Diligence

Due diligence can mean the difference between a successful and failed transaction. This makes the process vital to embark upon before any work gets underway. In simple terms, due diligence is a reasonable appraisal or measure of prudence conducted prior to entering into a contract or agreement. It is carried out to determine the worthiness of a deal and assess its potential risks, enabling informed decision making.

The due diligence performed varies from one transaction to another. Outcomes are also influenced by the extent and quality of due diligence undertaken. These, therefore, make it necessary to have thorough understanding of investigation procedures and diverse compliance risks.

Warranting successful and healthy business deals

Millwood Accounting is highly qualified to deliver value-added due diligence solutions on a wide range of transactions. Our expertise and experience in the field have been honed by participating in countless transactions of our clients through the years. We have converted those into a practice designed to help oranisations make informed decisions and engage in successful and healthy business deals.

We cater our due diligence solutions to different organisations and entities either on the purchase or sell side. These include investors, private equity firms, banks, corporate acquirers. 

The scope of the due diligence solution we provide will depend on the type and scale of the target transaction and the risks it poses. However, our process usually focuses on key transaction details, which include:

• Risk and opportunity identification
• Analysis of quality of historic performance, cash flow, projected earnings, and assets
• Review of financial systems and controls, management routines, commitments, contingencies, and tax exposures
• Quantifying liabilities that may cause the transaction to fall through

Part of our due diligence solutions also include a robust report that summarises key issues our team has found as well as our insights into the potential risks and implications of the targeted deal. With such comprehensive data on hand, it will be easier for organisations to transact with confidence.