Financial Due Diligence
Financial due diligence is often complex and a company’s existing management and staff may not have the experience or bandwidth necessary to complete an in-depth analysis within a required timeframe. A rational, non-emotional and independent analysis can help ensure that a company has maximized its effort to reduce risk and error while defining structure and probability.
Companies realize that good decisions are based in the detail and depth of the analytics that are developed and the matching timeliness of their availability. Fully evaluating an opportunity before acting on it is critical and having the best financial and operational information readily available helps in the process of making and supporting decisions.
At AC Lordi we recognize both the challenges and opportunities that financial decisions provide. We work with our clients to provide a level of comfort that can only be obtain through in-depth analysis and our profound interest in helping clients make the best decisions possible based on detailed information.
Some of the many ways we can provide financial due diligence include:
- Accuracy of historical financial statements
- Compliance with GAAP
- Future performance projection analysis
- Quality of Earnings (“QofE”)
- Proforma EBITDA
- Balance sheet and working capital trend analysis
- P&L trend and operational analysis
- Identify and analyze off-balance sheet items and contingent liabilities
Buyer or Seller
- Identify risks and mitigation strategies
- Purchase accounting considerations
- Purchase contract – “Reps and Warranties”
- Indemnification analysis
At AC Lordi, our Financial Due Diligence team of expert professionals has led a diverse group of companies through acquisition, growth, and sale lifecycle. We have an extensive background in private equity and led due diligence and transactional services teams. In addition, we have led MBOs and directed management teams through the negotiation and sale of businesses.