Plotting your journey
Our approach streamlines the transaction process, ensures businesses are well-prepared for due diligence, and provides comprehensive assistance during the deal. This includes offering trading updates, guidance on share purchase agreements, and addressing ad hoc queries as they arise.
We assist businesses in effectively presenting their historical performance and developing credible forecast models. With extensive experience collaborating with leadership teams, we provide strategic guidance to help shape the future direction of the business.
Being well-prepared for a transaction can significantly enhance value. This involves clearly defining the bridge between enterprise value and equity value, as well as having a comprehensive understanding of working capital and net cash.
Our approach
Historical financials
Present the monthly historical financial data (typically for three years).
- Analyse the core elements of the business, for example; understand gross margin by product / customer / geography.
- Reconcile the historical results to the annual statutory accounts.
- Review the balance sheet reconciliations.
- Identify potential EBITDA adjustments.
Forecast model
We will build a comprehensive forecast model including:
- Integrated monthly profit and loss, balance sheet and cash flow.
- Key performance indicators.
- Ability to easily apply sensitivities to the key assumptions.
- Narrative to support the model assumptions.
- Achievable projections whilst the transaction progresses.
Working capital analysis
Being on the front foot with working capital is important to ensure that there is no value erosion.
-
We will prepare a thorough analysis of working capital and advise where improvements can be made.
-
We will propose normalisation adjustments where there have been unusual movements within the historical working capital.
Trading updates
During the due diligence and legal phases of a transaction, we can assist with providing trading updates on a monthly basis comparing actual results against forecast.
Due diligence / SPA
- Due diligence can be an onerous process and we can assist with responding to questions.
- We can assist with the share purchase agreement (SPA) and advise you on the completion mechanism, warranties and indemnities.
After sale care
- Following completion, we help you structure your sale proceeds effectively and tax-efficiently.
- Investment, retirement and income planning aligned with your long-term goals.
- We advise on legacy and succession planning to protect and transition your wealth.
- On-going tax compliance and capital gains tax advice.
- Accounting and advisory support for new business ventures.
Plotting your path in advance
Our specialist team will work alongside management throughout the process to ensure that opportunities and issues are understood, and the correct steps are taken.
We can help build a financial model where working capital is clearly presented, that will ultimately form part of the enterprise value to equity bridge. Our experts remain involved with the live transaction and assist with any adhoc due diligence, SPA and specific questions throughout.
Supporting companies throughout the UK and beyond
Our specialist team work with clients across the UK, from London to Glasgow, Cardiff to Belfast, we have connections in the key financial sectors and experience in supporting businesses through their sales process.
Our local offices in South Manchester and Yorkshire make us well situated to servicing our clients in the UK’s leading cities.