M&A Due Diligence
The due diligence phase of any merger or acquisition - the study of the risks a potential deal poses - can make the difference between success and failure. It is your review of an acquisition candidate to make sure the purchase would pose no unnecessary risks to your shareholders. In many ways, due diligence can be compared to “kicking the tires” and “looking under the hood” before a company is acquired. It has been called the “safety net” in any transaction.
At MMCG, we can manage or assist with your due diligence efforts to assess the primary benefits and liabilities of the target company, by inquiring into the relevant aspects of the past, present and predictable future of the business to be acquired. Our assessment will focus on risk, looking for red flags, and any major obstacles to a successful acquisition.
Although our due diligence study can be tailored to meet your specific needs, our typical engagement includes the following major elements:
- Request for and collection of key documents from target company
- An examination of financial statements and financial projections
- An assessment of management, operations, customers & culture (to include site visits, management interviews, customer satisfaction assessments, etc.)
- An assessment of legal liability (in conjunction with your legal advisors)
- A final written report to present our findings and recommendations
At MMCG, we can help you assess the potential risks of an acquisition by providing high-quality, timely, and unbiased due diligence, business assessments, and other related professional services. As a result, you will be better prepared to make a well-informed investment decision.