Seller Side QoE
Numbers You Can Trust. Valuations You Can Defend.
What We Offer
- Quality of Earnings (QoE) Analysis: Identify add-backs and cost savings to maximize EBITDA and valuation.
- Financial Statement Review: Ensure accuracy, consistency, and readiness for buyer scrutiny.
- Operational & Supply Chain Assessment: Address inefficiencies and highlight strengths before the sale.
- Risk Identification & Mitigation: Proactively uncover and resolve potential deal-breakers.
- Deal Preparation & Buyer Readiness: Ensure smooth negotiations by anticipating buyer concerns.
Why Sell-Side Due Diligence Matters
- Stronger Negotiation Position: Present a transparent, well-prepared financial profile to justify your asking price.
- Fewer Surprises, Smoother Deal Process: Minimize buyer skepticism and reduce price chipping risks.
- Faster Due Diligence Process: Well-prepared sellers move through buyer diligence more quickly.
- Higher Deal Success RateReduce the risk of deal failure by addressing potential red flags upfront.
Why Choose Us?
- Industry Expertise: We specialize in preparing businesses in e-commerce, healthcare, renewable energy, and more.
- Comprehensive Financial & Operational Review: We ensure your business stands up to buyer scrutiny.
- Strategic Guidance: We help you resolve issues before they become obstacles in negotiations.
Sell–Side Financial Due Dilligence | FAQs
What is seller-side due diligence?
Seller-side due diligence is a preemptive evaluation of your business to identify and address any issues before a buyer conducts their own review. It helps streamline the sales process and build buyer confidence.
Why is seller-side due diligence important?
It minimizes surprises during the transaction, reduces negotiation time, and ensures that your business is presented in the best possible light to potential buyers.
We have audited accounts, so won’t sell-side financial due diligence be duplicative?
Often, sellers do not see the need for sell-side due diligence as they have audited financial statements, and as such consider the financial records of the business to be “clean”. Audited financials do not reflect “deal financials.” It is the deal financials upon which buyers base their valuation. Buyer due diligence cleanses the financials for out-of-period costs, non-cash items, and illustrates pro-forma considerations to maximize value for the buyer and provide a rationale for a reduction of purchase price. Indeed, if a seller merely shares GAAP basis financial information with a buyer, the seller is likely to experience a significant loss of value.
What financial documents are needed?
- Monthly P&L, Balance sheet with General Ledger
- Tax returns.
- Bank statements and credit card statements with reconciliation
- Forecasts and budgets, if available
- A detailed list of information and documents required shall be shared through a query sheet once the engagement letter is signed.
How long does the due diligence process take?
Typically, it takes 3–6 weeks, depending on the complexity of your business and the scope of the review.
What if books are not reconciled and contain errors?Is book cleaning included in the package?
Low-level/Lite cleaning and reconciliation shall be included in the package. However, books, that required extensive cleaning and reconciliation shall be charged separately at competitive pricing.
What are the key steps in seller-side due diligence?
- Gathering financial, operational, and legal documents.
- Conducting internal reviews and audits.
- Addressing red flags and preparing a data room for potential buyers.
