Due diligence
333 Consulting’s approach to commercial due diligence generates insights on specific targets or selected industries, and guides both equity and debt providers in their investment evaluation and underwriting process.
When making an acquisition, investors often ponder critical questions such as:
- is the industry fundamentally attractive?
- does the company have a healthy position in the industry?
- do significant value creation opportunities exist?
- what are some viable exit strategies?
Our Commercial Due Diligence program is customised to each client's individual needs and level of intensity. Our assignments can last anywhere from a few days to several weeks, and are generally driven by a potential closing date or the complexity of a target company.
333 Consulting’s due diligence and acquisition support services focus on:
- financial due diligence
- operational due diligence.
Financial due diligence
A critical step in assessing any transaction is understanding the drivers of, and risks to, financial performance.
Using a focused and tailored approach, we rapidly identify and analyse potential issues, value creation opportunities and other areas of specific interest to our clients.
Our financial due diligence services focus on:
- assessing the target's quality of current and future earnings
- analysing cash flows (including working capital changes and capital expenditures)
- reviewing on and off balance sheet assets and liabilities
- identifying key business drivers, trends in profitability and significant concentrations of risk
- evaluating management's forecast
- conducting comprehensive discussions with management and their advisors
- performing both buy-side and sell-side due diligence
- industry expertise.
To maximise financial returns, successful investors and financiers understand that a company must focus on improving operational performance across the entire business.
We assist our clients in analysing functional and departmental processes including:
- compensation and benefits
- supply chain and distribution channels
- core operations
- information technology.
We also assist with back-office operations including:
- finance
- accounting
- human resources.
From our thorough fact-based analysis, we identify and quantify potential EBITDA adjustments, and working capital risks and opportunities, to create Day One and First 100 Day plans.
Operational due diligence
Our operational due diligence services focus on:
- business plan review
- operational and financial planning
- working capital assessment
- supply chain operations diligence
- merger and acquisition planning
- divestiture (carve-out) planning
- human resources assessment
- commercial due diligence.