Financial due diligence

Transaction services

Financial due diligence is a thorough analysis of a company’s financial performance, profitability and position. It involves evaluating financial information, assessing risks, and identifying potential opportunities.

Our transaction services team provide tailored financial due diligence services throughout the deal process to help our clients navigate complex situations. Key areas of focus include an assessment of quality of earnings, identification of debt/debt-like items and determining normalised working capital.

Risk assessment

Understanding the risks associated with a transaction is vital. We conduct detailed risk assessments to identify potential financial, operational, and market risks, helping you to mitigate them effectively.

Cash flow analysis

Our team evaluates cash flow statements to determine a business’s liquidity and ability to convert profits to cash. We analyse historic cash flow patterns to enable forecast performance to be meaningfully assessed.

Compliance review

Complying with UK accounting standards is essential. We conduct thorough reviews of a business’s compliance with either UK GAAP or IFRS to ensure revenues and profits are reported as required under the required standards.

Sustainability and ESG

Sustainability related risks are on the rise as they affect the long-term resilience of your business. We provide pre-transaction ESG due diligence services which covers issues such as climate-related risks and alignment to the recommendations provided by the Taskforce on Climate related Financial Disclosure (TCFD).

Regulators are demanding increased non-financial disclosures. We can perform reviews of a target company’s sustainability related disclosures relevant to your corresponding jurisdictions including IFRS S1 and S2 and the European Sustainability Reporting Standards under the EU Corporate Sustainability Reporting Directive.

How we can help

We have vast experience in undertaking financial due diligence across a range of sectors and our team have the expertise to provide pragmatic and tailored advice to meet your objectives. You can find out more about the deals we’ve worked on.

In a recent transaction we supported a client with their first acquisition, providing financial due diligence services which led to an efficient process and gave our client clarity and confidence in the deal: “Their financial due diligence gave us confidence throughout the process and played a vital role in helping us complete our first acquisition successfully”

Get in touch with our experts.