and workforce reductions - against initial benchmarks is a must [17]. Similarly, revenue synergy realization from cross-selling and market expansion should be monitored closely. Integration spending, often 8% to 12% of gross cost synergies, needs to stay within budget to avoid overruns [5].
Key talent retention is another priority, with best practices aiming to retain at least 95% of critical roles during the first year post-deal [5]. Since cultural challenges are responsible for 80% of integration issues [16], tracking employee pulse scores and cultural alignment metrics is just as vital as financial metrics.
Additionally, customer churn rates and satisfaction scores are key indicators of whether the transition is alienating the existing customer base. Monitoring integration milestones, such as completing initiatives outlined in the 100-day plan, is equally important. For instance, during the Kraft-Heinz merger, the companies projected $1.5 billion in annual cost synergies by consolidating overhead and supply chains [17]. With roughly 70% of large M&A deals underperforming expectations [14], these metrics are essential for protecting and maximizing value.
Design Principles for M&A Dashboards
These principles aim to create dashboards that deliver actionable insights throughout the M&A process.
Goal-Driven Dashboard Design
Start by defining the dashboard's purpose before diving into any BI tool. For example, a deal sourcing dashboard might focus on hitting specific quarterly targets, while an integration dashboard could spotlight potential bottlenecks in processes [18]. Without a clear objective, a dashboard becomes little more than a collection of data.
Use SMART objectives to shape the dashboard's mission. For instance: "Track OPEX vs. budget across departments and flag deviations greater than 10% in red" [21]. This level of detail ensures every chart and metric has a clear role. F9 Finance puts it perfectly:
"Dashboards aren't supposed to be data dumps. They're supposed to tell a story. A useful one" [21].
Before building anything, sketch out the layout on paper or a whiteboard to organize the information flow and gain stakeholder alignment on priorities [21].
From there, it's essential to consider who will use the dashboard and tailor the layout to their needs.
Audience-Specific Layouts
Once goals are set, focus on designing layouts that match the user's role. M&A dashboards must cater to different audiences. For executives, strategic dashboards should highlight just 3 to 5 key metrics - like revenue trends or synergy targets [21]. Analytical dashboards for brokers or FP&A teams need interactive tools like filters and drill-downs to explore "what-if" scenarios. Operational dashboards help department leaders track daily execution, such as cash flow or budget performance, while tactical dashboards assist individual contributors with task-specific updates and checklists [21].
Dashboard Type | Primary Audience | Key Focus | Design Requirement |
Strategic | Buyers, C-Suite | High-level KPIs, ROIC, EBITDA | Minimal detail; 3–5 metrics max |
Analytical | Brokers, FP&A Teams | Trend analysis, what-if scenarios | Filters, slicers, drill-downs |
Operational | Integration Leads | Day-to-day execution, workloads | Real-time data; easy to scan |
Tactical | Individual Contributors | Task-specific checklists, status | Function over flair; checklists |
Given that the average attention span is just eight seconds, dashboards need to communicate their message in seven seconds or less [19]. The 5-second rule is a useful benchmark: users should grasp the main takeaways within five seconds of seeing the screen [20]. F9 Finance explains:
"If someone needs to ask what they're looking at… you've already lost" [21].
Use language familiar to each audience. Finance teams, for instance, understand terms like "DSO" (Days Sales Outstanding), while operational leads are more likely to relate to "Burn Rate." This approach speeds up understanding and reduces confusion.
Visual and UX Best Practices
Position key data in the top-left corner and use size and contrast to emphasize primary metrics. For example, place current-month EBITDA in bold, large text, while showing supporting details like margin percentages in smaller font.
Eliminate unnecessary design elements like decorative backgrounds, extra grid lines, or non-informative icons to maximize the focus on data [18][21]. Keep the number of visualizations between 5 and 9 to avoid overwhelming users and creating "choice paralysis" [20]. As Yellowfin BI points out:
"Design should never complicate the experience and get in the way of gaining information, but be an effective vehicle by which the story is best communicated" [20].
Reserve bold, saturated colors - like red for warnings or green for growth - for critical alerts or outliers [23]. Stick to neutral tones for standard data and limit font types to one, with no more than three sizes, to maintain a clean visual hierarchy [22]. Always test your color palette with a colorblind simulator, as roughly 1 in 20 people have color vision deficiencies [22].
