Due Diligence

PGH Corporate provides a full due diligence review to ensure you know exactly what you are purchasing and also take into account your experience and ideas to help maximise your investment. We can determine the health and value of the business. It checks the business you are intending to buy doesn’t have any major issues that you need to know about and that the finances of the business are what the owner has declared. We use financial statements from the last three years, including: balance sheet of assets and liabilities and prove ownership of any equipment, leased premises or plants.

 

Why bother conducting a good due diligence?

 

The cost associated with completing a thorough due diligence is justifiable compared to the immense risk of not completing one as it could save you from purchasing a bad business. We can confirm and verify the business information and determine if you are making a good investment or not. We can also identify potential defects in deal and the investment to avoid bad transactions, which can be very costly.

 

PGH Corporate will help you consider:

 

  • Why the previous owner is selling their company and have there been any other efforts to sell the company before?

  • What are the business plans and long-term strategic goals of the company

  • Examine historical financial data with future projections to determine if the margins are increasing. We also calculate how much working capital is required to run the business, what capital expenditures and investments exist and the outstanding debt of the company. We will also help you determine if the future projections are reasonable.

  • We will help you realise your potential and choose a strategic fit. Choosing a company that fits you is critical.

  • We also consider the customers of the company and what risks there are in the business. We will investigate any legal issues and governmental proceedings against the company. The more you know about your future investment, the more control you have over its future income by mitigating the risks.

 

  • We deeply analyse every aspect of the business, including the IT maintenance costs and the capacity of the existing systems. Our partner are experts in ERP systems and can evaluate your possible future investment’s software system and offer ways you can reduce the risk and maximise profits if you decide to purchase the business.