Buying a business is Risky.
We mitigate that risk for you.
Find out why countless clients trust us to vet their acquisitions.
M&F Advisory Services
At Allied Consulta, we help businesses navigate complex mergers, acquisitions, and financial strategies with confidence. Our M&A Advisory services include deal sourcing, valuation, due diligence, and seamless post-merger integration to ensure successful transactions.
Quality of Earnings
QoE - Lite
Financial Model
Growth Strategy & Expansion
Inventory Management
Product Costing
Quality of Earnings
General Overview
Our Quality of Earnings (QoE) Report provides a thorough financial analysis, offering a precise and trustworthy evaluation of your target acquisition’s financial health. This comprehensive service includes a detailed review of financial data, contracts, and reporting practices, along with specialized due diligence, ensuring you make well-informed decisions with confidence.
Designed to equip prospective buyers with key insights, our report clarifies the business’s earnings quality, financial performance trends, and potential investment value, all supported by direct access to expert guidance.
Ideal For
Buyers who have already executed a Letter of Intent (LOI) and require a comprehensive financial review of the target company, including a detailed reconstruction of the Profit & Loss statement. This assessment is ideal for sharing with private equity investors, banks, SBA lenders, and non-financial experts.
What's Included in Quality of Earnings
- Read available background information (Target’s history, structure, and operations) and internal financial data and management reporting/analysis packages.
- Analyze the methodology for which the financial information for the Target is prepared, including any assumptions, adjustments, and allocations.
- Review bank statements and perform Proof of Cash analysis.
- High-level analysis and commentary on trends in direct operating and SG&A costs incurred within the business Inquire about out of period, nonrecurring, unusual and non-cash items.
- Identify Customer and vendor concentration.
- Review management proposed adjustments to normalize EBITDA (If any)
- Review of balance sheet.
- Identify and assess off-balance sheet liabilities, accrued liability, and other environmental or litigation related liabilities Light tax review with the aim to identify any potential red flags only and not a full tax diligence..
- Analyze historical working capital trends, with a focus on seasonality, high/low points, potential normalizing items, and average run rate.
- Analyze a summary of accounts receivable, including aging and bad debt statistics.
- Analyze the composition of inventory and inquire about: Target’s inventory costing methodology, and write-down history, broken down by inventory-type.
- Analyze a summary of account payables, including aging statistics. Inquire about normal and special credit terms (including rebates), significant past due payables and disputes with suppliers.
- CAPEX Analysis: Analyzing capital expenditure trends and requirements.
- Analyze a summary of prepaid expenses, deferred cost of sales and other current assets to obtain an understanding of related impact on future earnings.
- Prepare and submit additional data requirements and questions relevant to our scope.
QoE Lite
General Overview
Our QoE Lite offers a ‘Lite’ examination of a business’s finances, compared to the comprehensive analysis conducted in our full-scope Quality of Earnings. The key distinction lies in the outputs provided; QoE Lite yields working Excel files that contain concise commentary and analysis, in contrast to the comprehensive PDF report furnished by our full-scope Quality of Earnings, which meticulously details and interprets all findings.
Ideal For
Ideal if you need a comprehensive review of the target’s financials and analysis for internal use only and have already started some of the financial analysis.
What's Included in QoE Lite
The services will include “Lite” financial due diligence for the past two fiscal years + YTD, including but not limited to:
- Validate the financials.
- Analysis of revenue, operating expenses, key trends, earnings, management adjustments (add-backs) Review of key cost of the business (employees/contractors) and
- Review of balance sheet.
- Net working capital analysis (trailing 12 months)
- Light tax review with the aim to identify any potential red flags only and not a full tax diligence.
- Deliverable will be working Excel files with a short executive summary of our findings and limited commentary.
Financial Modeling Services
General Overview
Our Business Valuation service may include, but is not limited to, advice and recommendations with respect to the review of financial projections, financial modeling, and inquiries with seller and client to identify range of projected valuation.
Ideal For
Online and traditional businesses that are looking to value the Business under different assumptions, validate seller asking price, and help create a business plan to execute after close.
What's Included in Financial Model Services
- Excel book with Projection Model using the historical financials and projections for SBA plan.
- Assess the accuracy of financial projections and the reasonableness of assumptions underlying them.
- Includes business valuation and return on investment calculations; Break even analysis; Revenue forecast model; Expense break down, Amortization and depreciation schedule; Loan amortization schedule.
- Any financial arrangements for the acquisition will be fully integrated into your financial model to enable sufficient cash and debt covenant tracking.
- Easy to understand model that will be quick to update as the Business conditions changes.
Efficient Processes – Flawlessly Executed
Document Collection
The due diligence process starts with our streamlined document collection process. We work directly with the Seller(s) to get everything we need. You’ll be copied on all correspondences but we’ll take care of the heavy lifting
Due Diligence
We collect data and work tirelessly to analyze your prospective acquisition, utilizing our decades of due diligence experience and proprietary software, all while keeping in communication with you.
Presentation
We present everything we’ve found, and it won’t all be good. There’s a lot to take in so you’ll receive an easily consumable report for you to make an effective buying decision. We’re here to advise and help every step of the way, even long after we’ve delivered our findings.
Businesses that trust us for M&F Advisory Services
What you say about our services
“Working with the team from last 3 years. Highly reliable and resulted oriented. Feel free to ask for recommendation.”
Marcus Heal
Pan Solar
CFO Services
“Saddam is knowledgeable and great person to work with.”
Vincent Lauer
Edition Colibri
Financial Analyst for Acquisition Modeliing - Amazon FBA Business
“I wanted to share my experience working with Allied Consultants. They did a good job managing our bookkeeping needs and were always prompt in responding to our requests. They were reliable and handled tasks efficiently, ensuring that our financial records were accurate and up to date. Whenever we had customs or needed assistance, they were quick to help out, which was appreciated. Great contributions to the team and definitely wishing them all the best.”
Wassef Bensaid
PLUXY ZURA+
Bookkeeper with E-commerce expertise
“Saddam has been a fantastic addition to our team. He is been incredibly cooperative, is an engaged team player, and strives to deliver to expense expectations. We will be hiring back Saddam right away (we’re just switching up our contract terms for our long term working relationship).”
Anette Perry
VIVA AUTOMATED
Monthly Bookkeeper for Xero
Case Studies
Case Study: FP&A & M&A Support for a Global Renewable Energy Group
Case Study: Maximizing Business Valuation for CBC, a Healthcare Provider in California