Provide context for every number. Rather than showing "$2.3 million in revenue" on its own, display it alongside a target, last period's figure, or a trailing average. This helps users quickly assess performance [18][21]. Round numbers for clarity - for instance, use $2.3M instead of $2,347,892.14 - to highlight meaningful trends rather than minor fluctuations [18].
Group related metrics logically. For example, cluster valuation metrics together or organize deal pipeline stages sequentially, making it easier for users to find what they need. Finally, ensure dashboards load in under 5 seconds; anything slower risks losing user engagement [20][21].
Technical Implementation of M&A Dashboards
Creating an effective M&A dashboard means combining the right data sources, selecting appropriate tools, and ensuring strong data security. For lower mid-market transactions - typically involving businesses with less than $25 million in EBITDA - the setup needs to balance functionality with practicality.
Data Sources and Integration
For most lower mid-market businesses, QuickBooks Online (QBO) and Excel are the go-to sources for financial data, including Profit and Loss statements, Balance Sheets, and Cash Flow reports. But financials alone don’t tell the whole story. To get a full picture of a business’s health, you’ll also want to integrate operational data from CRMs, payroll systems, and sales platforms.
Integration can be handled through APIs, direct connectors, or ETL tools like Power Query, Alteryx, and dbt. For instance, PayPal’s QuickBooks Connector can automatically sync transaction data. Before you start building the dashboard, tools like Power Query can clean and standardize your data to ensure you’re working from a single, reliable source. As Brad, a bookkeeping firm owner, shared:
"The QBO dashboard... has saved us over an hour per client per month, and brought on a whole new life to the monthly reporting" [24].
To keep your data fresh and reliable, schedule updates ahead of key meetings - say, every Monday morning. Automated dashboards can cut month-end close times in half, from 10 days to just 5, while improving forecast accuracy by 22% [21].
BI Tools for M&A Dashboards
When it comes to business intelligence (BI) tools, options like Microsoft Power BI, Google Looker Studio, and Tableau Desktop each offer unique strengths:
Microsoft Power BI: A great choice for teams already using Microsoft products. Its data modeling capabilities and integration with Office 365 make it a favorite, and Power BI Desktop is free for individual use - ideal for smaller brokerages.
Google Looker Studio: Perfect for consultants who need simple, shareable dashboards. Its link-sharing feature makes collaboration quick and easy.
Tableau Desktop: Known for its high-quality visualizations, Tableau is excellent for storytelling through data but comes with a higher price tag.
For M&A-specific needs, platforms like DealRoom, Midaxo, and DevenSoft combine virtual data rooms, CRM, and project management tools, reducing the need for multiple software solutions. Setting up a professional QBO dashboard typically costs between $1,000 and $5,000, with monthly subscription fees ranging from $47 to $97 per connection [24].
Modern BI tools also include features like natural language querying - Power BI’s Q&A tool is a good example - and automated target screening to flag discrepancies in financial data. Prioritize tools with self-service capabilities so non-technical users can create queries without needing SQL expertise.
Once your tools are in place, the next critical step is ensuring your data remains secure.
Data Security and Confidentiality
With robust integrations and BI tools powering your dashboard, protecting sensitive M&A data is non-negotiable. These transactions involve highly confidential financial and strategic information, so strict security measures are essential. Implement role-based access control (RBAC) to ensure users only see data relevant to their roles, and use row-level security to limit access to specific records based on permissions.
During the pre-close phase, you might use third-party "clean teams" to analyze sensitive data without exposing it to the broader integration team. This approach helps manage information barriers and addresses antitrust concerns [8][11]. Dashboards should also support data anonymization to safeguard personally identifiable information (PII) while still enabling meaningful analysis.
To further strengthen security, align your dashboard with SOC 2 Privacy Criteria to protect PII [26]. Non-compliance with regulations like GDPR can result in steep penalties - up to €20 million or 4% of annual global turnover, whichever is higher [25][26]. Establish protocols for securely disposing of data once it’s no longer needed, and consolidate all KPI data sources into a centralized system to avoid gaps caused by siloed tools.
At God Bless Retirement, protecting client confidentiality is a top priority throughout the M&A process. Their dashboard implementation strategy incorporates these security measures to safeguard sensitive business information during valuations, buyer sourcing, and deal execution.
Conclusion
Key Takeaways for M&A Dashboard Design
When designed with purpose and precision, M&A dashboards can dramatically improve decision-making, streamline operations, and turn strategic goals into tangible outcomes. For lower mid-market transactions - particularly those involving companies with under $25 million in EBITDA - these dashboards are invaluable in shifting management from reactive problem-solving to proactive planning. By presenting data visually, they allow for quicker insights and more confident decision-making.
