Modern Lehman Calculator
The1MA Modern Lehman Formula Calculator
Estimate indicative M&A success fees using the The1MA Modern Lehman Formula.
The1MA Modern Lehman Formula: 10%, 9%, 8%, 7%, 6%, 5%, 4%, then 3% on the remaining transaction value above USD 7 million.
Estimate indicative M&A success fees using the The1MA Modern Lehman Formula.
Welcome to the The1MA Modern Lehman Formula Calculator.
This calculator provides an indicative estimate of M&A advisory success fees based on a progressive fee structure commonly used in lower middle-market and cross-border transactions.
Unlike a flat percentage fee, the Modern Lehman Formula applies different rates to different portions of the transaction value.
The first one million US dollars is charged at ten percent, the second million at nine percent, the third million at eight percent, the fourth million at seven percent, the fifth million at six percent, the sixth million at five percent, and the seventh million at four percent.
Any transaction value above seven million US dollars is calculated at three percent.
This tiered approach recognizes the significant effort required to originate, position, market, negotiate, and successfully complete a transaction, while ensuring the effective fee rate decreases as deal size increases.
Simply enter the estimated transaction value in US dollars and the calculator will automatically generate an indicative success fee together with a detailed fee breakdown for each tier.
Please note that this calculator is provided for illustration purposes only. Actual advisory fees may vary depending on transaction complexity, industry sector, deal structure, geography, exclusivity, and the terms of the engagement agreement.
The1MA specializes in strategic asset sales, business acquisitions, hospitality investments, and cross-border M&A opportunities throughout Asia and selected international markets.