The acquisition of, or investment in, a large scale operating entity can be a complex process. There is usually a short time frame given in which to accurately assess a business, its strengths, weaknesses, identify key areas of risk, establish costs of restructuring/ CAPEX and establish a number of scenarios relating to future financial performance.
Managing the Process:
- Working with a range of disciplines to cover Legal and Financial/ Tax assessments, Brown& Co provide Technical and Commercial Due Diligence and can manage the wider due diligence process, ensuring all disciplines work efficiently together to ensure material issues are fully recognised and accurately assessed.
- Due diligence work often focuses on productivity assessments (livestock, crop production, high value crops, fruit and early stage processing), land tenure assessments, infrastructure assessments (including buildings and machinery), water availability and the ability of the management team to realistically deliver on the business plan.
The final Due Diligence report is important, not only in understanding the business, productive capacity and material risks but also in providing evidence for final price negotiations.
