Financial due diligence is an exercise carried out on behalf of a prospective bidder
in a negotiated bid in order to confirm the accuracy of the information and assumptions
on which the bid is based.
A due diligence report will provide the bidder with an independent assessment of
the business and will highlight and quantify areas of commercial and financial risk.
It will also assist finance providers to identify worthwhile investment opportunities
- and highlight those where caution should be exercised.
A due diligence report will address:
- The dynamics of the business - including critical success criteria, key performance
indicators, industry trends and any seasonal implications which may affect the business.
- Management issues.
It will also comment on the quality of the financial and management information,
the proposed structure of the investment and the company's ability to service its
terms.
The financial due diligence process is a necessity to any transaction and is one
in which Grant Thornton Corporate Finance has a long and established track record.
For more information, please Contact Us.