Due Diligence

Due Diligence encompasses both “Vendor” and “Buyer” due diligence.

We are able to assist with the “Financial” aspect of due diligence.  For the buyer this encompasses reporting on:

  • Historical trading results and sustainable profitability
  • Forecast trading and assumptions
  • Key customers, suppliers and contracts
  • Accounting policies and systems
  • Balance sheet analysis and verification
  • Working capital requirements and cash flow
  • Likely capital expenditure and deferred maintenance
  • Human resource costs, job descriptions and employment contracts
  • Contingent liabilities including warranties
  • Historic taxation and GST reconciliations

For the vendor this can encompass:

  • Valuation assistance to establish an asking price
  • Assistance with preparing your business for sale
  • Drafting of an “Information Memorandum”
  • Review of historical financial records and financial statements
  • Explaining sustainable earnings and trends in both revenue and profits
  • Assistance with the preparation of forecasts
  • Understanding and leveraging off potential synergies