Company acquisitions, mergers and joint ventures
Due Diligence or Due Diligence Assistance
Generally, buyers are looking for trustworthiness and security with respect to the financial data, especially with regards to the financial situation, the earning power and the cash flow of the target company. This is because this data forms the basis for calculating the purchase price which will be paid. A so-called Due Diligence is, therefore, completed.
Due Diligence basically means taking the necessary, reasonable care as well as scrutinizing the sales prospectus. The following points are, therefore, examined: Has the management of the target company prepared the historical financial data and planning data, including the accompanying measures for the future, with Due Diligence and included this information in the prospectus? Is the historical data meaningful and does the planning data for the future fit in realistically with the previous development of the company?
We complete Due Diligence checks for you. This involves completing a critical examination of the target company with the objective of verifying the historical and future data. We then summarize the results in a Due Diligence report and provide you with advice until the purchase contract has been concluded. You can then take time to make your investment and financing decisions based on this solid foundation of transaction relevant data.
If you do not require a report, we can still provide the so-called Due Diligence Assistance. In such a case, you and your employees take care of the Due Diligence activities yourselves and we provide backup for your Due Diligence team.
The same questions and tasks also apply to mergers and joint ventures, where two or more business partners provide services and value and receive the relevant fair share of the new target company.
If you wish, we can provide information on the seminars available in our academy in which the structure and content of Due Diligence are presented and explained.