Buy-Side_Due_Diligence

UY-

IDE

ILIGENCE

Quality of Earnings – Identifying quality of earnings adjustments through comprehensive financial statement analyses to provide a clear view of the target company’s recurring EBITDA;

Impact of Accounting Policies on EBITDA – Evaluating accounting policies including revenue recognition, allowances, inventory valuation, and accruals and determining their impact on EBITDA;

Business and Operational Trends – Performing detailed income statement analyses including, historical revenue driver, gross margin and SG&A analyses;

Our buy-side due diligence product can be tailored to meet the needs of your specific transaction. Buy-side services are typically used by private equity firms considering an acquisition target, by cash flow lenders (senior and subordinated) considering an investment in a prospect, and by corporations assessing a potential add-on to their existing platform.

With the ultimate goal of understanding the target company’s underlying business risks, operational strengths and weaknesses, and the critical issues impacting the transaction, our full-scope due diligence engagements typically include the following:

Balance Sheet and Other Contingences – Performing detailed balance sheet analyses to understand historical working capital needs, analyzing quality of assets, capex requirements, inter-company transactions, and identifying potential contingencies and commitments;

Management Projections – Assessing management-prepared projections and bridging forecast assumptions to the most recent normalized operating results;

Coordination of Tax Due Diligence – We partner with experienced tax transaction professionals who provide comprehensive domestic and international tax services for our clients.

Tailored Approach and Senior-Level Execution

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