Know what you are buying, in numbers you can reconcile.
Our diligence tests the earnings, the cash and the market story behind a target, and gives your committee a clear list of what matters before signing.
Financial and commercial diligence under one team.
Quality of earnings
Reported EBITDA adjusted for one-offs, run-rate effects, owner costs and accounting policy differences.
Net working capital
Seasonality analysis, a normalized level and the peg proposal for the purchase agreement.
Net debt and debt-like items
Leases, deferred revenue, accrued bonuses, tax exposures and other claims that reduce equity value.
Cash conversion
Capex needs, working capital cycles and free cash flow against what the lender case assumes.
Customers and revenue
Cohorts, concentration, churn and pricing from the customer data, supported by customer calls.
Market and competition
Bottom-up market sizing and competitor review to test the growth rate in the plan.
From reported earnings to the number you pay for.
The bridge below is the core of a quality of earnings report. Each line links to a supporting schedule.
| Reported EBITDA | 56.4 |
| Owner compensation normalization | +1.2 |
| Non-recurring legal costs | +2.1 |
| Run-rate effect of pricing change | +1.6 |
| Revenue recognized ahead of delivery | -1.8 |
| Capitalized costs expensed | -1.0 |
| Diligence-adjusted EBITDA | 58.5 |
Sample output. Not a real company.
A report that goes straight into your negotiation.
- Red-flag summary in two pages, ranked by effect on price or structure
- Full diligence report with schedules and data reconciliations
- Proposed purchase agreement inputs such as working capital peg and debt-like items
- Updated model reflecting adjusted earnings and cash flow
- Committee walkthrough with your deal team and advisors