In the conext of Mergers & Acquisition an assessment of the target company or the acquiring entity is of crucial importance and a key step in the process. By means of a Due Diligence key insights can be gathered, which subsequently can be used in the decision-finding process.
Schlecht und Partner offers various services in the field of Due Diligence. Based on our integrated and holistic Approach we offer Commercial, Financial, Tax and Operational Due Diligence in the context of a comprehensive Business Due Diligence.
Our Due Diligence process is guided by a risk oriented Approach resulting in concrete Action recommendations
Our Services in the field of Due Diligence
» Financial Due Diligence
- Analysis of the Fiscal Statements
- Risk-oriented Analysis of Fiscal Statements
- KPI based Analysis
- Identifying the sustainable profits and cash flows of the target company
- Plausbility Check of the underlying Business Plan
- Analysis of the Financial Planning
- Analysis of the accounting practice and valuation based on German GAAP and IFRS
- Sensitivity Analysis
- Assisting in the determination of an appropriate purchase price in the context of M&A
We provide assistance in finding answers on the following key questions:
- What is the current view of the assets, liabilities, financial position and profit or loss of the target company?
- What are the Strengths and Weaknesses (SWOT-Analysis) of the target company?
- What is the concrete benefit of the transaction?
» Tax Due Diligence
- Analysis of the tax Situation of the Client our within the context of an M&A process of the target company or vendor company
- Analysis and identification of tax risks (Comprehensive Analysis or Red Flag)
- Deduction of a tax optimized acquisition structure based on the findings of the Tax Due Diligence
- Advise in regard to contractual Agreements based on implications deducted from Tax Due Diligence findings (Tax Clause and Guarantees)
» Operational Due Diligence
In the context of Operational Due Diligence, we analyze the value chain of the target company with the goal of identifying value creation potentials. In the process the following functional areas are in the focus of the analysis:
- Sales & Marketing
- Research and Development
- Production and Materials Management
- Logistics and Supply Chain
- After Sales and Service
Basend on our experience the following questions are typically of high importance:
- What value creation potentials does the company offer?
- Can unused productivity reserves be levied?
- Ist the planned sales growth based on appropriate product new development?
» Legal Due Diligence
We cooperate with various international law practices in Germany and abroad. Within the Legal Due Diligence we coordinate with the participting Lawyers and our Clients.