The impact is clear: dashboards reduce month-end close times by 50% (from 10 days to 5), boost forecast accuracy by 22%, and ensure valuation precision by aligning pre-deal KPIs with industry benchmarks [21]. They also eliminate conflicting data across departments and provide operational transparency - an essential factor, given that 83% of M&A practitioners identify integration challenges as a leading cause of deal failures [11].
To create a dashboard that delivers results, focus on tailoring it to its audience. CFOs may need high-level summaries like red/yellow/green indicators, while department heads often require detailed, drill-down views of operational metrics. Keep the focus on 3–5 key metrics to avoid overwhelming users, map out your layout with wireframes before implementing BI tools, and automate data updates to ensure credibility during critical meetings.
These enhancements make dashboards a cornerstone for turning raw data into actionable insights.
How God Bless Retirement Supports Dashboard Implementation
God Bless Retirement specializes in helping family-owned and lower mid-market businesses integrate these advanced dashboards into their M&A processes. By centralizing essential data - such as certified valuations, buyer sourcing, and deal tracking - into systems with automated reporting and real-time insights, the firm ensures clients have the tools needed for informed decision-making. Throughout the process, they maintain strict confidentiality and provide expert guidance, empowering businesses to navigate every stage of the transaction with confidence and clarity.
FAQs
What advantages do M&A dashboards offer compared to traditional spreadsheets?
M&A dashboards offer a real-time, centralized view of deal metrics, cutting out the delays and confusion that often come with juggling outdated spreadsheets. With automated updates, teams can instantly access the latest insights, speeding up decision-making and eliminating tedious tasks like consolidating data or reformatting reports. This means analysts can spend more time focusing on strategy and less on manual data entry.
These dashboards also improve collaboration and alignment among all stakeholders, from deal-makers to integration managers. By presenting shared visualizations and key performance indicators (KPIs) in a single location, they reduce siloed efforts and ensure everyone is aligned on common objectives, whether that's achieving cost savings or retaining customers. For a family-run brokerage like God Bless Retirement, such tools simplify reporting, enhance deal evaluations, and provide real-time tracking of post-close performance - transforming raw data into meaningful, actionable insights.
How can M&A dashboards be customized for different roles within a company?
M&A dashboards should be crafted to address the specific needs of each stakeholder group, ensuring everyone gets the insights they require without unnecessary clutter. Executives and board members often need a high-level summary of critical metrics like deal valuation, projected synergies, and return on investment. These insights should be presented in a straightforward, easy-to-digest format that supports quick decision-making.
On the other hand, finance teams rely on more detailed financial data. They typically need access to cash flow forecasts, EBITDA trends, and cost-saving targets, often displayed in tables or visual charts to facilitate deeper analysis.
For integration managers and functional leaders, dashboards should focus on operational metrics such as workstream progress, employee turnover, system adoption rates, and customer retention. These insights help them keep a close eye on integration performance and ensure alignment with strategic goals. Meanwhile, analysts and deal advisors require data-heavy dashboards that combine due diligence findings with performance benchmarks. This allows them to pinpoint gaps and refine strategies effectively.
At God Bless Retirement, we specialize in designing custom M&A dashboards tailored to meet these diverse needs. All dashboards are formatted in U.S. dollars, follow the MM/DD/YYYY date format, and adhere to familiar American number conventions, ensuring they are both clear and user-friendly for our clients.
What key metrics should an M&A dashboard include to support effective decision-making?
An effective M&A dashboard zeroes in on financial, operational, and integration metrics to offer a clear picture of how a deal is performing.
When it comes to financial metrics, include key figures like revenue, EBITDA (or EBITA for deals under $25 million), net cash flow, acquisition costs, and valuation multiples. These numbers provide a snapshot of the deal's financial condition and how well it aligns with the investment strategy.
Operational metrics, on the other hand, focus on areas like customer retention, employee turnover, capacity utilization, and process efficiency. These indicators help uncover potential risks and evaluate whether the target company can meet its objectives.
Integration metrics are critical for monitoring progress. Metrics such as milestone completion, adherence to budgets, and risk scores help flag potential issues early on. By combining all these data points into an interactive and streamlined dashboard, brokers and decision-makers can make informed, timely choices. For boutique firms like God Bless Retirement, this approach is especially valuable for analyzing sub-$25 million EBITA deals while providing clients with transparent, actionable insights.
