EBITDA, or Earnings Before Interest, Taxes, Depreciation, and Amortization, is a key metric in private equity for evaluating company performance. To make it clear to non-finance members, try these strategies:

• Simplify the concept: Explain EBITDA as a way to measure a company's core profitability without the influence of financial decisions or accounting practices.

• Use relatable examples: Draw parallels with household budgeting, such as comparing EBITDA to income before paying off loans and taxes.

• Visual aids: Utilize charts and graphs to illustrate how EBITDA is calculated and its impact on financial health.

How do you explain complex financial concepts to your team? Share your strategies.