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mod·u·lus (noun)
  1. absolute value (mathematics)
  2. the degree to which a substance possesses a property, such as elasticity (physics)

Strategic decisions, built on |value| rather than feelings.

Modulus Partners advises CEOs, CFOs and private equity sponsors through transactions, transformations and capital decisions, using rigorous financial modeling and quantitative analysis.

Explore our services See representative work

trust · reliability · results

Every engagement starts from numbers that tie out.

what we do

Strategic decisions through financial and quantitative analysis

We help leadership teams see their business clearly, weigh their options with real numbers, and tell a credible story to boards, sponsors, lenders and investors.

Advise

We advise clients on strategic decisions using financial data and quantitative analysis.

Diagnose

Once we understand the situation, we address the issues with quantitative methods suited to the problem.

Equip

Clients can see their potential, understand value, manage risk, solve problems and make better decisions.

Integrate

Sometimes we solve a focused need. Often we work inside a broader program or initiative already under way.

Horsepower when capacity is the constraint

  • Inadequate staffing
  • Shortage of time
  • Need for speed and efficiency
  • Too many fires at once

Expertise when capability is the constraint

  • Specialized knowledge not held in-house
  • Limited experience with the situation
  • Gaps in skills
  • Building out the team

Even the most successful companies need outside help from time to time. Consultants give you staffing flexibility as a one-time, below-the-line expense.

why modulus

A rare combination of skills, applied with care

Specialists in any one of these areas are easy to find. Professionals who combine all four are rare, and the combination is what produces outcomes clients can use.

area · 1

Corporate finance

area · 2

Quantitative analysis

area · 3

Strategy

area · 4

Operational improvement

= result

Excellent client outcomes

Deeply analytical, thoughtful work

Rigor in every assumption, formula and conclusion.

Excellent client outcomes

We measure ourselves by what the client can do afterward.

Depth with versatility

Specialist skill that adapts across industries and situations.

Results you can apply immediately

Working models and tools, not a slide deck that sits on a shelf.

Clear project governance

Defined scope, milestones and owners from day one.

Seamless integration

We work alongside your team and your other advisors.

Efficient, transparent economics

An economic model built on efficiency and openness.

A long-term view

We invest in relationships that last beyond one engagement.

Using analytics and modeling, we help clients make decisions based on |numbers|, not feelings.

how we help

From point solutions to enterprise-wide initiatives

Three core modeling practices, plus targeted point solutions that often deliver the quickest wins.

practice · deal modeling

Deal modeling

Financial support in transactions

Fully integrated, three-statement financial models that let you assess value, estimate EBITDA and cash flow, understand the effect of financial decisions on metrics and covenants, and measure EPS accretion or dilution.

Applied to
IPOsM&ACapital raisesBuy-outsCarve-outsSpin-offsValuation
Statements
P&LBalance sheetCash flow
Clients
PE and VC portfolio companies and corporates; industry-agnostic
Work with
CFO, Treasurer, sponsors and investment banks
Prior work
IPO model for a PE-sponsored SaaS company, spin-off model for a large healthcare corporate, multiple life sciences transactions
Typical length
6 to 8 weeks up to several months, depending on size and complexity
practice · strategic review

Strategic review & transformation modeling

Financial support in times of organizational change

Models that show the current state against the future state as structure, segments, regions or personnel change, so leadership can see the consequences before committing.

Applied to
Strategic reviewsRestructuringsTransformationsTurnarounds
Statements
P&LBalance sheetCash flow
Clients
Larger private partnerships, PE-backed and public companies; industry-agnostic
Work with
Chief Strategy Officer, Finance and HR
Prior work
Structural reorganization and segment realignment for a global private partnership
Typical length
At least 6 to 8 weeks, depending on complexity
practice · optimization

Investment & resource optimization

Improving the efficiency of investments and OpEx

Analysis of the return each asset and resource generates, so leadership can choose among options against its own criteria and commit future funds with confidence.

Applied to
Investment allocationResource optimization
Statements
P&LBalance sheetCash flow
Full model ideal; can be simplified to EBITDA and cash flow
Clients
Mid-market to mega-cap; industry-agnostic
Work with
CEO, CFO, Chief Strategy Officer, Treasurer and R&D
Prior work
Investment optimization for a specialty pharmaceutical company
Typical length
Often shorter, around 4 to 6 weeks
practice · point solutions

Point solutions

Focused help for specific needs, often the low-hanging fruit

Deal readiness

An outside view of value-enhancing steps before a sale, and right-hand support to the CEO and CFO on acquisitions.

