Acquisitions, investments, and joint ventures require thorough financial analysis to identify risks, validate performance metrics, and ensure informed decision-making. Our Financial Due Diligence (FDD) services provide critical insights to de-risk financial exposure and enhance transaction confidence.
1. Quality of Earnings (QoE) Analysis
We assess a company’s true earnings potential:
- Adjustment of one-time revenues & expenses for accurate earnings.
- Identification of recurring vs non-recurring income streams.
- Evaluation of profitability drivers and financial sustainability.
2. Revenue Recognition Testing
Ensure compliance and accuracy in financial reporting:
- Verification of revenue recognition policies under IFRS & GAAP.
- Detection of aggressive revenue accounting practices.
- Matching revenue with expenses for consistency.
3. Normalized EBITDA Calculations
Measure financial performance through standardized profitability metrics:
- Adjustments for non-operational costs affecting EBITDA.
- Comparison of EBITDA trends across industry benchmarks.
- Corrective analysis for valuation adjustments.
4. Working Capital & Debt Analysis
Optimize cash flow management and debt obligations:
- Assessment of working capital efficiency for liquidity management.
- Debt ratio evaluation to gauge financial leverage.
- Verification of debt covenants & compliance risks.
5. Red Flag Reporting
Identify hidden risks before finalizing investments:
- Detection of financial inconsistencies and audit risks.
- Analysis of potential fraud, misstatements, or accounting irregularities.
- Recommendations for risk mitigation strategies.
✔ Investors & venture capital firms conducting acquisition assessments
✔ Corporations & enterprises evaluating mergers and joint ventures
✔ Startups & SMEs ensuring financial stability before funding rounds
✔ Legal & financial advisors assisting with transaction negotiations
- Certified Financial Analysts & Due Diligence Experts
- Proven Risk Assessment Frameworks to minimize exposure
- Data-Driven Insights for Smarter Investment Decisions
- 24/7 Advisory Support for Transactions & Acquisitions
Make Confident Investment Decisions Today!
Ensure a risk-free investment journey with expert financial due diligence!
