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In the realm of business brokerage, understanding financial intricacies is paramount. One such crucial aspect is the calculation of Add-Backs or Seller's Discretionary Earnings (SDE). It's a concept that often perplexes prospective buyers and sellers, but it's a fundamental component of assessing a business's true value. In this article, we'll dive deep into what Add-Backs are, how they are calculated, what they mean, and why they are so significant in the world of business transactions.