Financial Due Diligence

Mitigate Risks And Make Informed Investment Decisions.

Financial Due Diligence (FDD) analyzes a company’s financial health, risks, and sustainability before major transactions.
It ensures transparency and helps stakeholders make confident, informed decisions in deals like mergers or acquisitions.

WHY IT MATTERS

A lack of thorough financial due diligence can result in costly surprises, legal battles, or failed acquisitions. Investors and stakeholders demand full transparency before committing capital, making FDD a crucial step in mitigating financial risks and safeguarding business interests.

PROBLEM & PROTECTION

Without proper financial due diligence, businesses risk overpaying for acquisitions, inheriting undisclosed debts, or encountering fraudulent financial reporting. Our FDD services provide a structured, comprehensive analysis to ensure that buyers and investors make sound decisions, minimizing risks and maximizing returns.

WHAT WE DO

Financial Statement And
Revenue Analysis

We review historical financial statements to assess their accuracy, reliability, and consistency. Our analysis covers revenue drivers, recognition policies, and growth trends to spot red flags, while evaluating margins and segment-wise contributions for deeper performance insights.

Debt And Liability Risk
Evaluation

We assess debt & contingent liabilities to identify risks affecting deal value or post-acquisition integration. Our evaluation includes loan agreements, off-balance-sheet obligations, legal claims, and guarantees. We analyze debt servicing capability, repayment schedules, & covenant compliance to understand financial commitments.

Profitability And Cash Flow
Analysis

We assess historical and projected profitability to determine true earning capacity. Our analysis includes gross margin, EBITDA, net profit trends, and cost structure. We review cash flows to evaluate liquidity and solvency, supporting valuation, deal negotiations, and return analysis.

Regulatory Compliance And
Tax Due Diligence

We evaluate the target company’s compliance with tax laws, regulatory filings, and statutory obligations. Our audits cover tax positions, litigations, exposures, and compliance history, highlighting regulatory risks, non-compliance, penalties, and liabilities that may impact the transaction.

Business Model And Market
Positioning Assessment

We analyze the core business model to assess sustainability, revenue streams, and scalability. Our review covers customer concentration, pricing, differentiation, and operational risks, while evaluating market position, industry alignment, and the company’s strategic strengths and adaptability.