A vendor due diligence report is an independent report issued to interested parties during the initial stages in the sale of your business. The report covers the risks and issues faced by your business, as well as trends and opportunities that are major determinants in its current value. Advantages to completing a Vendor Due Diligence prior to commencing the sales process include;
- Time and resource efficiencies during the buy-side's due diligence;
- Early identification of risks and issues that may affect the negotiation process and your final sale price. This enables the you to adjust your negotiation strategy or eliminate risks;
- Increased credibility in the eyes of the purchaser(s);
- Involvement of more parties in the transaction to create a more competitive sales process;
- Smoother transaction process.
The benefits to you of the Lawler Corporate Finance approach are:
- An agreed-upon scope and fees appropriate for the nature of the engagement;
- Independent appraisal of your business;
- Commercially focused advice;
- Immediate feedback regarding issues as they arise;
- Progress reports detailing key risks and issues;
- Identification of the key drivers of the business;
- Identification of key people and contractual issues;
- A report on the significant risks (which may be able to be addressed prior to sale);
- Assistance through buy-side due diligence process;
- Constant communication of findings throughout the process;
- A complete independent report to be issued to the interested parties.
For more information on how Lawler Corporate Finance can assist you with Vendor Due Diligence matters contact Allan Farrar in Sydney on (+61) 2 9008 1404 or Email Allan or Simon Rutherford in Newcastle (+61) 2 49 622 688 or Email Simon.
