Bryan C. Rice can use his knowledge and experience in business valuation, forensic accounting, income tax and other financial and accounting matters to assist in decisions concerning the acquisition of a business or interest therein. This area of Bryan’s practice can be classified as “Due Diligence” services.
Due Diligence is a set of information-gathering and analytical procedures designed to assist in the determination of the advisability of making an investment in, lending money to, or acquiring a closely-held business.
Due Diligence procedures can include the following:
- Performing economic research
- Performing industry research
- Analyzing the target company’s financial statements for various attributes, including ability to service post-acquisition debt or attain earnings targets
- Interviewing current management of the target to determine efficiency of operations and economic viability
- Interviewing current customers, suppliers and others with relevant information about the target
- Reviewing tax returns of the target for certain attributes and exposures
- Reviewing documentation of corporate governance for certain attributes and exposures
- Determining viability of proposed deal structure (tax consequences, earn outs, consulting arrangements, etc.)
- Confirming/Inventorying/Cataloging assets and liabilities
- Assessing the viability of intangible value of the business claimed by seller
- Assess business and financial risk
- Compare deal terms to current business value
- Document findings in a formal written report
