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Due Diligence Summary

Due diligence is an intense examination of a business targeted for purchase or sale.  The goal of this process is to provide decision makers with a clear picture of the company involved in the proposed transaction.  There are a number of implications when acquiring, divesting or refinancing a company - our professionals can ensure you have all the data you need to feel confident in your decision.  Here is a list of some key items needed to complete due diligence.  For more information, contact your merger & acquisition or legal advisor. 

COMPANY OVERVIEW:

• Vision and mission
• Core competencies
• Strategic alliances & key relationships
• Products
• Patents, copyrights and other intellectual property
• Business Plan for next 3-5 years

FINANCIAL:

• Overview of financial condition
• 3-5 years of financial statements and income tax returns
• 3 years of projections
• Bank and accounting records
• List of fixed assets
• Recent appraisals (if any)
• Leases and financial contracts

INFRASTRUCTURE:

• Management team and organizational chart
• Copies of board minutes
• HR and personnel policies
• Condition of facilities
• State of technology

POTENTIAL LIABILITIES:

• Warranty and environmental issues
• Liens/lawsuits
• Regulatory issues

MARKETING AND SALES:

• Market potential
• Key competitors
• Distribution channels
• Customer base

If you’d like to learn more, contact Don Feldmann or Brent Rippe at Rippe & Kingston Capital Advisors.