Whether purchasing 100% of a company, or making an investment, the due diligence process helps confirm the value and uncover any issues that impact the value, or that will need to be addressed post acquisition.
Acquirers and investors may have the skills to review the Due Diligence findings, but may not have the resources to manage the process due to other priorities. Rourke Advisory augment a buyer’s resources to help execute a comprehensive Due Diligence process.
The Due Diligence will include:
- Reviewing the seller’s financials and exceptions to GAAP that could affect the value
- Leveraging Rourke Advisory’s standard Due Diligence questionnaire to uncover issues that will need to be addressed
- Reviewing Vendor/Customer/Employee contracts to identify issues that need to be reviewed by the firm’s legal counsel or could impact the valuation
- Managing due diligence phase and provide regular status updates
- Reviewing the target firm’s sales and marketing capabilities, including market position, branding and synergies with the acquirer’s product line
- Identifying anticipated cost and revenue synergies to be realized post close
- Working with a firm’s legal team to ensure that any business issues uncovered during the Due Diligence process are covered in the purchase agreement
- Building a post close integration plan to protect the investment in the acquired firm by retaining key staff, product knowledge, and clients. A lack of integration planning can result in key staff leaving with their years of knowledge, shortly after the close of a transaction