Prior to an acquisition, purchase of an ownership interest or other significant business decision, financial statements alone may not always provide a complete picture of the company’s accounting position, the underlying financial data and the risks that may influence the decision.
In our due diligence work, we focus on a targeted review of the company’s financial and accounting information and on identifying areas of risk that are material to the client’s decision. Among other areas, we assess the accounting treatments applied, significant balance sheet items and liabilities, as well as specific, unusual or non-recurring items that may materially affect the financial assessment of the company.
Our goal is to enable the client to consider the available financial data together with a professional assessment and an understanding of the material risks when making a decision. Awareness of identified uncertainties and risks can contribute to a more accurate assessment of transaction terms, a better-founded negotiating position and a reduced risk of unexpected financial or accounting consequences arising later.
The scope of our review is tailored in each case to the nature of the transaction, the characteristics of the company being reviewed and the client’s information requirements. We summarise our findings in a structured and clear format focused on information relevant to decision-making.