Professional and Accurate Business Due Diligence
Have you found an opportunity that is determined to “fit” the fund’s investment criteria and is now ready to investigate further to determine the viability of the deal? Let GBA help you with the necessary business due diligence.
Our standard evaluation includes:
Overall Business Structure – How is the overall business structured? Are there any irregularities. Does the structure make sense for future investment? Are there any possible revenue streams not being addressed?
Founders and Management Team – Is the management team experienced enough to take the business to the next level? Are there any background issues to be aware of with the founders or any other members of the management team. Is the entire team focused on the same vision? Is the team functioning as efficient as possible? Should one or more professionals be brought into the mix to address a lacking need?
Market and Competition – Do the founders have a good understanding of exactly who their competition is? Are there other players in the game that haven’t bee recognized? Is the market too crowded or are we possibly too early to the market? What is the true size of the market and will additional investment be needed to growth in the market?
Technology, IP, Patents – Is there any technology or Intellectual Propeerty that needs to be protected? Is it currently protected correctly? Are all patents in place where available? Can any of the technology be licensed apart from the main focus of the business? Are any patents or technology currently being infringed upon nationally or globally?
Current Marketing/ Advertising Efforts – Is the brand identity trademarked correctly? Does the brand’s current identity resonate with it’s customer. What are the current marketing efforts and how much of the budget is going towards these efforts. Is there a cohesive and comprehensive marketing plan that includes both social media as well as other potential forms of reaching the market? Does the company understand exactly who their customer/market is?
Financials – Has the company kept detailed financials? Are all the current “spends” appropriate for the stage of the company including salaries and/or bonuses. What do the financial statements look like and is there a need for a detailed audit by a professional accountant. Are there any financial red flags that could potential sidetrack or destroy a deal? What is the current debt of the company and how is it structured.
Our expanded evaluation additionally includes:
- Detailed and formal background checks
- Customer conversations (when available)
- Potential Financial and/or legal issues addressed by the appropriate next level professionals