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
