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Business
Acquisition Review (Due Diligence)
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Company
Acquisitions * Company Mergers
At
Beacon Consulting Associates, we assist business owners, management,
and investors to determine if the business to be acquired or merged
meets expectations and is actually as has been represented.
A
Business Acquisition Review is a thorough analysis focusing on the
essential issues within that business and industry.
The time required to complete a Business Acquisition Review
varies with the size and complexity of the business and with the
number of business issues to be investigated, but often ranges from
three to eight weeks. Typically,
our review focuses on the business model.
We answer questions like:
Does the business model actually work as represented?
Is it sustainable?
To what extent is it scalable?
If a business is profitable, we want to determine the true
source of that profitability and the quality of the earnings.
If the business is not profitable, or only marginally profitable,
we want to determine the reasons for the lack of profitability and
develop recommendations for improvement.
We
analyze revenue sources, variable and overhead cost structures,
operating expenses and cash flow.
We analyze critical balance sheet accounts and attempt to
value assets, confirm liability values, and look for unrecorded
liabilities and commitments.
We review financial records over a several year period to
plot trends, pinpoint turning points, and identify the source(s)
of current profitability or financial difficulties.
Our Business Viability Review focuses not only on cash flow,
solvency, and cash position, but further analyzes the goods and
services the business produces or performs, its position in the
marketplace, its competition, and its pricing structure.
In those cases where the business is involved in highly specialized
products or services, we may bring in outside professional experts
to participate in the analysis.
As
a result of our Business Acquisition Review, we may suggest alternative
strategies and courses of action with estimates of time frames,
required investment and potential financial returns.
Beacon
Consulting Associates offers top professional skills and thorough
analysis. We respond
not only to parameters set by our client, but may also suggest additional
areas of concern and identify other opportunities.
A
Business Acquisition Review is essential for:
- Investors
- Business
Owners
- Business
Management
Beacon
Consulting Associates
has conducted Business Acquisition Reviews for business owners,
business management, and investors in a variety of industries including
manufacturing, insurance, e-commerce, video and CD duplicating,
and many others.
Our
first consultation is at no charge.
If we are selected
to perform a Business Acquisition Review, our first step is to conduct
a planning meeting at which we determine the critical business issues,
your concerns and objectives, outline a work plan, identify the
essential areas of analysis, and prepare a realistic time plan to
complete the review.
We
work to your budget.
Frequently, we can
hold the costs within a budget by having client personnel assist
in data gathering and schedule preparation while we focus on the
analyses. We charge by the hour.
Our hourly rates are reasonable and we are flexible in tailoring
the engagement to meet your cash limitations.
We
will provide references upon request.
Since
our founding in 1986, Beacon Consulting Associates has dedicated
itself to serving the small-to-medium size business community by
providing a broad range of consulting, financial and accounting
services……Business
Acquisition Reviews are only one of them
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