Reporting packages

Monthly or quarterly board packages consolidated from existing data across sources.

Dashboarding

Operating and financial KPIs gathered from across the organization and presented for decisions.

Managerial accounting

Analytics and targeted models that resolve managerial accounting questions.

Budgeting & forecasting

Assess and improve current practices, or design and implement new ones.

Model quality assurance

Objective review of existing models for consistency, logic and robustness.

Working capital

AR and AP practices benchmarked against the market, with process changes that release cash.

Value creation

Business-wide or segment analysis to design and run programs that cut costs and preserve cash.

Capital structure

Right-hand to the board, CEO and CFO in weighing financing alternatives against market conditions.

representative engagements

What the work looks like in practice

Client names are confidential. Each case follows the same structure we use with clients: the situation, what made it hard, and what we delivered.

Liquidity and 13-week cash flow model

High-growth, blue-chip PE-backed healthcare services company

Modulus client

Situation

A fast-growing portfolio company with several joint ventures and both organic and acquisition investment needs had very limited visibility into cash and liquidity.

The CFO, a returning client, first engaged Modulus on an unrelated project. This need surfaced as that work wrapped up.

Complication

A lean finance team, maturing working capital processes and a complex commercial landscape had led to episodes of near-liquidity stress.

Despite strong performance and sponsor support, unpredictable collections and ad-hoc funding needs made the cash trajectory hard to read.

Solution

We designed a structured data-gathering framework and a documented, repeatable process for triangulating working capital data.

We then built a streamlined 13-week cash flow model with scenarios, giving the CEO and CFO forward visibility and confidence in liquidity across the parent and its JVs.

Integrated financial model for IPO

$2B+ revenue PE-sponsored software business with active M&A

Prior firm

Situation

The company needed to delever its balance sheet and pursued an IPO, commissioning a comprehensive model build.

Management, the sponsor and capital markets advisors used the model for pre-IPO capital structure, Form S-1 preparation and pricing, including testing the waters.

Complication

Dozens of acquisitions, not yet fully integrated, and the stakes of an IPO demanded a high level of precision.

New acquisitions closed during the build, and a compressed timeline added pressure as the window for capital markets looked uncertain.

Solution

A modular, integrated three-statement model with detailed components that reflected the financials accurately and avoided shortcuts.

The team worked across time zones and used technology for fast data ingestion and parallel model building to meet the deadline.

Our principal led this work as a manager at a prior firm. It is shown to illustrate our capabilities and was not a Modulus client.

our principal

An advisor who has sat on both sides of the table

Strategy · corporate finance · modeling · analytics

Pedro is a trusted advisor to CEOs and CFOs, with more than 15 years in investment analysis, finance and management consulting and a track record in transactions, strategic finance, financial modeling and analytics.

He has advised companies and sponsors, and he has also led a finance organization, so he understands what operators need from an advisor. His background in investing keeps the work focused on the drivers of value. He works comfortably with teams and stakeholders across countries and time zones, and is based in Fairfield County, Connecticut.

Modulus Partners

Principal · advisory and consulting

Operating role

SVP of Finance · luxury travel company

2019 – 2023

Ernst & Young, Strategy & Transactions · EY-Parthenon; decision modeling and analytics, working capital and value creation

2017 – 2019

Accordion Partners, Strategic Finance · modeling and analysis engagements

Earlier

Equity Research · CRT Capital

Business modeling

Integrated three-statement models for IPOs, carve-outs, spin-offs, transformations and mergers, often relied on by valuation practices and investment banks.

Financial & data analytics

Due diligence, dashboarding, and forensic analyses that form hypotheses and then confirm or disprove them.

Working capital

Performance improvement for large PE-backed and corporate clients, releasing meaningful cash flow.

Value creation

Operational diligence of acquisition targets and cost structure improvement, often around a transaction.

contact

Let's talk about the decision in front of you.

Whether it is a transaction on a deadline, a liquidity question or a model that needs a second look, we are happy to start with a conversation.

PrincipalPedro Saboia
Emailps@moduluspart.com
Phone+1 (917) 355-5395
LinkedInlinkedin.com/in/pedrosab
LocationFairfield County, CT