Quality of Earnings
Premium Quality of Earnings Reports for In-Depth Financial Due Diligence
You've done the impossible - getting a deal under LOI! (or are on the verge of doing so). Let us help you secure your future by confirming the financials and diving into the true cash flows, EBITDA, and working capital analysis.
Our Service Offerings
Quality of Earnings: Lite vs. Full
We offer two primary options in order to fit your needs depending on your deal size, type, and budget
(don't worry, you don't pay until you close!)
Expertise
Expertise in QoE
Strategic Financial Clarity
Our QoE reports offer an unparalleled depth of analysis, providing a crystal-clear view of a company's true financial position and future earnings potential.
Sophisticated Risk Assessment
Our thorough due diligence process employs advanced methodologies to uncover and quantify potential risks, safeguarding your interests throughout the M&A journey.
Bespoke Industry Insights
Leverage our team's deep industry-specific knowledge for tailored analyses that address the unique challenges and opportunities in your sector.
Profits Analysis
We analyze true, pro-form profits to help you understand the financial health of your target business.
EBITDA Evaluation
Our detailed EBITDA evaluations reveal the earnings potential of the business.
FCF Analysis
We provide a thorough analysis of free cash flow to assess the liquidity of your potential acquisition.
Working Capital Requirements
Understand the working capital needs to ensure smooth operations post-acquisition.
Financial Stability
We evaluate the financial stability to forecast long-term success.
Premium Services
Our Premium Services
Our Premium Services include:
Comprehensive Quality of Earnings (QoE) Reports
Advanced Financial Due Diligence
Strategic Tax Due Diligence and Planning
In-depth Operational Due Diligence
Customized Post-Acquisition Integration Strategies
Executive Dashboard Development for Real-time Financial Insights
High Level Summary Of
Key Responsibilities
FINANCIAL DILIGENCE
- QofE – Identification of historical earnings and other pro forma adjustments to consider within projections
- Inclusive of full revenue cash proof procedures
- Multi-year income statement and balance sheet quality and trend analysis
- Evaluation of working capital trends and requirements
- Identification of liabilities and potential off balance sheet exposures
- Immediate communication of potential concerns
OPS & VALUE CREATION
- Assessment of valuation estimates and key assumptions
- SWOT analysis by business function and
quantification of assessments - Operational bottleneck analysis to
identify growth capital requirements - Scoring Customer/Relationship Portfolio Sustainability and Volatility
- Cost-out identification
- Systems, Process, and Human Capital alignment with growth expectations
SUPPORT & POST-TRANSACTION
- Senior stakeholder engagement,
including regular updates to senior
executives and presenting to key
personnel - M&A data room preparation
- Post-transaction integration and value
capture execution support; program
design, management, monitoring,
measurement and reporting - Gap staffing; short-term executive and
managerial support as needed End-to-End Project / Program Management
Diligence Services and Scoping
We offer a modular approach to deal scoping. This approach allows our clients to tailor our diligence efforts to the needs of the deal.
DEAL SPECIFIC ADD-ONS (examples shown, priced by deal)
Ops bottleneck assessment
Value opportunity deep-dive
Competitive assessment
SWOT analysis by function
Post-acquisition integration & process standardization
Systems made fit for growth
Team assessment, gap analysis, and interim leadership where and when needed
ROBUST FINANCIAL DILIGENCE ($15-20K fixed fee)
- Valuation estimate and key assumptions analysis
- Micro and macro-industry and available market considerations
- Data room preparation
- External advisor coordination (e.g., counsel, tax)
CORE FINANCIAL DILIGENCE ($6-15K fixed fee)
- QofE (Including “QofE lite” for smaller transactions)
- Working capital reviews
- Cost-out Identification
- Initial team assessment
- Senior stakeholder recommendations and communication
Unparalleled Expertise in QoE and Due Diligence
In the high-stakes world of mergers and acquisitions, precision and insight are paramount. Our elite team of CPAs and financial analysts delivers meticulously crafted Quality of Earnings reports and comprehensive due diligence services, empowering both discerning buyers and sellers to navigate complex transactions with confidence.