Collaborative, experienced, valuable insight
Let’s face it, the last thing you want when you are about to buy or sell a business is for the deal to become unstuck or go array. Undertaking due diligence is essential before entering into a proposed transaction with another party.
Whether you are investing in, purchasing or selling a business, the due diligence process provides valuable information to support a fair value, mitigates the risk of the deal stalling and supports representations, warranties and commercial terms and conditions of the agreement. It is also vital for uncovering any initial unknown variables, to be factored in and considered, before the deal proceeds.
Transactions are significant events for individual shareholders, corporate investors, and management teams. They can inherently be complex and time consuming. As advisors and auditors to entrepreneurs we understand acquisition targets and use our knowledge and resources to undertake relevant work that provides meaningful assurance and data. Our specialist team is agile in their approach and draws upon expertise and experience from across the firm to support you through a transaction.
Our advice is concise, clear and comprehensible and enables well-informed decisions to be made throughout the transaction, not just at the end. We work closely with buyers, sellers and collaboratively with wider deal teams throughout transactions to ensure our clients receive a tailored, seamless and valuable service. Every client and transaction is unique, therefore we remain flexible in our approach to deliver the best possible outcome.
We are able to support you in the assessment and analysis of financial information in order for you to make well informed decisions when they count. Our team specialises in offering both acquisition due diligence (buy-side) and vendor due diligence (sell-side) transaction support. We are passionate about what we do and how we do it and partner with our clients, whether they are on the buy or sell side, throughout the transaction lifecycle and beyond.
Our due diligence services
Financial due diligence significantly improves a buyer’s understanding of a target business. It enables the buyer or investor to obtain a detailed assessment of the target’s business history, its strategic and financial position, future projections and growth prospects. Key financial details and issues identified through financial due diligence may reduce uncertainty risk and identify business valuation issues that could ultimately affect the purchase price and the sale and purchase agreement.
When a business is considering a sale or part disposal, it needs to provide an independent and credible report to prospective buyers or investors. A vendor due diligence report includes an independent analysis and review of the financial, commercial and tax related issues of the business, highlights business valuation drivers and considers potential concerns. Throughout the VDD process, we work closely with the target’s management to continuously feedback key findings and issues to enable an efficient sale or investment process.
Vendor assistance offers any combination of firm wide services and aims to provide on-going support to a business that is considering or anticipating a sale. The aim of the service is to work with the business’s management team and advisors throughout the process to ensure key issues are identified and opportunities are not missed.
The sale and purchase agreement represent an agreed outcome of a transaction between the buyer and seller. It details the terms and conditions of the sale including key financial and commercial conditions and pricing mechanisms on which the purchase price is based. Our service advises on the implications of the financial aspects, accounting and pricing mechanisms included within an SPA.
Tax due diligence is a review of historical tax compliance coupled with identifying and quantifying tax exposures and overall risks. Understanding the target’s existing tax structure and the tax implications of the structure being proposed as a result of the transaction are a vital part of making informed decisions.